Chemring Group (LON:CHG) Stock Price Passes Above Two Hundred Day Moving Average - Time to Sell?

Key Points

• Chemring Group shares moved above their 200-day moving average, trading as high as GBX 540 and last changing hands at GBX 538, after a 200-day average of GBX 518.22.
• Broker sentiment remains positive, with Deutsche Bank and Jefferies both reiterating buy ratings and price targets above current levels; the consensus rating is Buy with an average target of GBX 619.
• Recent insider buying may signal confidence, as Tony Wood and Alpna Amar purchased shares at around GBX 473-474 each, while the stock’s latest earnings showed GBX 6.20 EPS and revenue of £237.3 million.

Chemring Group PLC (LON:CHG - Get Free Report) passed above its 200-day moving average during trading on Monday . The stock has a 200-day moving average of GBX 518.22 and traded as high as GBX 540. Chemring Group shares last traded at GBX 538, with a volume of 514,679 shares trading hands.

Analyst Ratings Changes

A number of brokerages have recently issued reports on CHG. Deutsche Bank Aktiengesellschaft restated a "buy" rating and set a GBX 650 target price on shares of Chemring Group in a research report on Friday, June 26th. Jefferies Financial Group reiterated a "buy" rating and issued a GBX 658 price target on shares of Chemring Group in a research report on Thursday, June 25th. Finally, Royal Bank Of Canada decreased their price target on shares of Chemring Group from GBX 600 to GBX 580 and set an "outperform" rating for the company in a research note on Wednesday, June 3rd. Five research analysts have rated the stock with a Buy rating, According to data from MarketBeat, the company has a consensus rating of "Buy" and an average price target of GBX 619.

Chemring Group Price Performance

The stock has a market cap of £1.46 billion, a price-to-earnings ratio of 43.74, a PEG ratio of 1.99 and a beta of 0.80. The company has a 50-day moving average of GBX 510.49 and a 200-day moving average of GBX 518.22. The company has a debt-to-equity ratio of 51.32, a quick ratio of 0.70 and a current ratio of 1.38.

Chemring Group (LON:CHG - Get Free Report) last posted its quarterly earnings data on Tuesday, June 2nd. The company reported GBX 6.20 EPS for the quarter. Chemring Group had a return on equity of 9.03% and a net margin of 6.77%.The firm had revenue of £237.30 million during the quarter. As a group, equities research analysts predict that Chemring Group PLC will post 24.8815166 earnings per share for the current year.

Insider Activity at Chemring Group

In related news, insider Tony Wood purchased 42,000 shares of the business's stock in a transaction dated Friday, June 26th. The stock was acquired at an average price of GBX 473 per share, for a total transaction of £198,660. Also, insider Alpna Amar purchased 10,000 shares of the firm's stock in a transaction that occurred on Friday, June 26th. The shares were bought at an average cost of GBX 474 per share, with a total value of £47,400. 1.17% of the stock is owned by corporate insiders.

Chemring Group Company Profile

We are a specialist manufacturing and technology business creating market-leading innovative solutions to meet our customers' complex needs. Using our extensive science and engineering expertise, we turn ideas into reality, designing and developing critical solutions that protect and safeguard in unpredictable environments in today's increasingly unstable world. We achieve this by innovating at every stage of the value chain, from research and development (“R&D”) through to design, manufacture and in-service support, working closely with our customers to deliver products, services and solutions for mission-critical success. Our customer base spans national defence organisations, security and law enforcement agencies, as well as commercial markets such as space and transport.

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