Breedon Group (LON:BREE) Stock Passes Below Two Hundred Day Moving Average - Time to Sell?

Key Points

• Breedon Group's shares have fallen below their 200-day moving average, trading at GBX 332 ($4.45), which raises concerns about the stock's performance.
• Berenberg Bank has maintained a "buy" rating for Breedon Group, with a price target of GBX 540, despite the stock's recent decline.
• Insiders have recently purchased a significant number of shares, with a total acquisition of 179,282 shares valued at $69.4 million over the last 90 days, indicating confidence in the company's future.

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 399.98 ($5.36) and traded as low as GBX 332 ($4.45). Breedon Group shares last traded at GBX 332 ($4.45), with a volume of 1,183,995 shares changing hands.

Analyst Upgrades and Downgrades

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

Breedon Group Stock Down 1.4%

The company has a debt-to-equity ratio of 44.86, a current ratio of 1.44 and a quick ratio of 1.12. The business's 50 day simple moving average is GBX 361.33 and its 200 day simple moving average is GBX 399.98. The company has a market capitalization of £1.15 billion, a PE ratio of 1,276.92, a P/E/G ratio of 1.56 and a beta of 1.29.

Breedon Group (LON:BREE - Get Free Report) last issued its earnings results on Wednesday, July 23rd. The company reported GBX 11.20 EPS for the quarter. Breedon Group had a net margin of 6.34% and a return on equity of 8.58%. As a group, analysts anticipate that Breedon Group plc will post 36.8586859 earnings per share for the current fiscal year.

Insider Activity at Breedon Group

In related news, insider James Brotherton purchased 7,033 shares of Breedon Group stock in a transaction dated Wednesday, July 23rd. The shares were acquired at an average cost of GBX 354 per share, with a total value of £24,896.82. Also, insider Amit Bhatia purchased 150,000 shares of Breedon Group stock in a transaction dated Wednesday, August 27th. The stock was bought at an average cost of GBX 393 per share, for a total transaction of £589,500. Insiders acquired a total of 179,282 shares of company stock valued at $69,430,855 over the last 90 days. Insiders own 42.37% of the company's stock.

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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