ABC Arbitrage SA Makes New $20.19 Million Investment in AstraZeneca PLC (NASDAQ:AZN)

Key Points

• ABC Arbitrage SA has made a significant investment in AstraZeneca PLC, purchasing over 274,000 shares valued at approximately $20.19 million, which now represents 3.8% of its investment portfolio.
• AstraZeneca recently reported a quarterly earnings per share (EPS) of $1.09, matching analysts' expectations, with a revenue of $14.46 billion, exceeding estimates by 2.7%.
• The company announced a semi-annual dividend of $0.505, representing a yield of 200.0%, despite its ongoing dividend payout ratio being 77.44%.

ABC Arbitrage SA acquired a new position in shares of AstraZeneca PLC (NASDAQ:AZN - Free Report) during the 1st quarter, according to its most recent filing with the SEC. The institutional investor acquired 274,642 shares of the company's stock, valued at approximately $20,186,000. AstraZeneca accounts for about 3.8% of ABC Arbitrage SA's portfolio, making the stock its 2nd largest position.

Several other hedge funds have also modified their holdings of the stock. Confluence Investment Management LLC purchased a new stake in shares of AstraZeneca during the 1st quarter worth about $27,000. Larson Financial Group LLC lifted its holdings in shares of AstraZeneca by 297.9% during the 1st quarter. Larson Financial Group LLC now owns 386 shares of the company's stock valued at $28,000 after acquiring an additional 289 shares in the last quarter. FNY Investment Advisers LLC acquired a new stake in AstraZeneca in the 1st quarter valued at $29,000. Costello Asset Management INC acquired a new stake in AstraZeneca in the 1st quarter valued at $29,000. Finally, Banque Transatlantique SA purchased a new position in AstraZeneca in the fourth quarter valued at about $26,000. 20.35% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on AZN. Berenberg Bank set a $97.00 target price on AstraZeneca in a research report on Wednesday, July 9th. BNP Paribas initiated coverage on AstraZeneca in a report on Tuesday, April 15th. They issued an "outperform" rating and a $75.00 price target for the company. One equities research analyst has rated the stock with a hold rating and five have issued a buy rating to the stock. Based on data from MarketBeat.com, AstraZeneca has a consensus rating of "Moderate Buy" and a consensus price target of $89.00.

AstraZeneca Stock Up 1.3%

NASDAQ:AZN traded up $0.97 on Thursday, reaching $74.57. The stock had a trading volume of 3,426,971 shares, compared to its average volume of 5,379,048. The company has a 50-day moving average of $71.84 and a 200 day moving average of $71.59. The company has a current ratio of 0.86, a quick ratio of 0.67 and a debt-to-equity ratio of 0.55. The stock has a market cap of $231.27 billion, a P/E ratio of 28.03, a price-to-earnings-growth ratio of 1.36 and a beta of 0.36. AstraZeneca PLC has a 12-month low of $61.24 and a 12-month high of $87.68.

AstraZeneca (NASDAQ:AZN - Get Free Report) last posted its quarterly earnings data on Tuesday, July 29th. The company reported $1.09 earnings per share (EPS) for the quarter, hitting the consensus estimate of $1.09. AstraZeneca had a return on equity of 32.84% and a net margin of 14.68%. The company had revenue of $14.46 billion for the quarter, compared to the consensus estimate of $14.08 billion. During the same period in the previous year, the business earned $1.24 EPS. AstraZeneca's revenue for the quarter was up 16.1% compared to the same quarter last year. On average, research analysts predict that AstraZeneca PLC will post 4.51 earnings per share for the current year.

AstraZeneca Cuts Dividend

The business also recently announced a semi-annual dividend, which will be paid on Monday, September 8th. Stockholders of record on Friday, August 8th will be given a $0.505 dividend. The ex-dividend date of this dividend is Friday, August 8th. This represents a dividend yield of 200.0%. AstraZeneca's payout ratio is presently 77.44%.

About AstraZeneca

AstraZeneca PLC, a biopharmaceutical company, focuses on the discovery, development, manufacture, and commercialization of prescription medicines. The company's marketed products include Tagrisso, Imfinzi, Lynparza, Calquence, Enhertu, Orpathys, Truqap, Zoladex, Faslodex, Farxiga, Brilinta, Lokelma, Roxadustat, Andexxa, Crestor, Seloken, Onglyza, Bydureon, Fasenra, Breztri, Symbicort, Saphnelo, Tezspire, Pulmicort, Bevespi, and Daliresp for cardiovascular, renal, metabolism, and oncology.