Cannae (NYSE:CNNE) Shares Gap Down - Time to Sell?

Key Points

• Cannae Holdings, Inc. experienced a significant gap down in shares, opening at $19.48 after previously closing at $20.11, and last trading at $18.39.
• Analysts from Royal Bank Of Canada have increased their price target for Cannae from $22.00 to $26.00, giving the stock an "outperform" rating.
• Cannae has raised its quarterly dividend from $0.12 to $0.15, representing a yield of 3.4%, despite a negative return on equity of 4.86% and a net margin of -73.64%.

Shares of Cannae Holdings, Inc. (NYSE:CNNE - Get Free Report) gapped down prior to trading on Tuesday . The stock had previously closed at $20.11, but opened at $19.48. Cannae shares last traded at $18.39, with a volume of 166,911 shares traded.

Analysts Set New Price Targets

Separately, Royal Bank Of Canada boosted their target price on shares of Cannae from $22.00 to $26.00 and gave the company an "outperform" rating in a research note on Thursday, July 10th.

Cannae Stock Down 11.6%

The firm has a market capitalization of $1.12 billion, a PE ratio of -3.38 and a beta of 1.06. The stock has a 50-day simple moving average of $20.66 and a 200-day simple moving average of $19.10. The company has a quick ratio of 4.19, a current ratio of 4.19 and a debt-to-equity ratio of 0.04.

Cannae (NYSE:CNNE - Get Free Report) last announced its quarterly earnings data on Monday, May 12th. The company reported ($0.59) earnings per share for the quarter, missing the consensus estimate of ($0.56) by ($0.03). The firm had revenue of $103.20 million during the quarter, compared to analysts' expectations of $105.30 million. Cannae had a negative return on equity of 4.86% and a negative net margin of 73.64%. The company's revenue was down 6.8% compared to the same quarter last year. During the same period last year, the business posted ($1.27) EPS. Analysts forecast that Cannae Holdings, Inc. will post -3.14 EPS for the current year.

Cannae Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 30th. Investors of record on Tuesday, September 16th will be issued a $0.15 dividend. This is a boost from Cannae's previous quarterly dividend of $0.12. The ex-dividend date of this dividend is Tuesday, September 16th. This represents a $0.60 annualized dividend and a yield of 3.4%. Cannae's payout ratio is -9.13%.

Institutional Investors Weigh In On Cannae

Hedge funds and other institutional investors have recently bought and sold shares of the business. Nuveen Asset Management LLC boosted its holdings in shares of Cannae by 53.4% in the fourth quarter. Nuveen Asset Management LLC now owns 866,870 shares of the company's stock worth $17,216,000 after acquiring an additional 301,670 shares during the period. Park Avenue Securities LLC raised its stake in shares of Cannae by 6.3% during the 1st quarter. Park Avenue Securities LLC now owns 13,089 shares of the company's stock valued at $240,000 after purchasing an additional 777 shares during the period. Spire Wealth Management lifted its holdings in Cannae by 81.4% during the 1st quarter. Spire Wealth Management now owns 4,100 shares of the company's stock worth $75,000 after purchasing an additional 1,840 shares in the last quarter. Two Sigma Investments LP boosted its stake in Cannae by 357.8% in the 4th quarter. Two Sigma Investments LP now owns 67,328 shares of the company's stock worth $1,337,000 after purchasing an additional 52,621 shares during the period. Finally, Two Sigma Advisers LP bought a new position in Cannae in the 4th quarter worth about $451,000. Institutional investors own 88.12% of the company's stock.

About Cannae

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.

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