Hennessy Advisors (NASDAQ:HNNA) Shares Cross Below 200-Day Moving Average - Time to Sell?

Key Points

• Hennessy Advisors' shares fell below their 200-day moving average of $11.19, trading at $11.06, which raises concerns for investors about potential sell signals.
• The company declared a quarterly dividend of $0.1375 per share, which translates to a 4.9% annual yield, with the ex-dividend date set for August 20th.
• Despite recent selling by insiders, Hennessy Advisors received a "buy" rating from Wall Street Zen, indicating positive analyst sentiment amidst concerns about stock performance.

Hennessy Advisors, Inc. (NASDAQ:HNNA - Get Free Report) shares crossed below its two hundred day moving average during trading on Wednesday . The stock has a two hundred day moving average of $11.19 and traded as low as $11.06. Hennessy Advisors shares last traded at $11.17, with a volume of 7,485 shares trading hands.

Analyst Ratings Changes

Separately, Wall Street Zen raised Hennessy Advisors to a "buy" rating in a research report on Thursday, May 22nd.

Hennessy Advisors Stock Performance

The firm has a market capitalization of $87.01 million, a price-to-earnings ratio of 8.94 and a beta of 0.79. The company has a fifty day moving average of $12.01 and a two-hundred day moving average of $11.19. The company has a debt-to-equity ratio of 0.41, a quick ratio of 15.58 and a current ratio of 15.58.

Hennessy Advisors (NASDAQ:HNNA - Get Free Report) last released its quarterly earnings results on Wednesday, August 6th. The asset manager reported $0.26 earnings per share for the quarter. Hennessy Advisors had a return on equity of 10.48% and a net margin of 27.55%.

Hennessy Advisors Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 4th. Investors of record on Wednesday, August 20th will be issued a dividend of $0.1375 per share. This represents a $0.55 annualized dividend and a yield of 4.9%. The ex-dividend date of this dividend is Wednesday, August 20th. Hennessy Advisors's dividend payout ratio (DPR) is presently 44.00%.

Insiders Place Their Bets

In related news, Director Thomas L. Seavey sold 2,603 shares of Hennessy Advisors stock in a transaction that occurred on Friday, August 15th. The stock was sold at an average price of $10.63, for a total transaction of $27,669.89. Following the completion of the sale, the director directly owned 50,424 shares of the company's stock, valued at approximately $536,007.12. This trade represents a 4.91% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Over the last ninety days, insiders sold 20,005 shares of company stock worth $214,998. Company insiders own 37.40% of the company's stock.

Hedge Funds Weigh In On Hennessy Advisors

Several hedge funds and other institutional investors have recently added to or reduced their stakes in HNNA. Allworth Financial LP raised its holdings in Hennessy Advisors by 202.5% in the 1st quarter. Allworth Financial LP now owns 81,380 shares of the asset manager's stock valued at $859,000 after acquiring an additional 54,480 shares in the last quarter. Truffle Hound Capital LLC acquired a new position in Hennessy Advisors in the 2nd quarter valued at $556,000. Evergreen Capital Management LLC acquired a new position in Hennessy Advisors in the 2nd quarter valued at $190,000. Redhawk Wealth Advisors Inc. raised its holdings in Hennessy Advisors by 27.3% in the 1st quarter. Redhawk Wealth Advisors Inc. now owns 67,396 shares of the asset manager's stock valued at $671,000 after acquiring an additional 14,460 shares in the last quarter. Finally, Northern Trust Corp raised its holdings in Hennessy Advisors by 63.8% in the 4th quarter. Northern Trust Corp now owns 34,432 shares of the asset manager's stock valued at $439,000 after acquiring an additional 13,407 shares in the last quarter. 10.31% of the stock is owned by institutional investors and hedge funds.

About Hennessy Advisors

Hennessy Advisors, Inc is an employee owned investment manager. It provides its services to Hennessy Funds and investment companies. The firm launches and manages equity, fixed income, and balanced mutual funds. It invests in the public equity and fixed income markets across the globe. The firm primarily invests in growth stocks of companies.

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