Babcock (NYSE:BW) Shares Gap Up - Should You Buy?

Key Points

• Babcock shares gapped up at the open, rising from a prior close of $11.70 to $12.33 before settling lower intraday at $11.385 on heavy volume of 692,584 shares.
• Analyst sentiment remains mixed: Weiss Ratings kept a sell rating, while Craig Hallum and Northland Securities maintained buy views and price targets of $19 and $23, respectively. The overall consensus rating is Hold with a $14.25 price target.
• The company recently missed earnings estimates for the quarter, reporting EPS of -$0.60 versus -$0.03 expected, even though revenue of $214.41 million came in well above forecasts. Institutional ownership remains high at 83.17%.

Babcock (NYSE:BW - Get Free Report) shares gapped up prior to trading on Monday . The stock had previously closed at $11.70, but opened at $12.33. Babcock shares last traded at $11.3850, with a volume of 692,584 shares changing hands.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on the company. Weiss Ratings reiterated a "sell (d-)" rating on shares of Babcock in a research report on Monday, April 20th. Craig Hallum reiterated a "buy" rating and issued a $19.00 price objective on shares of Babcock in a report on Tuesday, March 17th. Wall Street Zen lowered shares of Babcock from a "buy" rating to a "hold" rating in a research note on Saturday, May 16th. Finally, Northland Securities set a $23.00 target price on Babcock in a report on Tuesday, May 12th. Three research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus price target of $14.25.

Babcock Stock Performance

The company has a market capitalization of $1.70 billion, a price-to-earnings ratio of -13.01 and a beta of 1.16. The stock's fifty day simple moving average is $16.40 and its two-hundred day simple moving average is $13.19.

Babcock (NYSE:BW - Get Free Report) last announced its quarterly earnings data on Monday, May 11th. The technology company reported ($0.60) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.03) by ($0.57). The firm had revenue of $214.41 million for the quarter, compared to the consensus estimate of $149.72 million. On average, equities analysts anticipate that Babcock will post 0.31 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of BW. Huntington National Bank boosted its stake in shares of Babcock by 400,000.0% during the 4th quarter. Huntington National Bank now owns 4,001 shares of the technology company's stock worth $25,000 after acquiring an additional 4,000 shares in the last quarter. Rockefeller Capital Management L.P. acquired a new stake in shares of Babcock during the fourth quarter worth $25,000. Royal Bank of Canada lifted its holdings in shares of Babcock by 57.3% during the first quarter. Royal Bank of Canada now owns 1,785 shares of the technology company's stock valued at $26,000 after purchasing an additional 650 shares during the last quarter. Centiva Capital LP purchased a new stake in shares of Babcock during the third quarter valued at $31,000. Finally, Raymond James Financial Inc. boosted its position in shares of Babcock by 11,311.3% in the 3rd quarter. Raymond James Financial Inc. now owns 12,096 shares of the technology company's stock valued at $35,000 after purchasing an additional 11,990 shares during the period. Institutional investors own 83.17% of the company's stock.

About Babcock

Babcock & Wilcox Enterprises, Inc NYSE: BW is a specialized provider of energy and environmental technologies and services serving power generation and heavy industrial markets. The company designs, manufactures and maintains critical components and systems that support the safe and efficient operation of both fossil-fuel and renewable power facilities. Its core offerings include industrial and utility boilers, environmental control systems for emissions reduction, and aftermarket support services ranging from inspection and maintenance to spare parts management.

In addition to its boiler and emissions control portfolio, Babcock & Wilcox Enterprises delivers lifecycle solutions aimed at enhancing plant performance and compliance.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.