Constellium (NYSE:CSTM) Stock Gets Downgrade from Wall Street Zen

Key Points

• Wall Street Zen downgraded Constellium from “strong buy” to “buy.” Despite mixed analyst views, the stock retains a “Moderate Buy” consensus rating with an average price target of $33.33.
• Constellium reported quarterly EPS of $1.04, beating estimates of $0.86, while revenue reached $2.75 billion and rose 30.7% year over year.
• The stock opened at $25.43, below its 50-day and 200-day moving averages, with a market capitalization of approximately $3.45 billion; institutional investors own 92.59% of shares.

Constellium (NYSE:CSTM - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a report released on Saturday, Wall Street Zen reports.

Other analysts have also issued reports about the stock. Wells Fargo & Company decreased their price target on shares of Constellium from $39.00 to $38.00 and set an "overweight" rating on the stock in a research report on Friday, September 18th. Zacks Research lowered shares of Constellium from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, October 6th. Barclays started coverage on shares of Constellium in a research report on Wednesday. They set an "equal weight" rating and a $28.00 price objective for the company. UBS Group reduced their target price on shares of Constellium from $34.00 to $32.00 and set a "buy" rating for the company in a research note on Thursday, October 8th. Finally, Weiss Ratings reissued a "hold (c+)" rating on shares of Constellium in a research report on Monday, September 28th. Four equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $33.33.

Constellium Price Performance

NYSE CSTM opened at $25.43 on Friday. Constellium has a twelve month low of $14.62 and a twelve month high of $36.99. The company has a debt-to-equity ratio of 1.50, a quick ratio of 0.61 and a current ratio of 1.43. The stock has a market capitalization of $3.45 billion, a PE ratio of 6.55 and a beta of 1.57. The stock has a 50-day simple moving average of $26.40 and a 200 day simple moving average of $29.48.

Constellium (NYSE:CSTM - Get Free Report) last announced its earnings results on Wednesday, July 29th. The industrial products company reported $1.04 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.86 by $0.18. The business had revenue of $2.75 billion for the quarter, compared to analyst estimates of $2.73 billion. Constellium had a net margin of 5.69% and a return on equity of 51.66%. Constellium's revenue was up 30.7% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.25 earnings per share. Research analysts anticipate that Constellium will post 3.79 EPS for the current year.

Insider Activity at Constellium

In other Constellium news, Director Jean-Christophe Deslarzes bought 1,490 shares of the stock in a transaction dated Monday, August 3rd. The stock was bought at an average cost of $27.24 per share, for a total transaction of $40,587.60. Following the completion of the purchase, the director owned 43,515 shares in the company, valued at $1,185,348.60. This represents a 3.55% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Insiders own 1.20% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in CSTM. Orion Capital Management LLC bought a new stake in Constellium during the 2nd quarter worth about $32,000. POM Investment Strategies LLC bought a new position in shares of Constellium in the second quarter worth about $32,000. USA Financial Formulas bought a new position in shares of Constellium in the third quarter worth about $44,000. GAMMA Investing LLC lifted its position in shares of Constellium by 12.5% during the third quarter. GAMMA Investing LLC now owns 4,010 shares of the industrial products company's stock worth $97,000 after purchasing an additional 447 shares in the last quarter. Finally, IFP Advisors Inc lifted its position in shares of Constellium by 80.6% during the second quarter. IFP Advisors Inc now owns 5,837 shares of the industrial products company's stock worth $186,000 after purchasing an additional 2,605 shares in the last quarter. Institutional investors and hedge funds own 92.59% of the company's stock.

Constellium Company Profile

Constellium SE NYSE: CSTM is a global manufacturer of advanced aluminum products and solutions. The company develops, engineers and produces aluminum rolled, extruded and shaped products for customers in the aerospace, automotive, packaging and industrial markets.

Its products include aluminum sheets, plates, coils, extrusions, structural components and automotive body systems. Constellium also supplies aluminum products used in beverage cans, bottles and other packaging applications, as well as components for aircraft structures, automotive vehicles, commercial transportation and industrial equipment.

Constellium serves customers through manufacturing and research operations across Europe, North America and Asia.

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