Avantor (NYSE:AVTR) Shares Gap Up - Here's What Happened

Key Points

• Avantor's share price increased from $13.27 to $13.96 before trading on Monday, indicating a positive market reaction despite the stock last trading at $13.26.
• Several analysts have adjusted their target prices for Avantor, with the average rating currently being "Hold" and an average price target of $15.50.
• The company reported quarterly earnings of $0.24 per share, missing expectations by $0.01, and experienced a 1.1% revenue decline year-over-year.

Avantor, Inc. (NYSE:AVTR - Get Free Report)'s stock price gapped up prior to trading on Monday . The stock had previously closed at $13.27, but opened at $13.96. Avantor shares last traded at $13.26, with a volume of 1,005,532 shares trading hands.

Wall Street Analysts Forecast Growth

AVTR has been the subject of several analyst reports. Robert W. Baird cut their price target on shares of Avantor from $18.00 to $15.00 and set an "outperform" rating for the company in a report on Monday, August 4th. Evercore ISI cut their price target on shares of Avantor from $18.00 to $16.00 and set an "outperform" rating for the company in a report on Monday, August 4th. Barclays reissued an "overweight" rating and set a $13.00 price target (down from $15.00) on shares of Avantor in a report on Monday, August 4th. Royal Bank Of Canada cut their price target on shares of Avantor from $20.00 to $17.00 and set an "outperform" rating for the company in a report on Monday, August 4th. Finally, Raymond James Financial set a $14.00 price target on shares of Avantor and gave the stock an "outperform" rating in a report on Monday, August 4th. Seven investment analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company's stock. According to data from MarketBeat, Avantor currently has an average rating of "Hold" and an average target price of $15.50.

Avantor Stock Performance

The company has a quick ratio of 0.67, a current ratio of 0.98 and a debt-to-equity ratio of 0.48. The company has a market capitalization of $9.19 billion, a PE ratio of 13.61, a PEG ratio of 1.50 and a beta of 0.96. The stock's fifty day simple moving average is $13.12 and its 200-day simple moving average is $14.25.

Avantor (NYSE:AVTR - Get Free Report) last issued its earnings results on Friday, August 1st. The company reported $0.24 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.25 by ($0.01). Avantor had a net margin of 10.31% and a return on equity of 11.39%. The company had revenue of $1.68 billion during the quarter, compared to analysts' expectations of $1.67 billion. During the same period last year, the business posted $0.25 earnings per share. The company's quarterly revenue was down 1.1% on a year-over-year basis. On average, research analysts predict that Avantor, Inc. will post 1.06 earnings per share for the current fiscal year.

Insider Transactions at Avantor

In other Avantor news, CAO Steven W. Eck sold 3,476 shares of the stock in a transaction dated Tuesday, August 5th. The shares were sold at an average price of $11.39, for a total value of $39,591.64. Following the completion of the transaction, the chief accounting officer directly owned 55,068 shares of the company's stock, valued at approximately $627,224.52. This trade represents a 5.94% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Company insiders own 1.20% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in AVTR. Dodge & Cox grew its position in shares of Avantor by 17.1% in the second quarter. Dodge & Cox now owns 117,433,484 shares of the company's stock valued at $1,580,655,000 after purchasing an additional 17,170,761 shares during the last quarter. 1832 Asset Management L.P. grew its position in shares of Avantor by 89.8% in the first quarter. 1832 Asset Management L.P. now owns 18,127,204 shares of the company's stock valued at $293,842,000 after purchasing an additional 8,578,493 shares during the last quarter. Norges Bank acquired a new stake in shares of Avantor in the second quarter valued at approximately $108,167,000. Engine Capital Management LP acquired a new stake in shares of Avantor in the second quarter valued at approximately $74,088,000. Finally, The Manufacturers Life Insurance Company grew its position in shares of Avantor by 53.2% in the first quarter. The Manufacturers Life Insurance Company now owns 14,034,699 shares of the company's stock valued at $227,502,000 after purchasing an additional 4,876,524 shares during the last quarter. 95.08% of the stock is owned by hedge funds and other institutional investors.

About Avantor

Avantor, Inc engages in the provision of mission-critical products and services to customers in the biopharma, healthcare, education and government, advanced technologies, and applied materials industries in the Americas, Europe, Asia, the Middle East, and Africa. The company offers materials and consumables, such as purity chemicals and reagents, lab products and supplies, formulated silicone materials, customized excipients, customized single-use assemblies, process chromatography resins and columns, analytical sample prep kits, education and microbiology products, clinical trial kits, peristaltic pumps, and fluid handling tips.