Eurocell (LON:ECEL) Reaches New 12-Month Low - Should You Sell?

Key Points

• Eurocell hit a new 52-week low at GBX 105 on Tuesday, yet analysts remain broadly positive with an average "Buy" rating and an average target of GBX 210 (Berenberg reiterated a Buy with a GBX 240 target).
• Fundamentals show modest profitability but high leverage: the company has a P/E of 11.17, net margin of 2.38% and ROE of 9.23%, but a high debt-to-equity ratio of 99.05 and a market cap of £103.48m.
• Insiders have been buying, acquiring 49,663 shares in the last quarter (insiders now own 4.52%), which may signal confidence despite the share price weakness.

Eurocell plc (LON:ECEL - Get Free Report) hit a new 52-week low on Tuesday . The company traded as low as GBX 105 and last traded at GBX 105, with a volume of 86026 shares traded. The stock had previously closed at GBX 106.

Wall Street Analyst Weigh In

Separately, Berenberg Bank reaffirmed a "buy" rating and issued a GBX 240 price objective on shares of Eurocell in a research report on Thursday, March 19th. Two analysts have rated the stock with a Buy rating, According to data from MarketBeat, the stock presently has an average rating of "Buy" and an average target price of GBX 210.

Eurocell Stock Down 0.9%

The firm's 50-day simple moving average is GBX 117.10 and its 200 day simple moving average is GBX 123.21. The company has a debt-to-equity ratio of 99.05, a quick ratio of 0.87 and a current ratio of 1.53. The stock has a market capitalization of £103.48 million, a P/E ratio of 11.17 and a beta of 0.64.

Eurocell (LON:ECEL - Get Free Report) last issued its quarterly earnings results on Thursday, April 16th. The company reported GBX 14.60 EPS for the quarter. Eurocell had a net margin of 2.38% and a return on equity of 9.23%. The firm had revenue of £403.50 million for the quarter. As a group, research analysts expect that Eurocell plc will post 19.470852 EPS for the current year.

Insider Activity at Eurocell

In other Eurocell news, insider Alison Littley bought 2,144 shares of the firm's stock in a transaction on Monday, February 2nd. The shares were purchased at an average price of GBX 128 per share, for a total transaction of £2,744.32. Also, insider Will Truman bought 24,519 shares of the firm's stock in a transaction on Monday, March 23rd. The shares were acquired at an average price of GBX 113 per share, for a total transaction of £27,706.47. Insiders have acquired a total of 49,663 shares of company stock worth $5,725,244 in the last quarter. Corporate insiders own 4.52% of the company's stock.

Eurocell Company Profile

Eurocell plc engages in manufacture, distribution, and recycling of windows, doors, and roofline polyvinyl chloride (PVC) building products in the United Kingdom and the Republic of Ireland. The company operates through Profiles and Building Plastics segments. It also offers fascia and capping boards, finishing trims, soffit boards, ventilators, and accessories; decking, fencing, and balustrade. In addition, the company provides polycarbonate, roofing insulation and membrane, lightweight roofing and tiles, flashing, flat roofing, dry verge, roof lanterns and glazing, ladders, and access equipment; external and internal cladding; and sealants, adhesives, and cleaners.

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