Breedon Group (LON:BREE) Share Price Passes Below Two Hundred Day Moving Average - What's Next?

Key Points

• Breedon Group's share price dipped below its 200-day moving average for the first time, trading at GBX 355 ($4.77) compared to the average of GBX 412.93.
• Berenberg Bank has set a buy rating for the company with a price target of GBX 540, reflecting positive analyst sentiment despite the recent price drop.
• Insider transactions show confidence in the company, with insiders acquiring 179,282 shares valued at approximately $69.43 million over the last quarter.

Shares of Breedon Group plc (LON:BREE - Get Free Report) passed below its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of GBX 412.93 ($5.55) and traded as low as GBX 352.20 ($4.74). Breedon Group shares last traded at GBX 355 ($4.77), with a volume of 1,473,397 shares changing hands.

Analysts Set New Price Targets

Separately, Berenberg Bank reiterated a "buy" rating and set a GBX 540 price target on shares of Breedon Group in a report on Monday, September 8th. Three research analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, Breedon Group currently has an average rating of "Buy" and a consensus target price of GBX 561.67.

Breedon Group Price Performance

The stock has a market cap of £1.22 billion, a P/E ratio of 1,358.46, a P/E/G ratio of 1.56 and a beta of 1.29. The company has a debt-to-equity ratio of 44.86, a quick ratio of 1.12 and a current ratio of 1.44. The business has a 50 day simple moving average of GBX 368 and a 200-day simple moving average of GBX 412.93.

Breedon Group (LON:BREE - Get Free Report) last released its earnings results on Wednesday, July 23rd. The company reported GBX 11.20 EPS for the quarter. Breedon Group had a return on equity of 8.58% and a net margin of 6.34%. On average, sell-side analysts forecast that Breedon Group plc will post 36.8586859 EPS for the current year.

Insider Activity at Breedon Group

In related news, insider Amit Bhatia bought 150,000 shares of Breedon Group stock in a transaction dated Wednesday, August 27th. The stock was purchased at an average cost of GBX 393 per share, with a total value of £589,500. Also, insider James Brotherton acquired 7,033 shares of the company's stock in a transaction that occurred on Wednesday, July 23rd. The stock was purchased at an average price of GBX 354 per share, for a total transaction of £24,896.82. Insiders bought 179,282 shares of company stock valued at $69,430,855 over the last quarter. 42.37% of the stock is currently owned by insiders.

Breedon Group Company Profile

Breedon Group plc, a leading vertically-integrated construction materials group in Great Britain, Ireland and the USA, delivers essential products to the construction sector. Breedon holds 1.5bn tonnes of mineral reserves and resources with long reserve life, supplying value-added products and services, including specialty materials, surfacing and highway maintenance operations, to a broad range of customers through its extensive local network of quarries, ready-mixed concrete and asphalt plants.

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