DFS Furniture (LON:DFS) Shares Cross Below Fifty Day Moving Average - Here's What Happened

Key Points

• Shares crossed below the 50-day moving average — DFS fell as low as GBX 122 and last traded at GBX 131 versus a 50-day MA of GBX 168.37 on volume of about 1.86 million shares, a bearish technical signal.
• Analyst consensus remains "Buy" with three analysts rating the stock a Buy and an average target of GBX 222.50, although Jefferies and Berenberg recently trimmed their price targets.
• Fundamentals show a low valuation but leverage and liquidity concerns: market cap £301.6m and P/E 8.7, but a debt-to-equity of 150.97 and very low quick/current ratios (0.10/0.27) despite a ROE of 13.23%.

DFS Furniture plc (LON:DFS - Get Free Report) shares crossed below its 50 day moving average during trading on Wednesday . The stock has a 50 day moving average of GBX 168.37 and traded as low as GBX 122. DFS Furniture shares last traded at GBX 131, with a volume of 1,855,373 shares trading hands.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on DFS. Jefferies Financial Group lowered their price target on DFS Furniture from GBX 230 to GBX 210 and set a "buy" rating for the company in a report on Monday, March 23rd. Berenberg Bank lowered their price target on DFS Furniture from GBX 247 to GBX 235 and set a "buy" rating for the company in a report on Monday, March 23rd. Finally, Shore Capital Group reaffirmed a "buy" rating on shares of DFS Furniture in a report on Tuesday, March 31st. Three analysts have rated the stock with a Buy rating, Based on data from MarketBeat, DFS Furniture currently has a consensus rating of "Buy" and an average target price of GBX 222.50.

DFS Furniture Price Performance

The firm has a market capitalization of £301.56 million, a price-to-earnings ratio of 8.70, a P/E/G ratio of 0.56 and a beta of 1.26. The company has a fifty day moving average price of GBX 168.37 and a two-hundred day moving average price of GBX 166.14. The company has a quick ratio of 0.10, a current ratio of 0.27 and a debt-to-equity ratio of 150.97.

DFS Furniture (LON:DFS - Get Free Report) last posted its quarterly earnings data on Thursday, March 19th. The company reported GBX 9.80 earnings per share for the quarter. DFS Furniture had a return on equity of 13.23% and a net margin of 3.27%. On average, equities research analysts expect that DFS Furniture plc will post 7.25545 EPS for the current fiscal year.

About DFS Furniture

DFS Group is the leading sofa retail specialist in the UK and since 1969 we've been passionate about making and selling high quality, great looking sofas.

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