FDM Group (LON:FDM) Stock Price Down 36.3% - Here's Why

Key Points

• FDM Group's share price has plummeted by 36.3%, reaching a low of GBX 124.20 ($1.66) during mid-day trading, significantly decreasing from its previous close of GBX 195 ($2.60).
• Insider sales included notable transactions with both Sheila Flavell and Andrew Brown selling shares at an average price of GBX 226 ($3.02) during early June, totaling over £60,000 combined.
• Despite the downturn, FDM Group has a market capitalization of £135.59 million and a strong return on equity of 42.26%, although analysts predict much lower earnings for the fiscal year.

FDM Group (Holdings) plc (LON:FDM - Get Free Report) traded down 36.3% on Wednesday . The stock traded as low as GBX 124.20 ($1.64) and last traded at GBX 124.20 ($1.64). 8,409,954 shares traded hands during mid-day trading, an increase of 1,612% from the average session volume of 491,205 shares. The stock had previously closed at GBX 195 ($2.58).

Analysts Set New Price Targets

Separately, Shore Capital reaffirmed a "house stock" rating on shares of FDM Group in a research report on Wednesday.

FDM Group Trading Down 2.0%

The company has a quick ratio of 2.24, a current ratio of 2.31 and a debt-to-equity ratio of 28.75. The company has a 50-day moving average price of GBX 212.26 and a 200 day moving average price of GBX 228.92. The firm has a market cap of £129.91 million, a price-to-earnings ratio of 4.27 and a beta of 0.97.

FDM Group (LON:FDM - Get Free Report) last released its quarterly earnings data on Wednesday, July 30th. The company reported GBX 6.30 ($0.08) earnings per share (EPS) for the quarter. FDM Group had a return on equity of 42.26% and a net margin of 10.34%. As a group, research analysts anticipate that FDM Group will post 3132.5302111 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, insider Sheila Flavell sold 13,116 shares of FDM Group stock in a transaction dated Tuesday, June 3rd. The stock was sold at an average price of GBX 226 ($2.99), for a total transaction of £29,642.16 ($39,157.41). Also, insider Michael (Mike) McLaren sold 13,699 shares of FDM Group stock in a transaction dated Tuesday, June 3rd. The stock was sold at an average price of GBX 226 ($2.99), for a total value of £30,959.74 ($40,897.94). Over the last three months, insiders have acquired 1,769 shares of company stock valued at $399,136 and have sold 40,514 shares valued at $9,156,164. Company insiders own 17.79% of the company's stock.

FDM Group Company Profile

FDM Group (Holdings) plc provides information technology (IT) services in the United Kingdom, North America, Europe, the Middle East, Africa, rest of Europe, and the Asia Pacific. It is involved in recruiting, training, and deploying its IT and business consultants to clients. The company was formerly known as Astra Topco Limited and changed its name to FDM Group (Holdings) plc.