Drax Group (LON:DRX) Hits New 1-Year High - Time to Buy?

Key Points

• Drax Group plc shares reached a new 52-week high at GBX 714.50 ($9.47), showing significant trading volume of over 1.18 million shares.
• Analysts have recently issued mixed ratings, with JPMorgan assigning an "overweight" rating and a target price of GBX 1,000 ($13.26), while Citigroup raised its target from GBX 529 ($7.01) to GBX 682 ($9.04).
• Insider Will Gardiner sold 150,000 shares at an average price of GBX 660 ($8.75), amounting to a total value of £990,000 ($1.31 million).

Shares of Drax Group plc (LON:DRX - Get Free Report) hit a new 52-week high during mid-day trading on Thursday . The stock traded as high as GBX 714.50 ($9.48) and last traded at GBX 714.50 ($9.48), with a volume of 1187361 shares traded. The stock had previously closed at GBX 678 ($9.00).

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on DRX. Citigroup raised shares of Drax Group to a "neutral" rating and increased their price objective for the stock from GBX 529 ($7.02) to GBX 682 ($9.05) in a research report on Monday, July 28th. JPMorgan Chase & Co. began coverage on shares of Drax Group in a research report on Friday, July 4th. They set an "overweight" rating and a GBX 1,000 ($13.27) price objective for the company.

Drax Group Price Performance

The company's fifty day moving average is GBX 675.71 and its 200 day moving average is GBX 627.43. The firm has a market cap of £2.52 billion, a price-to-earnings ratio of 4.07, a PEG ratio of 0.10 and a beta of 1.22. The company has a quick ratio of 0.32, a current ratio of 1.26 and a debt-to-equity ratio of 64.11.

Drax Group (LON:DRX - Get Free Report) last announced its earnings results on Thursday, July 31st. The company reported GBX 65.60 ($0.87) EPS for the quarter. Drax Group had a net margin of 9.42% and a return on equity of 31.63%. On average, equities research analysts predict that Drax Group plc will post 97.4732006 EPS for the current year.

Insider Buying and Selling

In other Drax Group news, insider Will Gardiner sold 150,000 shares of the stock in a transaction on Tuesday, June 3rd. The shares were sold at an average price of GBX 660 ($8.76), for a total value of £990,000 ($1,314,043.01). Insiders own 0.67% of the company's stock.

About Drax Group

Drax Group plc, together with its subsidiaries, engages in renewable power generation in the United Kingdom. It operates through three segments: Pellet Production, Generation, and Customers. The Pellet Production segment produces and sells biomass pellets. The Generation segment provides renewable, dispatchable power, and system support services to the electricity grid.