Computer Modelling Group (TSE:CMG) Shares Down 18.3% - Should You Sell?

Key Points

• Computer Modelling Group Ltd. shares fell 18.3% to C$6.41 after trading as low as C$6.22, with a significant increase in trading volume of 603% from the average.
• Analysts have downgraded the company's rating from "strong-buy" to "hold", with a consensus target price of C$13.14.
• The company recently announced a quarterly dividend of $0.05 per share, yielding approximately 3.1%, with a payout ratio of 65.95%.

Computer Modelling Group Ltd. (TSE:CMG - Get Free Report) fell 18.3% during mid-day trading on Friday . The company traded as low as C$6.22 and last traded at C$6.41. 1,336,123 shares changed hands during mid-day trading, an increase of 603% from the average session volume of 190,075 shares. The stock had previously closed at C$7.85.

Analysts Set New Price Targets

Separately, Ventum Cap Mkts downgraded shares of Computer Modelling Group from a "strong-buy" rating to a "hold" rating in a research report on Thursday, May 22nd. Four research analysts have rated the stock with a hold rating and three have given a buy rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Hold" and a consensus price target of C$12.83.

Computer Modelling Group Price Performance

The firm has a market cap of C$518.00 million, a price-to-earnings ratio of 21.17, a P/E/G ratio of 1.97 and a beta of 1.21. The business's 50-day simple moving average is C$7.31 and its two-hundred day simple moving average is C$7.85. The company has a current ratio of 1.27, a quick ratio of 2.25 and a debt-to-equity ratio of 47.62.

Computer Modelling Group Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, June 13th. Stockholders of record on Friday, June 13th were given a dividend of $0.05 per share. The ex-dividend date of this dividend was Thursday, June 5th. This represents a $0.20 annualized dividend and a dividend yield of 3.1%. Computer Modelling Group's dividend payout ratio (DPR) is 65.95%.

Insider Transactions at Computer Modelling Group

In other news, Director Kenneth Michael Dedeluk sold 20,000 shares of the firm's stock in a transaction that occurred on Friday, June 20th. The shares were sold at an average price of C$7.00, for a total transaction of C$140,000.00. Also, Senior Officer Pramod Jain acquired 6,100 shares of Computer Modelling Group stock in a transaction dated Tuesday, June 3rd. The shares were bought at an average cost of C$4.99 per share, with a total value of C$30,455.47. In the last quarter, insiders purchased 21,346 shares of company stock valued at $136,969 and sold 51,800 shares valued at $363,190. Insiders own 1.03% of the company's stock.

Computer Modelling Group Company Profile

Computer Modelling Group Ltd., a software and consulting technology company, engages in the development and licensing of reservoir simulation and seismic interpretation software and related services. The company offers CMOST-AI, an optimization and analysis tool that offers solution for reservoir by combining advanced statistical analysis, machine learning, and impartial data interpretation; IMEX, a black oil simulator that is used to model primary, secondary, and tertiary oil recovery processes in conventional and unconventional reservoirs; and GEM, an equation-of-state reservoir simulator for compositional, chemical, and unconventional reservoir modelling.