Cosan (NYSE:CSAN) Hits New 12-Month Low - Should You Sell?

Key Points

• Cosan S.A. shares have reached a new 52-week low of $4.05 as analysts downgrade the stock from a "hold" to a "sell" rating.
• The company reported a significant earnings miss of ($0.65) EPS, against a consensus estimate of (($0.01), contributing to concerns over its financial performance.
• Institutional investors, including Citadel Advisors, have significantly increased their holdings in Cosan, showcasing mixed investor sentiment despite recent stock declines.

Cosan S.A. Sponsored ADR (NYSE:CSAN - Get Free Report) hit a new 52-week low during trading on Wednesday . The stock traded as low as $4.05 and last traded at $4.07, with a volume of 252445 shares. The stock had previously closed at $4.15.

Analysts Set New Price Targets

Separately, Wall Street Zen lowered shares of Cosan from a "hold" rating to a "sell" rating in a report on Saturday, May 24th.

Cosan Price Performance

The firm has a market cap of $1.95 billion, a PE ratio of 3.16, a price-to-earnings-growth ratio of 0.13 and a beta of 0.98. The stock's fifty day moving average price is $5.12 and its 200-day moving average price is $5.18. The company has a debt-to-equity ratio of 1.88, a current ratio of 2.13 and a quick ratio of 1.98.

Cosan (NYSE:CSAN - Get Free Report) last released its earnings results on Thursday, May 15th. The company reported ($0.65) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.01) by ($0.64). Cosan had a negative return on equity of 24.39% and a negative net margin of 25.77%. The business had revenue of $1.29 billion for the quarter, compared to analysts' expectations of $7.17 billion. As a group, equities analysts expect that Cosan S.A. Sponsored ADR will post 0.2 EPS for the current fiscal year.

Institutional Investors Weigh In On Cosan

A number of large investors have recently modified their holdings of CSAN. BNP Paribas Financial Markets purchased a new stake in shares of Cosan during the fourth quarter worth $27,000. GAMMA Investing LLC boosted its position in shares of Cosan by 799.4% during the 1st quarter. GAMMA Investing LLC now owns 5,747 shares of the company's stock valued at $30,000 after acquiring an additional 5,108 shares during the last quarter. Cubist Systematic Strategies LLC acquired a new position in shares of Cosan during the 4th quarter valued at about $41,000. Invesco Ltd. acquired a new position in shares of Cosan during the 4th quarter valued at about $58,000. Finally, FORA Capital LLC acquired a new position in shares of Cosan during the 1st quarter valued at about $58,000.

About Cosan

Cosan SA engages in the fuel distribution business. It operates through Raízen, Compass, Moove, Rumo, and Radar segments. The company's Raízen segment engages in the production, commercialization, origination, and trading of ethanol, bioenergy, renewable sources, and sugar; trading and resale of electricity; and distribution and commercialization of fuels and lubricants.