Inchcape (LON:INCH) Stock Price Down 11.7% on Analyst Downgrade

Key Points

• Inchcape's share price fell by 11.7% after Citigroup downgraded its price target from GBX 1,161 to GBX 1,101, despite maintaining a buy rating on the stock.
• Berenberg Bank reaffirmed a buy rating for Inchcape with a target price of GBX 1,120, indicating some analyst confidence despite the recent drop.
• Insider Adrian Lewis purchased 150 shares at GBX 684 ($9.13) recently, reflecting a modest insider confidence in the company's current valuation.

Inchcape plc (LON:INCH - Get Free Report)'s stock price dropped 11.7% during trading on Wednesday after Citigroup lowered their price target on the stock from GBX 1,161 to GBX 1,101. Citigroup currently has a buy rating on the stock. Inchcape traded as low as GBX 706.50 ($9.38) and last traded at GBX 706.50 ($9.38). Approximately 1,858,581 shares changed hands during mid-day trading, an increase of 40% from the average daily volume of 1,330,989 shares. The stock had previously closed at GBX 800 ($10.62).

Separately, Berenberg Bank restated a "buy" rating and issued a GBX 1,120 ($14.87) price target on shares of Inchcape in a report on Tuesday, July 29th.

Insider Transactions at Inchcape

In other Inchcape news, insider Byron Elmer Grote acquired 5,000 shares of Inchcape stock in a transaction dated Tuesday, July 29th. The stock was purchased at an average cost of GBX 725 ($9.62) per share, for a total transaction of £36,250 ($48,115.21). Also, insider Adrian Lewis purchased 150 shares of the company's stock in a transaction that occurred on Monday, June 16th. The shares were purchased at an average cost of GBX 684 ($9.08) per share, for a total transaction of £1,026 ($1,361.83). 14.84% of the stock is owned by company insiders.

Inchcape Stock Down 2.3%

The firm has a market cap of £2.70 billion, a PE ratio of 10.96, a PEG ratio of 2.06 and a beta of 1.19. The company has a debt-to-equity ratio of 206.10, a quick ratio of 0.51 and a current ratio of 1.10. The company's 50-day simple moving average is GBX 725.29 and its two-hundred day simple moving average is GBX 698.62.

Inchcape (LON:INCH - Get Free Report) last released its quarterly earnings data on Tuesday, July 29th. The company reported GBX 35.50 ($0.47) earnings per share for the quarter. Inchcape had a net margin of 2.45% and a return on equity of 17.60%. On average, analysts predict that Inchcape plc will post 85.9639233 earnings per share for the current fiscal year.

Inchcape Company Profile

Inchcape is the leading global automotive distributor, with operations across six continents. By combining our in-market expertise with our unique technology and advanced data analytics, we create innovative customer experiences that deliver outstanding performance for our partners – building stronger automotive brands and creating sustainable growth.