DCC (LON:DCC) Stock Price Passes Below 200-Day Moving Average - Here's What Happened

Key Points

• DCC plc's stock price has fallen below its 200-day moving average, indicating potential downward momentum and concerns for investors.
• Royal Bank of Canada revised its price target for DCC shares down to GBX 5,200 while maintaining an "outperform" rating, while Deutsche Bank reaffirmed a "hold" rating with a price target of GBX 5,500.
• The company has initiated a stock buyback plan, signaling that leadership may consider the stock undervalued.

DCC plc (LON:DCC - Get Free Report)'s stock price crossed below its 200-day moving average during trading on Thursday . The stock has a 200-day moving average of GBX 4,936.01 ($66.90) and traded as low as GBX 4,652 ($63.05). DCC shares last traded at GBX 4,691.50 ($63.59), with a volume of 349,847 shares changing hands.

Wall Street Analyst Weigh In

A number of research firms have recently issued reports on DCC. Deutsche Bank Aktiengesellschaft reiterated a "hold" rating and issued a GBX 5,500 ($74.55) target price on shares of DCC in a research note on Friday, July 11th. Royal Bank Of Canada dropped their price objective on shares of DCC from GBX 5,400 ($73.19) to GBX 5,200 ($70.48) and set an "outperform" rating for the company in a research report on Monday, May 19th.

DCC Stock Performance

The company has a debt-to-equity ratio of 77.99, a quick ratio of 0.89 and a current ratio of 1.31. The stock's 50-day moving average is GBX 4,719.12 and its 200 day moving average is GBX 4,926.86. The firm has a market cap of £4.68 billion, a P/E ratio of 21.92, a PEG ratio of 4.37 and a beta of 0.74.

DCC announced that its board has approved a share buyback plan on Tuesday, May 27th that permits the company to repurchase 0 shares. This repurchase authorization permits the company to buy shares of its stock through open market purchases. Stock repurchase plans are generally an indication that the company's leadership believes its shares are undervalued.

Insiders Place Their Bets

In related news, insider Kevin Lucey sold 1,850 shares of the company's stock in a transaction on Thursday, May 22nd. The shares were sold at an average price of GBX 4,541 ($61.55), for a total value of £84,008.50 ($113,863.51). Also, insider Donal Murphy sold 8,150 shares of the company's stock in a transaction on Thursday, May 22nd. The stock was sold at an average price of GBX 4,541 ($61.55), for a total transaction of £370,091.50 ($501,614.94). 0.23% of the stock is owned by corporate insiders.

About DCC

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.