Grafton Group (LON:GFTU) Share Price Passes Above 200 Day Moving Average - What's Next?

Key Points

• Grafton Group's stock crossed above its 200-day moving average on Friday — the 200-day MA is GBX 933.14 and the shares last traded at GBX 962 (intraday high GBX 974.60) on volume of 372,622.
• Analysts hold a consensus Buy rating with a consensus price target of GBX 1,149; Stifel reissued a Buy with a GBX 1,175 target while Citigroup trimmed its target to GBX 1,150.
• The Board has initiated a share buyback program for open-market repurchases, and insider Eric Born recently bought 1,182 shares at GBX 915, with insiders owning 9.33% of the company.

Grafton Group plc (LON:GFTU - Get Free Report)'s stock price crossed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of GBX 933.14 and traded as high as GBX 974.60. Grafton Group shares last traded at GBX 962, with a volume of 372,622 shares.

Analysts Set New Price Targets

GFTU has been the subject of a number of research reports. Stifel Nicolaus reissued a "buy" rating and set a GBX 1,175 target price on shares of Grafton Group in a research note on Thursday, March 19th. Citigroup cut 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 report on Wednesday, January 14th. Five analysts have rated the stock with a Buy rating, Based on data from MarketBeat.com, the stock presently has a consensus rating of "Buy" and a consensus price target of GBX 1,149.

Grafton Group Stock Performance

The stock has a market capitalization of £2.23 billion, a price-to-earnings ratio of 10.51, a price-to-earnings-growth ratio of 1.58 and a beta of 1.16. 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's 50-day simple moving average is GBX 932.55 and its 200 day simple moving average is GBX 933.14.

Grafton Group declared that its Board of Directors has initiated a share buyback program on Thursday, March 5th that authorizes the company to buyback 0 outstanding shares. This buyback authorization authorizes the company to repurchase shares of its stock through open market purchases. Stock buyback programs are typically a sign that the company's management believes its shares are undervalued.

Insider Activity

In other Grafton Group news, insider Eric Born purchased 1,182 shares of the company's stock in a transaction that occurred on Wednesday, April 8th. The stock was acquired at an average cost of GBX 915 per share, with a total value of £10,815.30. Insiders own 9.33% of the company's stock.

Grafton Group Company Profile

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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