Diageo (LON:DGE) Reaches New 12-Month Low - What's Next?

Key Points

• Diageo shares hit a new 52-week low, trading at GBX 1,793.65 ($24.16), indicating continued downward pressure on the stock.
• Several analysts maintain a mixed outlook with target prices ranging from GBX 2,060 to GBX 2,500, resulting in an average "Moderate Buy" rating for the stock.
• Insider activity has been noted, with one insider buying 340 shares at GBX 1,927, reflecting potential confidence in the company's future performance.

Diageo plc (LON:DGE - Get Free Report)'s stock price hit a new 52-week low during mid-day trading on Monday . The company traded as low as GBX 1,793.65 ($24.24) and last traded at GBX 1,801.47 ($24.35), with a volume of 874194438 shares trading hands. The stock had previously closed at GBX 1,816.55 ($24.55).

Analyst Upgrades and Downgrades

A number of equities analysts have recently issued reports on the company. The Goldman Sachs Group raised Diageo to a "neutral" rating and set a GBX 2,000 price target on the stock in a research report on Thursday, August 7th. Deutsche Bank Aktiengesellschaft boosted their target price on Diageo from GBX 2,010 to GBX 2,060 and gave the stock a "hold" rating in a research report on Tuesday, August 5th. Jefferies Financial Group cut their target price on Diageo from GBX 2,500 to GBX 2,400 and set a "buy" rating on the stock in a research note on Monday, September 8th. Citigroup reaffirmed a "buy" rating on shares of Diageo in a report on Monday, August 4th. Finally, JPMorgan Chase & Co. restated a "neutral" rating on shares of Diageo in a research report on Thursday, August 7th. Four research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of GBX 2,378.86.

Diageo Stock Down 2.0%

The business has a 50-day moving average of GBX 1,967 and a 200 day moving average of GBX 2,003.90. The company has a market capitalization of £39.61 billion, a PE ratio of 1,684.01, a P/E/G ratio of 1.75 and a beta of 0.36. The company has a debt-to-equity ratio of 234.57, a current ratio of 1.94 and a quick ratio of 0.62.

Insiders Place Their Bets

In other Diageo news, insider John Alexander Manzoni bought 340 shares of the stock in a transaction dated Wednesday, September 10th. The stock was bought at an average cost of GBX 1,927 per share, for a total transaction of £6,551.80. Insiders acquired a total of 1,019 shares of company stock valued at $2,012,305 in the last 90 days. 0.16% of the stock is currently owned by company insiders.

Diageo Company Profile

Diageo is a global leader in premium drinks, across spirits and beer, a business built on the principles and foundations laid by the giants of the industry. With over 200 brands sold in 180 countries, our portfolio has remarkable breadth. From centuries-old names to exciting new entrants, and global giants to local legends, we're building the very best brands out there, and with over 30,000 talented people based in over 135 countries, we're a truly global company.