Hammond Power Solutions (TSE:HPS.A) Stock Crosses Below 50 Day Moving Average - Should You Sell?

Key Points

• Hammond Power Solutions shares slipped below their 50-day moving average, trading as low as C$307.31 and last changing hands at C$309.24, down about 2.1% on the day.
• Despite the pullback, analyst sentiment remains positive: seven analysts rate the stock a Buy, with a consensus price target of C$371.86.
• The company reported quarterly EPS of C$2.08 on revenue of C$264.84 million, while analysts expect about 7.42 EPS for the current fiscal year.

Hammond Power Solutions Inc. (TSE:HPS.A - Get Free Report)'s stock price passed below its 50 day moving average during trading on Thursday . The stock has a 50 day moving average of C$318.81 and traded as low as C$307.31. Hammond Power Solutions shares last traded at C$309.24, with a volume of 66,013 shares traded.

Analyst Upgrades and Downgrades

Several equities analysts have weighed in on the company. Canaccord Genuity Group raised their price target on Hammond Power Solutions from C$226.00 to C$348.00 and gave the company a "buy" rating in a report on Thursday, May 7th. JPMorgan Chase & Co. set a C$430.00 target price on Hammond Power Solutions and gave the company an "overweight" rating in a research report on Thursday, May 28th. ATB Cormark Capital Markets raised their target price on shares of Hammond Power Solutions from C$250.00 to C$350.00 and gave the company an "outperform" rating in a report on Thursday, May 7th. Royal Bank Of Canada boosted their price target on shares of Hammond Power Solutions from C$250.00 to C$350.00 and gave the stock an "outperform" rating in a research report on Thursday, May 7th. Finally, National Bank Financial upped their price target on shares of Hammond Power Solutions from C$325.00 to C$355.00 and gave the company an "outperform" rating in a research note on Wednesday, June 10th. Seven investment analysts have rated the stock with a Buy rating, Based on data from MarketBeat, Hammond Power Solutions presently has a consensus rating of "Buy" and an average price target of C$371.86.

Hammond Power Solutions Trading Down 2.1%

The stock has a market cap of C$3.68 billion, a P/E ratio of 56.12 and a beta of 1.35. The company has a current ratio of 2.03, a quick ratio of 1.06 and a debt-to-equity ratio of 10.76. The company has a 50-day moving average price of C$318.81 and a two-hundred day moving average price of C$236.49.

Hammond Power Solutions (TSE:HPS.A - Get Free Report) last issued its quarterly earnings results on Tuesday, May 5th. The company reported C$2.08 earnings per share (EPS) for the quarter. The company had revenue of C$264.84 million during the quarter. Hammond Power Solutions had a return on equity of 28.43% and a net margin of 8.73%. On average, research analysts expect that Hammond Power Solutions Inc. will post 7.4221267 EPS for the current fiscal year.

About Hammond Power Solutions

Hammond Power Solutions Inc is engaged in designing and manufacturing of custom electrical magnetics, cast resin, custom liquid filled distribution and power transformers and standard electrical transformers, serving the electrical and electronic industries. The company has manufacturing plants in Canada, the United States, Mexico and India. The company operates in various geographical markets including Canada, the United States, Mexico, and India in which it derives majority revenue in the United States and Mexico.

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