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

Key Points

• Computer Modelling Group Ltd. shares fell 18.3% to C$6.41, a significant drop with trading volume increasing by 603% compared to its average.
• Analysts have downgraded the stock from a "strong-buy" rating to a "hold", with a consensus rating of "Hold" and an average price target of C$13.14.
• The company announced a quarterly dividend of $0.05 per share, representing an annual yield of 3.1%, with a payout ratio of 65.95%.

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

Wall Street Analysts Forecast Growth

Separately, Ventum Cap Mkts cut Computer Modelling Group from a "strong-buy" rating to a "hold" rating in a research note 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 currently has an average rating of "Hold" and a consensus price target of C$12.83.

Computer Modelling Group Price Performance

The stock has a market capitalization of C$528.48 million, a PE ratio of 21.60, a PEG ratio of 1.97 and a beta of 1.21. The firm's fifty day moving average is C$7.31 and its 200-day moving average is C$7.87. The company has a quick ratio of 2.25, a current ratio of 1.27 and a debt-to-equity ratio of 47.62.

Computer Modelling Group Announces Dividend

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

Insider Buying and Selling

In other Computer Modelling Group news, Senior Officer Pramod Jain bought 6,100 shares of the company's stock in a transaction that occurred on Tuesday, June 3rd. The shares were acquired at an average cost of C$4.99 per share, for a total transaction of C$30,455.47. Also, Director Kenneth Michael Dedeluk sold 20,000 shares of the business'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. In the last quarter, insiders have bought 21,346 shares of company stock valued at $136,969 and have sold 51,800 shares valued at $363,190. 1.03% of the stock is currently owned by insiders.

About Computer Modelling Group

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.