Embraer-Empresa Brasileira de Aeronautica (NYSE:ERJ) Stock Price Down 5.7% - Here's What Happened

Key Points

• Embraer-Empresa Brasileira de Aeronautica shares fell by 5.7%, trading at $57.10, a significant decline from the previous closing price of $60.56, with a trading volume down 69% from average levels.
• Recent analyst updates have mixed signals, with HSBC upgrading the stock to a "strong-buy" while Zacks shifted it from "strong sell" to "hold", resulting in a consensus rating of "Moderate Buy" with an average target price of $59.40.
• The company reported a loss of ($0.02) EPS for the last quarter, substantially missing the consensus estimate of $0.47, despite generating revenues of $1.82 billion, exceeding expectations of $1.67 billion.

Embraer-Empresa Brasileira de Aeronautica (NYSE:ERJ - Get Free Report) shares fell 5.7% during mid-day trading on Thursday . The stock traded as low as $57.38 and last traded at $57.10. 517,052 shares were traded during trading, a decline of 69% from the average session volume of 1,690,656 shares. The stock had previously closed at $60.56.

Analyst Upgrades and Downgrades

Several research firms have issued reports on ERJ. Hsbc Global Res upgraded shares of Embraer-Empresa Brasileira de Aeronautica from a "hold" rating to a "strong-buy" rating in a research note on Wednesday, June 4th. Zacks Research upgraded shares of Embraer-Empresa Brasileira de Aeronautica from a "strong sell" rating to a "hold" rating in a research note on Monday, September 15th. Bank of America upped their target price on shares of Embraer-Empresa Brasileira de Aeronautica from $55.00 to $65.00 and gave the company a "buy" rating in a research note on Thursday, September 11th. HSBC upgraded shares of Embraer-Empresa Brasileira de Aeronautica from a "hold" rating to a "buy" rating and upped their target price for the company from $45.00 to $57.00 in a research note on Wednesday, June 4th. Finally, Wall Street Zen cut shares of Embraer-Empresa Brasileira de Aeronautica from a "buy" rating to a "hold" rating in a research note on Saturday, August 9th. Two analysts have rated the stock with a Strong Buy rating, four have issued a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, Embraer-Empresa Brasileira de Aeronautica currently has a consensus rating of "Moderate Buy" and an average price target of $59.40.

Embraer-Empresa Brasileira de Aeronautica Stock Down 5.6%

The company's fifty day moving average is $57.21 and its 200-day moving average is $51.78. The company has a market capitalization of $10.50 billion, a PE ratio of 27.95, a price-to-earnings-growth ratio of 3.65 and a beta of 1.82. The company has a debt-to-equity ratio of 0.58, a quick ratio of 0.60 and a current ratio of 1.33.

Embraer-Empresa Brasileira de Aeronautica (NYSE:ERJ - Get Free Report) last released its earnings results on Tuesday, August 5th. The aerospace company reported ($0.02) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.47 by ($0.49). The firm had revenue of $1.82 billion during the quarter, compared to analysts' expectations of $1.67 billion. Embraer-Empresa Brasileira de Aeronautica had a return on equity of 13.38% and a net margin of 5.43%.During the same period in the prior year, the company posted $0.44 earnings per share. Embraer-Empresa Brasileira de Aeronautica has set its FY 2025 guidance at EPS. As a group, analysts predict that Embraer-Empresa Brasileira de Aeronautica will post 2.04 EPS for the current fiscal year.

Institutional Investors Weigh In On Embraer-Empresa Brasileira de Aeronautica

Institutional investors have recently added to or reduced their stakes in the stock. WPG Advisers LLC purchased a new stake in Embraer-Empresa Brasileira de Aeronautica during the 1st quarter valued at approximately $25,000. Jones Financial Companies Lllp grew its holdings in Embraer-Empresa Brasileira de Aeronautica by 98.2% during the 1st quarter. Jones Financial Companies Lllp now owns 1,508 shares of the aerospace company's stock valued at $70,000 after buying an additional 747 shares in the last quarter. Northwestern Mutual Wealth Management Co. grew its holdings in Embraer-Empresa Brasileira de Aeronautica by 241.6% during the 1st quarter. Northwestern Mutual Wealth Management Co. now owns 1,766 shares of the aerospace company's stock valued at $82,000 after buying an additional 1,249 shares in the last quarter. Farther Finance Advisors LLC grew its holdings in Embraer-Empresa Brasileira de Aeronautica by 673.0% during the 1st quarter. Farther Finance Advisors LLC now owns 2,466 shares of the aerospace company's stock valued at $114,000 after buying an additional 2,147 shares in the last quarter. Finally, First Horizon Advisors Inc. grew its holdings in Embraer-Empresa Brasileira de Aeronautica by 1,608.7% during the 2nd quarter. First Horizon Advisors Inc. now owns 2,170 shares of the aerospace company's stock valued at $123,000 after buying an additional 2,043 shares in the last quarter. 34.65% of the stock is owned by hedge funds and other institutional investors.

About Embraer-Empresa Brasileira de Aeronautica

Embraer SA designs, develops, manufactures, and sells aircraft and systems in North America, Latin America, the Asia Pacific, Brazil, Europe, and internationally. The company operates through Commercial Aviation; Defense & Security; Executive Aviation; Services & Support; and Other segments. The Commercial Aviation segment designs, develops, manufactures, and sells commercial jets, as well as leases aircraft.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.