Cannae (NYSE:CNNE) Shares Gap Down After Earnings Miss

Cannae Holdings, Inc. (NYSE:CNNE - Get Free Report)'s share price gapped down prior to trading on Tuesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $18.80, but opened at $18.20. Cannae shares last traded at $18.09, with a volume of 50,488 shares changing hands.

The company reported ($0.59) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.56) by ($0.03). The business had revenue of $103.20 million during the quarter, compared to analyst estimates of $105.30 million. Cannae had a negative net margin of 68.61% and a negative return on equity of 8.26%. Cannae's revenue was down 6.8% compared to the same quarter last year. During the same quarter last year, the firm earned ($1.27) earnings per share.

Cannae Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, June 30th. Investors of record on Monday, June 16th will be given a dividend of $0.12 per share. This represents a $0.48 dividend on an annualized basis and a yield of 2.65%. The ex-dividend date is Monday, June 16th. Cannae's dividend payout ratio (DPR) is currently -9.13%.

Cannae declared that its Board of Directors has initiated a share buyback program on Tuesday, March 25th that authorizes the company to buyback 10,000,000 outstanding shares. This buyback authorization authorizes the company to buy shares of its stock through open market purchases. Shares buyback programs are typically a sign that the company's management believes its stock is undervalued.

Analyst Upgrades and Downgrades

Several brokerages have issued reports on CNNE. Royal Bank of Canada reissued an "outperform" rating and issued a $22.00 price target on shares of Cannae in a report on Wednesday. Oppenheimer reduced their target price on shares of Cannae from $27.00 to $22.00 and set an "outperform" rating on the stock in a research note on Friday, March 7th.

Institutional Investors Weigh In On Cannae

Several institutional investors and hedge funds have recently made changes to their positions in CNNE. Barclays PLC lifted its position in Cannae by 221.9% during the 3rd quarter. Barclays PLC now owns 95,378 shares of the company's stock worth $1,818,000 after buying an additional 65,749 shares in the last quarter. Park Avenue Securities LLC lifted its position in Cannae by 19.6% during the 4th quarter. Park Avenue Securities LLC now owns 12,312 shares of the company's stock valued at $245,000 after purchasing an additional 2,014 shares during the period. SG Americas Securities LLC lifted its position in Cannae by 9.9% during the 4th quarter. SG Americas Securities LLC now owns 20,102 shares of the company's stock valued at $399,000 after purchasing an additional 1,817 shares during the period. Crescent Grove Advisors LLC lifted its position in Cannae by 1.2% during the 4th quarter. Crescent Grove Advisors LLC now owns 324,220 shares of the company's stock valued at $6,439,000 after purchasing an additional 3,957 shares during the period. Finally, Blue Trust Inc. lifted its position in Cannae by 457.9% during the 4th quarter. Blue Trust Inc. now owns 4,949 shares of the company's stock valued at $94,000 after purchasing an additional 4,062 shares during the period. Institutional investors and hedge funds own 88.12% of the company's stock.

Cannae Trading Up 0.1%

The company has a debt-to-equity ratio of 0.10, a quick ratio of 2.55 and a current ratio of 2.55. The company has a market capitalization of $1.14 billion, a price-to-earnings ratio of -3.76 and a beta of 1.03. The business's 50-day simple moving average is $17.61 and its 200-day simple moving average is $19.12.

Cannae Company Profile

Cannae Holdings, Inc is a principal investment firm. The firm primarily invests in restaurants, technology enabled healthcare services, financial services and more. It takes both minority and majority stakes. Cannae Holdings, Inc was founded in 2014 and is based in Las Vegas, Nevada.