DCC (LON:DCC) Stock Crosses Below 200 Day Moving Average - Here's Why

Key Points

• DCC plc shares dropped below their 200-day moving average of GBX 4,966.87, trading as low as GBX 4,652 ($62.14) during recent trading sessions.
• Equities analysts have revised their ratings, with the Royal Bank of Canada lowering its price target from GBX 5,400 to GBX 5,200 while maintaining an "outperform" rating.
• The company has initiated a stock repurchase program as of May 27th, indicating management's belief that the stock may be undervalued.

DCC plc (LON:DCC - Get Free Report) shares crossed below its two hundred day moving average during trading on Wednesday . The stock has a two hundred day moving average of GBX 4,966.87 ($66.35) and traded as low as GBX 4,652 ($62.14). DCC shares last traded at GBX 4,658 ($62.22), with a volume of 152,414 shares trading hands.

Analyst Ratings Changes

Several equities analysts have issued reports on DCC shares. Royal Bank Of Canada cut their price objective on DCC from GBX 5,400 ($72.13) to GBX 5,200 ($69.46) and set an "outperform" rating for the company in a research report on Monday, May 19th. Deutsche Bank Aktiengesellschaft restated a "hold" rating and set a GBX 5,500 ($73.47) target price on shares of DCC in a research report on Friday, July 11th.

DCC Stock Up 1.5%

The company has a debt-to-equity ratio of 77.99, a current ratio of 1.31 and a quick ratio of 0.89. The company has a market capitalization of £4.68 billion, a price-to-earnings ratio of 21.95, a PEG ratio of 4.37 and a beta of 0.74. The firm has a 50-day moving average price of GBX 4,706.74 and a two-hundred day moving average price of GBX 4,966.87.

DCC declared that its board has authorized a stock repurchase program on Tuesday, May 27th that permits the company to buyback 0 shares. This buyback authorization permits the company to repurchase shares of its stock through open market purchases. Shares buyback programs are usually a sign that the company's board of directors believes its shares are undervalued.

Insider Activity

In related news, insider Kevin Lucey sold 1,850 shares of the company's stock in a transaction dated Thursday, May 22nd. The stock was sold at an average price of GBX 4,541 ($60.66), for a total transaction of £84,008.50 ($112,220.81). Also, insider Donal Murphy sold 8,150 shares of the company's stock in a transaction dated Thursday, May 22nd. The stock was sold at an average price of GBX 4,541 ($60.66), for a total value of £370,091.50 ($494,378.17). 0.23% of the stock is owned by corporate insiders.

DCC Company Profile

DCC plc is a leading international sales, marketing and support services group operating in 22 countries, supplying products and services used by millions of people every day. Headquartered in Dublin, the Group operates across three sectors: energy, healthcare and technology, employing over 16,000 people.

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