Grab Holdings Limited (NASDAQ:GRAB) Stock Now Rated "Moderate Buy" by Sell-Side Analysts

Key Points

• Analysts rate Grab a “Moderate Buy”: Nine of 12 covering brokerages recommend buying the stock, with an average 12-month price target of $6.11 versus its recent price of $3.13.
• Grab exceeded quarterly expectations, reporting adjusted earnings of $0.06 per share and revenue of $997 million, slightly above analyst estimates.
• Institutional investors remain supportive: Hedge funds and other institutions own 55.52% of the company, although insiders sold more than 1.2 million shares worth approximately $4.46 million during the last quarter.

Grab Holdings Limited (NASDAQ:GRAB - Get Free Report) has been given an average rating of "Moderate Buy" by the twelve brokerages that are presently covering the firm, MarketBeat.com reports. One equities research analyst has rated the stock with a sell rating, one has assigned a hold rating, nine have assigned a buy rating and one has assigned a strong buy rating to the company. The average 1-year target price among brokerages that have updated their coverage on the stock in the last year is $6.11.

A number of research analysts have recently issued reports on the company. Bank of America reissued a "buy" rating on shares of Grab in a report on Friday. Zacks Research raised Grab from a "strong sell" rating to a "hold" rating in a report on Tuesday, June 2nd. Weiss Ratings lowered shares of Grab from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Monday, August 17th. Benchmark reissued a "buy" rating on shares of Grab in a research note on Tuesday, August 4th. Finally, KeyCorp set a $7.00 price objective on shares of Grab in a research report on Wednesday, September 16th.

Grab Stock Performance

NASDAQ GRAB opened at $3.13 on Friday. The company has a quick ratio of 1.51, a current ratio of 1.52 and a debt-to-equity ratio of 0.06. Grab has a 52-week low of $2.74 and a 52-week high of $6.60. The business's 50-day moving average price is $3.39 and its 200 day moving average price is $3.58. The firm has a market cap of $12.83 billion, a P/E ratio of 52.18, a P/E/G ratio of 0.82 and a beta of 0.89.

Grab (NASDAQ:GRAB - Get Free Report) last posted its quarterly earnings data on Tuesday, August 4th. The company reported $0.06 EPS for the quarter, beating the consensus estimate of $0.05 by $0.01. Grab had a return on equity of 8.83% and a net margin of 15.97%.The firm had revenue of $997.00 million during the quarter, compared to the consensus estimate of $994.97 million. On average, equities research analysts expect that Grab will post 0.13 earnings per share for the current year.

Insiders Place Their Bets

In related news, insider Chin Ong sold 38,000 shares of the stock in a transaction dated Thursday, September 3rd. The shares were sold at an average price of $3.43, for a total transaction of $130,340.00. Following the completion of the transaction, the insider directly owned 3,632,611 shares of the company's stock, valued at $12,459,855.73. This represents a 1.04% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Peter Henry Oey sold 50,000 shares of the firm's stock in a transaction dated Tuesday, September 15th. The shares were sold at an average price of $2.90, for a total transaction of $145,000.00. Following the completion of the sale, the chief financial officer owned 6,803,470 shares of the company's stock, valued at approximately $19,730,063. The trade was a 0.73% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 1,219,349 shares of company stock valued at $4,459,375. Corporate insiders own 3.60% of the company's stock.

Hedge Funds Weigh In On Grab

Large investors have recently modified their holdings of the business. BlackRock Inc. lifted its holdings in shares of Grab by 6.4% in the 2nd quarter. BlackRock Inc. now owns 156,175,807 shares of the company's stock valued at $588,783,000 after buying an additional 9,357,389 shares during the period. Assenagon Asset Management S.A. grew its holdings in Grab by 58.0% during the first quarter. Assenagon Asset Management S.A. now owns 54,906,371 shares of the company's stock worth $200,957,000 after acquiring an additional 20,152,535 shares during the period. WFM ASIA BVI Ltd raised its position in Grab by 12.5% in the fourth quarter. WFM ASIA BVI Ltd now owns 37,675,992 shares of the company's stock worth $188,003,000 after acquiring an additional 4,194,477 shares in the last quarter. Coronation Fund Managers Ltd. raised its position in Grab by 74.5% in the first quarter. Coronation Fund Managers Ltd. now owns 32,601,355 shares of the company's stock worth $119,321,000 after acquiring an additional 13,919,053 shares in the last quarter. Finally, Norges Bank acquired a new stake in Grab in the fourth quarter valued at $161,484,000. 55.52% of the stock is owned by hedge funds and other institutional investors.

About Grab

Grab Holdings Inc NASDAQ: GRAB is a technology company that operates a superapp serving consumers, drivers, merchants and businesses across Southeast Asia. Its platform connects users with transportation, food and grocery delivery, parcel and on-demand logistics, digital payments and other financial services.

The company began as a ride-hailing service in Malaysia in 2012, founded by Anthony Tan and Tan Hooi Ling, and expanded into a broader digital platform. Grab's consumer offerings include private-hire and taxi services, GrabFood, GrabMart and GrabExpress, while its financial-services products include digital payments, lending, insurance and digital banking services offered in selected markets.

Grab serves markets across Southeast Asia, including Singapore, Malaysia, Indonesia, Thailand, Vietnam, the Philippines and Cambodia.

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