Cosan (NYSE:CSAN) Shares Gap Up - Here's Why

Key Points

• Cosan S.A. Sponsored ADR shares gapped up from a previous close of $4.28 to open at $4.45, reflecting a current trading price of $4.42 with a volume of 241,164 shares.
• Analysts have mixed views on Cosan, with ratings ranging from "Strong Buy" to "Hold," and a consensus target price set at $12.00.
• Cosan reported a quarterly EPS of $(0.36) against revenue of $1.23 billion, significantly underperforming analysts' expectations of $7.12 billion.

Shares of Cosan S.A. Sponsored ADR (NYSE:CSAN - Get Free Report) gapped up before the market opened on Tuesday . The stock had previously closed at $4.28, but opened at $4.45. Cosan shares last traded at $4.42, with a volume of 241,164 shares traded.

Wall Street Analyst Weigh In

Several brokerages have recently commented on CSAN. The Goldman Sachs Group reduced their price objective on shares of Cosan from $6.60 to $5.00 and set a "neutral" rating for the company in a research report on Wednesday, August 27th. Zacks Research downgraded shares of Cosan from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, August 26th. Finally, Wall Street Zen raised shares of Cosan from a "sell" rating to a "hold" rating in a research report on Friday, August 22nd. One investment analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and two have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $12.00.

Cosan Trading Up 2.2%

The firm's 50-day moving average is $4.42 and its 200-day moving average is $5.00. The company has a current ratio of 2.13, a quick ratio of 1.98 and a debt-to-equity ratio of 1.88. The firm has a market cap of $2.48 billion, a price-to-earnings ratio of 4.02, a P/E/G ratio of 0.36 and a beta of 1.05.

Cosan (NYSE:CSAN - Get Free Report) last posted its quarterly earnings results on Thursday, August 14th. The company reported ($0.36) earnings per share (EPS) for the quarter. Cosan had a negative net margin of 28.08% and a negative return on equity of 27.61%. The business had revenue of $1.23 billion during the quarter, compared to analyst estimates of $7.12 billion. As a group, sell-side analysts anticipate that Cosan S.A. Sponsored ADR will post 0.2 EPS for the current fiscal year.

Hedge Funds Weigh In On Cosan

Large investors have recently added to or reduced their stakes in the business. BNP Paribas Financial Markets purchased a new position in shares of Cosan during the fourth quarter valued at approximately $27,000. GAMMA Investing LLC boosted its position in shares of Cosan by 799.4% during the first quarter. GAMMA Investing LLC now owns 5,747 shares of the company's stock valued at $30,000 after buying an additional 5,108 shares during the last quarter. Cubist Systematic Strategies LLC purchased a new position in shares of Cosan during the fourth quarter valued at approximately $41,000. FORA Capital LLC purchased a new position in shares of Cosan during the first quarter valued at approximately $58,000. Finally, Ballentine Partners LLC purchased a new position in shares of Cosan during the second quarter valued at approximately $64,000.

Cosan Company Profile

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.