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

Key Points

• Associated British Foods' stock fell by 13.2% on Wednesday, closing at GBX 1,945.50 ($26.33), after trading as low as GBX 1,928.50 ($26.10).
• Analyst opinions are mixed, with Shore Capital maintaining a "buy" rating while Deutsche Bank downgraded it to a "sell" with a lower price target of GBX 2,130.
• The company's current market cap is £13.84 billion, with a notably high PE ratio of 1,097.29, indicating potential concerns about overvaluation.

Associated British Foods plc (LON:ABF - Get Free Report) traded down 13.2% on Wednesday . The company traded as low as GBX 1,928.50 ($26.23) and last traded at GBX 1,945.50 ($26.47). 2,909,437 shares were traded during mid-day trading, a decline of 24% from the average session volume of 3,829,985 shares. The stock had previously closed at GBX 2,241 ($30.49).

Analysts Set New Price Targets

ABF has been the subject of a number of analyst reports. Shore Capital reiterated a "buy" rating on shares of Associated British Foods in a research report on Wednesday, September 10th. Deutsche Bank Aktiengesellschaft lowered Associated British Foods to a "sell" rating and decreased their price target for the company from GBX 2,220 to GBX 2,130 in a research report on Tuesday, August 26th. Two research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company. According to MarketBeat, Associated British Foods has an average rating of "Hold" and an average target price of GBX 2,215.

Associated British Foods Trading Up 0.6%

The company has a 50-day simple moving average of GBX 2,190.23 and a 200-day simple moving average of GBX 2,082.86. The stock has a market cap of £13.96 billion, a P/E ratio of 1,106.32, a P/E/G ratio of 1.51 and a beta of 1.24. The company has a debt-to-equity ratio of 32.88, a quick ratio of 0.93 and a current ratio of 1.78.

Insider Transactions at Associated British Foods

In related news, insider Eoin Tonge sold 16,741 shares of the company's stock in a transaction dated Thursday, July 3rd. The stock was sold at an average price of GBX 2,070, for a total transaction of £346,538.70. Insiders own 1.49% of the company's stock.

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.