Associated British Foods (LON:ABF) Stock Price Down 13.2% - Time to Sell?

Key Points

• Associated British Foods' share price fell 13.2% on Thursday, trading as low as GBX 1,928.50, a significant drop from its previous closing price of GBX 2,241.
• Analysts at Deutsche Bank downgraded the company to a "sell" rating and reduced their target price from GBX 2,220 to GBX 2,130, while two other analysts have rated the stock as a Buy.
• Insider Eoin Tonge sold 16,741 shares for £346,538.70 at an average price of GBX 2,070, indicating a potential lack of confidence in the stock's performance by company insiders.

Associated British Foods plc (LON:ABF - Get Free Report) shares were down 13.2% during trading on Thursday . The company traded as low as GBX 1,928.50 ($26.16) and last traded at GBX 1,945.50 ($26.39). Approximately 2,909,437 shares traded hands during trading, a decline of 24% from the average daily volume of 3,829,985 shares. The stock had previously closed at GBX 2,241 ($30.40).

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on the company. Deutsche Bank Aktiengesellschaft cut Associated British Foods to a "sell" rating and lowered their price objective for the stock from GBX 2,220 to GBX 2,130 in a research report on Tuesday, August 26th. Shore Capital restated a "buy" rating on shares of Associated British Foods in a research report on Wednesday. Two equities research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, Associated British Foods currently has a consensus rating of "Hold" and a consensus price target of GBX 2,215.

Associated British Foods Trading Up 0.7%

The business's 50-day simple moving average is GBX 2,192.67 and its 200-day simple moving average is GBX 2,079.50. The company has a market cap of £13.87 billion, a PE ratio of 1,099.53, a P/E/G ratio of 1.51 and a beta of 1.24. The company has a current ratio of 1.78, a quick ratio of 0.93 and a debt-to-equity ratio of 32.88.

Insider Activity at Associated British Foods

In related news, insider Eoin Tonge sold 16,741 shares of the business's stock in a transaction that occurred on Thursday, July 3rd. The shares were sold at an average price of GBX 2,070, for a total transaction of £346,538.70. 1.49% of the stock is currently owned by corporate insiders.

Associated British Foods Company Profile

Associated British Foods is a diversified international food, ingredients and retail group with sales of £13.9bn, 128,000 employees and operations in 53 countries across Europe, Africa, the Americas, Asia and Australia. Our purpose is to provide safe, nutritious, affordable food, and clothing that is great value for money.