Grafton Group (LON:GFTU) Insider Eric Born Acquires 1,182 Shares

Key Points

• Insider purchase: Eric Born bought 1,182 shares on April 8 at an average price of GBX 915, a transaction totaling £10,815.30.
• Share buyback authorization: The Board approved a stock repurchase program on March 5 to buy shares through open-market purchases, a move that typically signals management views the stock as undervalued.
• Analyst sentiment: Five analysts have a "Buy" rating on Grafton Group with a consensus price target of GBX 1,149, above the recent share price of about GBX 925.7.

Grafton Group plc (LON:GFTU - Get Free Report) insider Eric Born purchased 1,182 shares of the firm's stock in a transaction that occurred on Wednesday, April 8th. The shares were bought at an average cost of GBX 915 per share, for a total transaction of £10,815.30.

Grafton Group Trading Up 0.7%

Grafton Group stock traded up GBX 6.60 during trading hours on Friday, hitting GBX 925.70. The stock had a trading volume of 259,831 shares, compared to its average volume of 10,029,551. The company has a quick ratio of 1.56, a current ratio of 2.11 and a debt-to-equity ratio of 37.55. The stock has a market cap of £2.15 billion, a price-to-earnings ratio of 10.11, a P/E/G ratio of 1.58 and a beta of 1.16. Grafton Group plc has a one year low of GBX 825.10 and a one year high of GBX 1,035.60. The business's 50 day simple moving average is GBX 935.71 and its 200-day simple moving average is GBX 932.

Grafton Group announced that its Board of Directors has authorized a stock repurchase program on Thursday, March 5th that allows the company to repurchase 0 outstanding shares. This repurchase authorization allows the company to reacquire shares of its stock through open market purchases. Shares repurchase programs are typically an indication that the company's leadership believes its stock is undervalued.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on GFTU. Stifel Nicolaus restated a "buy" rating and set a GBX 1,175 price objective on shares of Grafton Group in a research report on Thursday, March 19th. Citigroup dropped their price target on shares of Grafton Group from GBX 1,170 to GBX 1,150 and set a "buy" rating on the stock in a research report on Wednesday, January 14th. Five research analysts have rated the stock with a Buy rating, According to MarketBeat.com, Grafton Group currently has an average rating of "Buy" and a consensus price target of GBX 1,149.

About Grafton Group

Grafton Group plc engages in the distribution, retailing, and manufacturing businesses in Ireland, the Netherlands, Finland, and the United Kingdom. Its Distribution segment distributes building materials, paint, tools, ironmongery, fixings, and accessories, workwear and PPE, and spare parts; materials and plant for mechanical services, heating, plumbing, and air movement; and trade, DIY, and self-build markets with building materials, timber, doors and floors, plumbing and heating, bathrooms, and landscaping products under the Selco, Leyland SDM, Chadwicks, MacBlair, Isero, Polvo, Gunters en Meuser, TG Lynes, and IKH brands.

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