GSK (NYSE:GSK) Shares Gap Down - Here's What Happened

GSK plc (NYSE:GSK - Get Free Report)'s share price gapped down prior to trading on Tuesday . The stock had previously closed at $41.66, but opened at $40.68. GSK shares last traded at $40.36, with a volume of 1,532,690 shares traded.

Analyst Ratings Changes

A number of research firms have recently commented on GSK. Berenberg Bank restated a "hold" rating on shares of GSK in a research report on Tuesday. BNP Paribas assumed coverage on shares of GSK in a report on Tuesday, April 15th. They issued a "neutral" rating and a $35.25 price target for the company. Morgan Stanley assumed coverage on shares of GSK in a report on Wednesday, February 12th. They issued an "equal weight" rating on the stock. Hsbc Global Res raised GSK to a "strong sell" rating in a research note on Monday, April 28th. Finally, Wall Street Zen lowered GSK from a "buy" rating to a "hold" rating in a research note on Friday, May 30th. One investment analyst has rated the stock with a sell rating, nine have assigned a hold rating and two have given a strong buy rating to the stock. According to data from MarketBeat.com, GSK presently has an average rating of "Hold" and a consensus price target of $37.38.

GSK Price Performance

The firm's 50-day moving average is $37.44 and its 200-day moving average is $36.25. The company has a quick ratio of 0.52, a current ratio of 0.78 and a debt-to-equity ratio of 1.12. The company has a market capitalization of $84.24 billion, a PE ratio of 25.68, a price-to-earnings-growth ratio of 1.12 and a beta of 0.51.

GSK (NYSE:GSK - Get Free Report) last released its earnings results on Wednesday, April 30th. The pharmaceutical company reported $1.13 earnings per share for the quarter, topping analysts' consensus estimates of $1.08 by $0.05. GSK had a return on equity of 48.59% and a net margin of 8.13%. The company had revenue of $10.06 billion during the quarter, compared to the consensus estimate of $7.52 billion. During the same quarter in the previous year, the company posted $0.43 EPS. GSK's quarterly revenue was up 2.1% compared to the same quarter last year. Equities analysts predict that GSK plc will post 4.14 earnings per share for the current fiscal year.

GSK Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, July 10th. Stockholders of record on Friday, May 16th will be paid a $0.4216 dividend. This is a boost from GSK's previous quarterly dividend of $0.39. The ex-dividend date is Friday, May 16th. This represents a $1.69 dividend on an annualized basis and a dividend yield of 4.13%. GSK's dividend payout ratio is 86.60%.

Hedge Funds Weigh In On GSK

Large investors have recently added to or reduced their stakes in the business. HHM Wealth Advisors LLC grew its stake in shares of GSK by 222.2% during the first quarter. HHM Wealth Advisors LLC now owns 667 shares of the pharmaceutical company's stock valued at $26,000 after buying an additional 460 shares during the last quarter. Indiana Trust & Investment Management Co grew its position in GSK by 200.0% during the 4th quarter. Indiana Trust & Investment Management Co now owns 750 shares of the pharmaceutical company's stock worth $25,000 after acquiring an additional 500 shares during the last quarter. Costello Asset Management INC purchased a new position in GSK in the 1st quarter worth approximately $31,000. Richardson Financial Services Inc. boosted its stake in shares of GSK by 127.9% during the first quarter. Richardson Financial Services Inc. now owns 841 shares of the pharmaceutical company's stock valued at $33,000 after purchasing an additional 472 shares during the period. Finally, Olde Wealth Management LLC bought a new position in shares of GSK in the first quarter worth approximately $36,000. Hedge funds and other institutional investors own 15.74% of the company's stock.

About GSK

GSK plc, together with its subsidiaries, engages in the research, development, and manufacture of vaccines, and specialty and general medicines to prevent and treat disease in the United Kingdom, the United States, and internationally. It operates through two segments, Commercial Operations and Total R&D.