Capita (LON:CPI) Stock Price Crosses Above 200 Day Moving Average - Time to Sell?

Key Points

• Capita plc (LON:CPI) shares have recently crossed above their 200-day moving average of GBX 175.27, reaching a trading high of GBX 247.
• Analysts have set a new average price target of GBX 405 for the stock, with one analyst rating it a Buy and another a Hold.
• Capita has reported a negative net margin of 1.64% and a significant debt-to-equity ratio of 291.56, indicating potential financial challenges.

Capita plc (LON:CPI - Get Free Report)'s share price passed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of GBX 175.27 ($2.37) and traded as high as GBX 247 ($3.34). Capita shares last traded at GBX 243 ($3.28), with a volume of 5,899,965 shares traded.

Analysts Set New Price Targets

CPI has been the subject of several recent research reports. Deutsche Bank Aktiengesellschaft boosted their price target on shares of Capita from GBX 375 to GBX 405 and gave the stock a "buy" rating in a research note on Friday, July 4th. Shore Capital reissued a "hold" rating on shares of Capita in a research note on Tuesday, August 5th. One research analyst has rated the stock with a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat.com, Capita has an average rating of "Moderate Buy" and an average price target of GBX 405.

Capita Trading Down 0.2%

The company has a debt-to-equity ratio of 291.56, a current ratio of 0.53 and a quick ratio of 0.53. The firm's 50 day moving average price is GBX 286.77 and its 200 day moving average price is GBX 175.27. The stock has a market capitalization of £276.41 million, a P/E ratio of 1,792.04, a P/E/G ratio of 0.18 and a beta of 1.95.

Capita (LON:CPI - Get Free Report) last posted its earnings results on Tuesday, August 5th. The company reported GBX 21.63 earnings per share for the quarter. Capita had a negative net margin of 1.64% and a negative return on equity of 28.00%.

About Capita

Capita plc provides consulting, digital, and software products and services to clients in the private and public sectors in the United Kingdom and internationally. It operates in two divisions: Public Service and Capita Experience divisions. The company offers solutions for finance and accounting, procurement, property and infrastructure, travel and event, and workplace administration.

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