IAC (NASDAQ:IAC) Shares Gap Down - Here's What Happened

Key Points

• IAC Inc. shares gapped down from a closing price of $39.52 to open at $37.00, subsequently trading at $33.45.
• UBS Group and Citigroup among others have recently lowered their price targets for IAC, with UBS setting a new target of $38.00 and maintaining a "neutral" rating.
• IAC's recent earnings report showed $2.57 earnings per share, exceeding estimates, but revenue of $586.93 million fell short of analyst expectations.

IAC Inc. (NASDAQ:IAC - Get Free Report)'s share price gapped down before the market opened on Tuesday . The stock had previously closed at $39.52, but opened at $37.00. IAC shares last traded at $33.45, with a volume of 398,052 shares.

Analyst Upgrades and Downgrades

IAC has been the subject of several analyst reports. KeyCorp dropped their target price on shares of IAC from $49.00 to $45.00 and set an "overweight" rating for the company in a research report on Wednesday. UBS Group lifted their price objective on shares of IAC from $38.00 to $41.00 and gave the company a "neutral" rating in a research note on Wednesday. JPMorgan Chase & Co. lowered their price objective on shares of IAC from $60.00 to $45.00 and set an "overweight" rating for the company in a research report on Tuesday, April 22nd. Barclays cut their target price on IAC from $61.00 to $52.00 and set an "overweight" rating for the company in a research note on Tuesday, May 6th. Finally, The Goldman Sachs Group decreased their price target on IAC from $60.00 to $46.00 and set a "buy" rating on the stock in a research note on Wednesday, May 7th. Three analysts have rated the stock with a hold rating and twelve have assigned a buy rating to the company's stock. According to data from MarketBeat, IAC has a consensus rating of "Moderate Buy" and an average price target of $47.92.

IAC Stock Performance

The company has a fifty day moving average price of $38.20 and a two-hundred day moving average price of $39.71. The company has a debt-to-equity ratio of 0.29, a current ratio of 2.87 and a quick ratio of 2.70. The company has a market capitalization of $2.54 billion, a P/E ratio of -6.34 and a beta of 1.23.

IAC (NASDAQ:IAC - Get Free Report) last posted its earnings results on Monday, August 4th. The company reported $2.57 EPS for the quarter, topping the consensus estimate of ($0.30) by $2.87. IAC had a negative net margin of 14.52% and a negative return on equity of 8.23%. The business had revenue of $586.93 million for the quarter, compared to the consensus estimate of $601.38 million. During the same period last year, the company earned ($1.71) EPS. The firm's revenue was down 7.5% compared to the same quarter last year. Equities analysts forecast that IAC Inc. will post 0.43 earnings per share for the current fiscal year.

Institutional Trading of IAC

Several institutional investors have recently modified their holdings of the business. Wealth Enhancement Advisory Services LLC bought a new position in IAC during the 1st quarter worth approximately $1,107,000. Allspring Global Investments Holdings LLC acquired a new stake in shares of IAC during the first quarter worth $2,590,000. Invesco Ltd. raised its stake in IAC by 24.7% during the fourth quarter. Invesco Ltd. now owns 341,507 shares of the company's stock worth $14,733,000 after buying an additional 67,746 shares during the last quarter. QRG Capital Management Inc. lifted its holdings in IAC by 94.7% in the first quarter. QRG Capital Management Inc. now owns 54,721 shares of the company's stock valued at $2,514,000 after buying an additional 26,616 shares during the period. Finally, Principal Financial Group Inc. lifted its holdings in IAC by 2.4% in the first quarter. Principal Financial Group Inc. now owns 351,787 shares of the company's stock valued at $16,161,000 after buying an additional 8,396 shares during the period. Institutional investors own 88.90% of the company's stock.

IAC Company Profile

IAC Inc, together with its subsidiaries, operates as a media and internet company worldwide. The company publishes original and engaging digital content in the form of articles, illustrations, and videos and images across entertainment, food, home, beauty, travel, health, family, luxury, and fashion areas; and magazines related to women and lifestyle.