European Opportunities Trust (LON:EOT) Shares Down 0.1% - Should You Sell?

Key Points

• European Opportunities Trust (LON:EOT) shares experienced a slight decline of 0.1% in price, with recent trading at GBX 924 ($12.51).
• The company reported a net margin of 88.38% and a return on equity of 12.84%, despite a P/E ratio of -2,096.19 indicating potential challenges.
• Investment policies restrict holdings to ensure no single investment exceeds 10% of total assets, aiming for long-term capital growth through prudent asset management.

European Opportunities Trust (LON:EOT - Get Free Report)'s share price dropped 0.1% during mid-day trading on Wednesday . The stock traded as low as GBX 923 ($12.56) and last traded at GBX 924 ($12.57). Approximately 58,313 shares changed hands during mid-day trading, a decline of 74% from the average daily volume of 221,091 shares. The stock had previously closed at GBX 925 ($12.58).

European Opportunities Trust Price Performance

The company has a 50 day moving average price of GBX 936.74 and a 200-day moving average price of GBX 897.43. The company has a market cap of £432.53 million, a price-to-earnings ratio of -2,102.99 and a beta of 0.86. The company has a quick ratio of 0.11, a current ratio of 0.14 and a debt-to-equity ratio of 9.14.

European Opportunities Trust (LON:EOT - Get Free Report) last released its earnings results on Friday, August 15th. The company reported GBX (1.32) earnings per share for the quarter. European Opportunities Trust had a net margin of 88.38% and a return on equity of 12.84%.

European Opportunities Trust Company Profile

Objective of the Company The objective of the Company is to invest in securities of European companies and in sectors or geographical areas which are considered by the Investment Adviser to offer good prospects for capital growth, taking into account economic trends and business development. Investment Policy The Company will, at all times, invest and manage its assets, with the objective of spreading risk and in accordance with the following policies: Investment Restrictions Notwithstanding the broad powers of investment available to the Company as a closed-ended fund, the Board has adopted the following investment restrictions: no single holding shall constitute more than 10% of the Company's total assets (calculated at the time of investment); the Company will not invest in unlisted securities; the Company will not invest in derivative instruments, whether for efficient portfolio management, gearing or investment purposes; the Company will not invest in other listed closed-ended investment funds. the Company shall not take legal or management control over any investments in its portfolio; and not more than 50% of the Company's investments may be in securities which are not qualifying securities or government securities for the purposes of the UK ISA Regulations. Borrowing limits The Directors consider that long-term capital growth can be enhanced by the use of gearing through bank borrowings.