GB Group (LON:GBG) Stock Price Down 30.8% - Time to Sell?

Key Points

• GB Group shares plunged 30.8% to GBX 160.60, with trading volume surging 413% above the daily average. The stock is well below its 50-day and 200-day moving averages, both near GBX 212–214.
• Despite the selloff, analysts maintain a generally positive view: six rate GB Group “Buy” and one rates it “Hold,” producing a “Moderate Buy” consensus and an average price target of GBX 319.29.
• The company reported £285.04 million in quarterly revenue and GBX 19.20 EPS, but posted a negative net margin of 26.34% and negative return on equity of 14.39%. Insider David Ward purchased 12,000 shares at GBX 196, suggesting some insider confidence.

GB Group plc (LON:GBG - Get Free Report) shares traded down 30.8% during mid-day trading on Friday . The company traded as low as GBX 156.40 and last traded at GBX 160.60. Approximately 18,939,926 shares were traded during mid-day trading, an increase of 413% from the average daily volume of 3,693,461 shares. The stock had previously closed at GBX 232.

Analyst Upgrades and Downgrades

A number of analysts have commented on GBG shares. Shore Capital Group restated a "buy" rating on shares of GB Group in a research note on Wednesday, April 22nd. Jefferies Financial Group reduced their price objective on shares of GB Group from GBX 270 to GBX 240 and set a "buy" rating for the company in a report on Thursday, June 25th. Stifel Nicolaus restated a "hold" rating and issued a GBX 265 target price on shares of GB Group in a report on Wednesday, April 22nd. Canaccord Genuity Group dropped their price target on shares of GB Group from GBX 400 to GBX 365 and set a "buy" rating on the stock in a research report on Wednesday, June 3rd. Finally, Berenberg Bank decreased their price objective on GB Group from GBX 290 to GBX 260 and set a "buy" rating for the company in a report on Thursday, June 4th. Six equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of GBX 319.29.

GB Group Stock Down 30.8%

The company has a current ratio of 1.09, a quick ratio of 0.74 and a debt-to-equity ratio of 23.89. The firm has a market capitalization of £367.57 million, a P/E ratio of -5.23, a P/E/G ratio of 173.40 and a beta of 0.01. The stock's 50-day simple moving average is GBX 213.63 and its 200-day simple moving average is GBX 212.15.

GB Group (LON:GBG - Get Free Report) last released its earnings results on Tuesday, June 2nd. The company reported GBX 19.20 earnings per share (EPS) for the quarter. The company had revenue of £285.04 million during the quarter. GB Group had a negative return on equity of 14.39% and a negative net margin of 26.34%. As a group, research analysts predict that GB Group plc will post 17.0176437 earnings per share for the current fiscal year.

Insider Activity at GB Group

In related news, insider David ward purchased 12,000 shares of the business's stock in a transaction that occurred on Thursday, June 4th. The shares were bought at an average cost of GBX 196 per share, with a total value of £23,520. 1.63% of the stock is owned by insiders.

GB Group Company Profile

GBG exists to enable safe and rewarding digital lives for genuine people, everywhere. As the AI trust intelligence platform, we turn billions of interactions across people, places and businesses into the signals that help businesses drive and protect growth. For over 30 years, we have combined global data with innovative technology to help more than 20,000 customers globally verify identity and location, protecting against digital crime, strengthening business resilience and driving responsible growth at scale. GBG is a publicly traded company LSE: GBG and constituent of the FTSE 250 index.

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