DCC (LON:DCC) Shares Cross Below 200 Day Moving Average - Should You Sell?

Key Points

• DCC plc stock crossed below its 200-day moving average, trading at GBX 4,742 ($63.35) compared to the average of GBX 4,987.98 ($66.64).
• Brokers have adjusted their price targets, with Deutsche Bank maintaining a "hold" rating at GBX 5,500 ($73.48), while Royal Bank of Canada reduced its target from GBX 5,400 ($72.14) to GBX 5,200 ($69.47).
• Insider trades included significant share sales, with Kevin Lucey and Donal Murphy selling shares at an average price of GBX 4,541 ($60.67), signaling possible concerns about the stock's near-term performance.

Shares of DCC plc (LON:DCC - Get Free Report) passed below its 200-day moving average during trading on Monday . The stock has a 200-day moving average of GBX 4,987.98 ($65.89) and traded as low as GBX 4,742 ($62.64). DCC shares last traded at GBX 4,742 ($62.64), with a volume of 180,163 shares changing hands.

Wall Street Analysts Forecast Growth

DCC has been the subject of a number of research reports. Royal Bank Of Canada reduced their price objective on DCC from GBX 5,400 ($71.33) to GBX 5,200 ($68.69) and set an "outperform" rating for the company in a research report on Monday, May 19th. Deutsche Bank Aktiengesellschaft reaffirmed a "hold" rating and issued a GBX 5,500 ($72.66) price target on shares of DCC in a research report on Friday, July 11th.

DCC Trading Down 2.1%

The stock's 50 day moving average price is GBX 4,699.65 and its 200-day moving average price is GBX 4,982.78. The company has a quick ratio of 0.89, a current ratio of 1.31 and a debt-to-equity ratio of 77.99. The stock has a market capitalization of £4.61 billion, a PE ratio of 21.62, a PEG ratio of 4.37 and a beta of 0.74.

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

Insider Activity

In other DCC news, insider Kevin Lucey sold 1,850 shares of the firm's stock in a transaction dated Thursday, May 22nd. The shares were sold at an average price of GBX 4,541 ($59.99), for a total transaction of £84,008.50 ($110,975.56). Also, insider Donal Murphy sold 8,150 shares of the firm's stock in a transaction dated Thursday, May 22nd. The shares were sold at an average price of GBX 4,541 ($59.99), for a total transaction of £370,091.50 ($488,892.34). Company insiders own 0.23% of the company's stock.

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.