Hsbc Holdings PLC Decreases Stake in Burford Capital Limited $BUR

Key Points

• Hsbc Holdings PLC has reduced its ownership in Burford Capital Limited by 18.4%, selling 21,187 shares and bringing its total shares to 94,122, valued at approximately $1.24 million.
• Burford Capital's stock reported an earnings per share of $0.39, exceeding analysts' expectations of $0.33 for the recent quarter, while revenues reached $191.29 million.
• The company's stock has a consensus Buy rating, with an average price target of $18.00, despite a recent downgrade from a "buy" to a "hold" rating by Wall Street analysts.

Hsbc Holdings PLC reduced its stake in Burford Capital Limited (NYSE:BUR - Free Report) by 18.4% in the 1st quarter, according to the company in its most recent filing with the SEC. The fund owned 94,122 shares of the company's stock after selling 21,187 shares during the quarter. Hsbc Holdings PLC's holdings in Burford Capital were worth $1,242,000 at the end of the most recent reporting period.

Several other large investors have also recently added to or reduced their stakes in the company. Cooke & Bieler LP acquired a new stake in shares of Burford Capital during the first quarter worth approximately $24,761,000. Barrow Hanley Mewhinney & Strauss LLC boosted its holdings in shares of Burford Capital by 22.8% in the 4th quarter. Barrow Hanley Mewhinney & Strauss LLC now owns 3,727,735 shares of the company's stock valued at $47,529,000 after buying an additional 691,269 shares during the last quarter. HighTower Advisors LLC increased its holdings in shares of Burford Capital by 75.1% during the 1st quarter. HighTower Advisors LLC now owns 565,149 shares of the company's stock worth $7,466,000 after acquiring an additional 242,304 shares during the last quarter. Kintayl Capital LP acquired a new position in shares of Burford Capital during the 1st quarter worth approximately $3,007,000. Finally, Tudor Investment Corp ET AL acquired a new stake in Burford Capital during the 4th quarter worth approximately $1,398,000.

Burford Capital Stock Performance

BUR traded down $0.18 during mid-day trading on Tuesday, reaching $13.82. 1,638,071 shares of the company traded hands, compared to its average volume of 1,376,781. The company's fifty day moving average price is $13.55 and its 200-day moving average price is $13.51. The stock has a market capitalization of $3.02 billion, a P/E ratio of 12.80 and a beta of 0.66. Burford Capital Limited has a 52-week low of $10.70 and a 52-week high of $15.73. The company has a quick ratio of 10.09, a current ratio of 10.09 and a debt-to-equity ratio of 0.55.

Burford Capital (NYSE:BUR - Get Free Report) last announced its quarterly earnings data on Thursday, August 7th. The company reported $0.39 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.33 by $0.06. Burford Capital had a net margin of 37.08% and a return on equity of 7.48%. The firm had revenue of $191.29 million during the quarter, compared to analysts' expectations of $159.02 million. On average, sell-side analysts expect that Burford Capital Limited will post 1.28 EPS for the current year.

Insiders Place Their Bets

In related news, President Aviva O. Will sold 17,500 shares of the business's stock in a transaction on Wednesday, July 9th. The stock was sold at an average price of $14.60, for a total transaction of $255,500.00. Following the completion of the transaction, the president owned 293,479 shares in the company, valued at $4,284,793.40. The trade was a 5.63% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CIO Jonathan Todd Molot sold 210,000 shares of the firm's stock in a transaction on Wednesday, July 9th. The stock was sold at an average price of $14.60, for a total value of $3,066,000.00. Following the transaction, the executive owned 3,406,625 shares in the company, valued at $49,736,725. The trade was a 5.81% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 444,500 shares of company stock worth $6,489,700 in the last 90 days. 8.90% of the stock is owned by insiders.

Analyst Ratings Changes

A number of brokerages have weighed in on BUR. Wall Street Zen downgraded Burford Capital from a "buy" rating to a "hold" rating in a report on Sunday, August 10th. Wedbush reiterated an "outperform" rating and set a $18.00 price target on shares of Burford Capital in a report on Thursday, August 14th. Two investment analysts have rated the stock with a Buy rating, According to MarketBeat.com, Burford Capital has an average rating of "Buy" and an average target price of $18.00.

Burford Capital Company Profile

Burford Capital Limited provides legal finance products and services worldwide. The company operates through two segments, Capital Provision, and Asset Management and Other Provision. The Capital Provision segment provides capital to the legal industry or in connection with legal matters directly and through investment in private funds; legal risk management services; lower risk legal finance business focusing on pre-settlement litigation matters with lower risk and lower expected returns; post-settlement finance; and complex strategies in which it acts as a principal and acquires assets that are mispriced.