Babcock (NYSE:BW) Stock Rated "Hold" by Sell-Side Brokerages

Key Points

• Babcock has a consensus “Hold” rating from seven analysts, with four buys, two holds and one sell; the average 12-month price target is $15.40.
• The stock opened at $4.14 and has fallen well below its 52-week high of $22.03, while carrying a high debt-to-equity ratio of 4.21 and negative profitability metrics.
• Babcock beat quarterly earnings expectations, reporting $0.04 in EPS versus a $0.02 estimate and revenue of $319.72 million versus $196.95 million expected; an insider also purchased 5,000 shares.

Babcock (NYSE:BW - Get Free Report) has received a consensus rating of "Hold" from the seven brokerages that are covering the firm, Marketbeat Ratings reports. One analyst has rated the stock with a sell rating, two have assigned a hold rating and four have issued a buy rating on the company. The average 1 year target price among brokerages that have issued a report on the stock in the last year is $15.40.

Several analysts have weighed in on BW shares. Weiss Ratings raised Babcock from a "sell (d-)" rating to a "sell (d+)" rating in a report on Tuesday, August 11th. Needham & Company LLC started coverage on shares of Babcock in a research note on Monday, August 31st. They set a "buy" rating and a $20.00 price target for the company. Finally, Wall Street Zen lowered shares of Babcock from a "buy" rating to a "hold" rating in a report on Sunday, August 23rd.

Babcock Trading Down 1.8%

Shares of NYSE:BW opened at $4.14 on Friday. The company has a current ratio of 1.45, a quick ratio of 1.33 and a debt-to-equity ratio of 4.21. The stock has a market capitalization of $617.46 million, a PE ratio of -23.03 and a beta of 1.17. Babcock has a 1 year low of $3.12 and a 1 year high of $22.03. The firm has a fifty day moving average price of $6.57 and a 200 day moving average price of $11.86.

Babcock (NYSE:BW - Get Free Report) last issued its quarterly earnings results on Monday, August 10th. The technology company reported $0.04 earnings per share for the quarter, beating analysts' consensus estimates of $0.02 by $0.02. The firm had revenue of $319.72 million during the quarter, compared to the consensus estimate of $196.95 million. Babcock had a negative net margin of 2.17% and a negative return on equity of 4.51%. Analysts expect that Babcock will post 0.27 EPS for the current fiscal year.

Insiders Place Their Bets

In other Babcock news, Director Philip Moeller acquired 5,000 shares of Babcock stock in a transaction dated Thursday, August 13th. The stock was bought at an average cost of $9.50 per share, for a total transaction of $47,500.00. Following the purchase, the director directly owned 240,809 shares in the company, valued at approximately $2,287,685.50. This represents a 2.12% increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through this link. Insiders own 2.80% of the company's stock.

Institutional Investors Weigh In On Babcock

Institutional investors have recently modified their holdings of the business. Inspire Investing LLC acquired a new position in Babcock during the 3rd quarter valued at about $633,000. State of Alaska Department of Revenue bought a new stake in Babcock during the third quarter worth $50,000. B. Riley Wealth Advisors Inc. grew its holdings in Babcock by 62.0% during the third quarter. B. Riley Wealth Advisors Inc. now owns 16,460 shares of the technology company's stock worth $96,000 after buying an additional 6,300 shares in the last quarter. Kieckhefer Group LLC purchased a new stake in Babcock in the 3rd quarter valued at $2,298,000. Finally, Whalen Wealth Management Inc. purchased a new stake in Babcock in the 3rd quarter valued at $109,000. Institutional investors own 83.17% of the company's stock.

About Babcock

Babcock & Wilcox Enterprises, Inc is an energy and environmental technology company that provides equipment, systems and services for power generation, industrial operations and waste management. Its offerings include steam-generating technologies, boilers, emissions-control systems, construction and maintenance services, and related engineering support.

The company also develops technologies for renewable energy and waste conversion, including solutions designed to transform waste and biomass into useful heat and power.

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