Clarivate PLC (NYSE:CLVT) Given Average Recommendation of "Reduce" by Brokerages

Key Points

• Clarivate has a consensus “Reduce” rating from eight analysts: three recommend selling, four advise holding, and one recommends buying. The average 12-month price target is $3.02, though several firms recently lowered their targets.
• Shares opened at $2.08, near the company’s 50-day average of $2.11 and below its 200-day average of $2.31. Clarivate reported quarterly EPS of $0.19, slightly exceeding estimates, but revenue fell 5.5% year over year to $587.3 million.
• Insider activity was mixed: Director Kenneth Cornick bought 650,000 shares for about $1.2 million, while Director Andrew Snyder sold roughly 2.49 million shares for $4.83 million. Insiders own 22.88% of the company, while institutional investors own 85.72%.

Shares of Clarivate PLC (NYSE:CLVT - Get Free Report) have earned a consensus rating of "Reduce" from the eight ratings firms that are covering the company, Marketbeat.com reports. Three analysts have rated the stock with a sell recommendation, four have given a hold recommendation and one has issued a buy recommendation on the company. The average 12 month target price among analysts that have issued ratings on the stock in the last year is $3.0167.

CLVT has been the topic of a number of research analyst reports. The Goldman Sachs Group cut their target price on Clarivate from $2.90 to $2.60 and set a "neutral" rating on the stock in a research note on Thursday, July 30th. Wall Street Zen cut Clarivate from a "buy" rating to a "hold" rating in a research report on Saturday, August 1st. Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Clarivate in a research report on Wednesday, June 24th. Citigroup lowered their target price on Clarivate from $2.80 to $2.50 and set a "neutral" rating on the stock in a research note on Thursday, July 30th. Finally, Barclays cut their price target on shares of Clarivate from $2.50 to $2.00 and set an "underweight" rating on the stock in a report on Thursday, July 30th.

Clarivate Price Performance

Shares of NYSE:CLVT opened at $2.08 on Monday. The company has a current ratio of 0.85, a quick ratio of 0.85 and a debt-to-equity ratio of 0.93. The stock has a market cap of $1.33 billion, a PE ratio of -4.01 and a beta of 1.40. The stock's fifty day simple moving average is $2.11 and its two-hundred day simple moving average is $2.31. Clarivate has a 1-year low of $1.66 and a 1-year high of $4.55.

Clarivate (NYSE:CLVT - Get Free Report) last announced its earnings results on Wednesday, July 29th. The company reported $0.19 EPS for the quarter, beating the consensus estimate of $0.18 by $0.01. Clarivate had a negative net margin of 13.84% and a positive return on equity of 9.15%. The company had revenue of $587.30 million during the quarter, compared to the consensus estimate of $589.73 million. During the same quarter in the prior year, the company posted $0.18 earnings per share. The firm's revenue for the quarter was down 5.5% on a year-over-year basis. As a group, analysts forecast that Clarivate will post 0.67 EPS for the current fiscal year.

Insider Transactions at Clarivate

In related news, Director Kenneth L. Cornick bought 650,000 shares of Clarivate stock in a transaction dated Thursday, August 6th. The stock was purchased at an average cost of $1.86 per share, with a total value of $1,209,000.00. Following the transaction, the director directly owned 1,750,000 shares of the company's stock, valued at approximately $3,255,000. The trade was a 59.09% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Andrew Miles Snyder sold 2,489,618 shares of the stock in a transaction that occurred on Monday, August 3rd. The shares were sold at an average price of $1.94, for a total transaction of $4,829,858.92. Following the transaction, the director directly owned 3,856,597 shares of the company's stock, valued at $7,481,798.18. This represents a 39.23% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 22.88% of the stock is owned by insiders.

Institutional Trading of Clarivate

Large investors have recently bought and sold shares of the company. Personal CFO Solutions LLC purchased a new position in shares of Clarivate during the 1st quarter valued at $30,000. FreeGulliver LLC bought a new stake in Clarivate in the 1st quarter valued at about $30,000. Principal Financial Group Inc. purchased a new stake in Clarivate during the first quarter valued at about $32,000. M&T Bank Corp bought a new position in Clarivate during the fourth quarter worth about $34,000. Finally, Parallel Advisors LLC increased its stake in shares of Clarivate by 94.2% in the first quarter. Parallel Advisors LLC now owns 13,786 shares of the company's stock worth $35,000 after purchasing an additional 6,687 shares in the last quarter. 85.72% of the stock is owned by hedge funds and other institutional investors.

About Clarivate

Clarivate plc is a global information and analytics company that provides insights and workflow solutions to accelerate the pace of innovation. The company delivers proprietary data, analytics, and expertise to support research and development in the life sciences, intellectual property management, academic institutions, government agencies, and corporations. Its core offerings include citation and patent databases, drug pipeline analytics, trademark research tools, regulatory compliance solutions, and market intelligence platforms.

Originally part of Thomson Reuters' Intellectual Property & Science division, Clarivate was established as an independent entity in 2016 following a spin-off transaction.

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