Gevo (NASDAQ:GEVO) Trading 13% Higher Following Analyst Upgrade

Key Points

• Gevo's stock price increased by 13% following an upgrade by UBS Group, raising its price target from $1.15 to $2.25, with the last trade recorded at $2.14.
• Analysts have mixed ratings on Gevo, with one having a "Buy" rating, while two others have assigned a "Hold" rating, resulting in a consensus rating of "Hold" with an average price target of $8.13.
• Insider trading activity includes CEO Patrick R. Gruber and COO Christopher Michael Ryan selling shares, resulting in a combined decrease of approximately 2.95% and 2.56% in their positions, respectively.

Gevo, Inc. (NASDAQ:GEVO - Get Free Report) rose 13% during trading on Wednesday after UBS Group raised their price target on the stock from $1.15 to $2.25. UBS Group currently has a neutral rating on the stock. Gevo traded as high as $2.12 and last traded at $2.14. Approximately 3,192,733 shares were traded during mid-day trading, a decline of 34% from the average daily volume of 4,869,167 shares. The stock had previously closed at $1.89.

A number of other research firms have also recently weighed in on GEVO. Wall Street Zen raised Gevo from a "sell" rating to a "hold" rating in a research report on Saturday, September 13th. HC Wainwright reaffirmed a "buy" rating and set a $14.00 price objective on shares of Gevo in a research report on Friday, May 30th. Finally, Zacks Research raised Gevo from a "strong sell" rating to a "hold" rating in a research report on Wednesday, August 13th. One equities research analyst has rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of "Hold" and a consensus target price of $8.13.

Insider Activity

In related news, CEO Patrick R. Gruber sold 116,060 shares of the company's stock in a transaction on Tuesday, August 5th. The stock was sold at an average price of $1.23, for a total transaction of $142,753.80. Following the completion of the sale, the chief executive officer directly owned 3,847,104 shares in the company, valued at $4,731,937.92. This represents a 2.93% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Also, CFO Oluwagbemileke Yusuf Agiri sold 57,651 shares of the company's stock in a transaction on Wednesday, August 20th. The stock was sold at an average price of $1.63, for a total value of $93,971.13. Following the sale, the chief financial officer owned 277,835 shares of the company's stock, valued at $452,871.05. This trade represents a 17.18% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 751,885 shares of company stock worth $1,059,584 over the last ninety days. 6.80% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Gevo

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Headlands Technologies LLC purchased a new stake in Gevo in the second quarter valued at about $43,000. Engineers Gate Manager LP purchased a new stake in Gevo in the second quarter valued at about $30,000. BNP Paribas Financial Markets raised its stake in Gevo by 138.1% in the second quarter. BNP Paribas Financial Markets now owns 20,927 shares of the energy company's stock valued at $28,000 after buying an additional 12,136 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. purchased a new position in shares of Gevo in the second quarter worth about $167,000. Finally, The Manufacturers Life Insurance Company purchased a new position in shares of Gevo in the second quarter worth about $113,000. 35.17% of the stock is currently owned by hedge funds and other institutional investors.

Gevo Stock Performance

The stock has a market capitalization of $488.52 million, a PE ratio of -7.77 and a beta of 2.18. The company has a quick ratio of 2.10, a current ratio of 2.33 and a debt-to-equity ratio of 0.29. The firm has a 50 day moving average price of $1.60 and a 200-day moving average price of $1.35.

Gevo (NASDAQ:GEVO - Get Free Report) last announced its quarterly earnings data on Monday, August 11th. The energy company reported $0.01 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.06) by $0.07. Gevo had a negative return on equity of 12.04% and a negative net margin of 72.76%.The firm had revenue of $43.41 million during the quarter, compared to analysts' expectations of $43.69 million. Research analysts expect that Gevo, Inc. will post -0.42 EPS for the current fiscal year.

Gevo Company Profile

Gevo, Inc operates as a carbon abatement company. It operates through three segments: Gevo, Agri-Energy, and Renewable Natural Gas. The company focuses on transforming renewable energy into energy-dense liquid hydrocarbons that can be used as renewable fuels. It offers renewable gasoline and diesel, isobutanol, sustainable aviation fuel, renewable natural gas, isobutylene, ethanol, and animal feed and protein.