ITM Power (LON:ITM) Stock Passes Below 200-Day Moving Average - Should You Sell?

Key Points

• Technical warning: ITM Power shares crossed below their 200‑day moving average (GBX 69.26), trading as low as GBX 61.50 and last at GBX 63.10 on volume of 10,006,277 shares.
• Analysts are mixed but the consensus is a Moderate Buy with an average price target of GBX 91.67, ranging from GBX 60 (UBS) to GBX 100 (Berenberg).
• Fundamentals remain weak: the company is unprofitable (negative EPS and net margin), has a market cap of £388.8M, high debt‑to‑equity (6.99) and elevated volatility (beta 2.27).

Shares of ITM Power Plc (LON:ITM - Get Free Report) crossed below its two hundred day moving average during trading on Wednesday . The stock has a two hundred day moving average of GBX 69.26 and traded as low as GBX 61.50. ITM Power shares last traded at GBX 63.10, with a volume of 10,006,277 shares trading hands.

Analysts Set New Price Targets

Several research firms have recently commented on ITM. UBS Group restated a "neutral" rating and issued a GBX 60 price objective on shares of ITM Power in a research note on Friday, January 16th. Berenberg Bank reissued a "buy" rating and set a GBX 100 price target on shares of ITM Power in a report on Thursday, January 29th. Two investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of GBX 91.67.

ITM Power Price Performance

The company has a debt-to-equity ratio of 6.99, a quick ratio of 7.56 and a current ratio of 2.62. The company has a market cap of £388.80 million, a P/E ratio of -12.62 and a beta of 2.27. The firm's fifty day moving average is GBX 63.82 and its two-hundred day moving average is GBX 69.26.

ITM Power (LON:ITM - Get Free Report) last posted its quarterly earnings results on Thursday, January 29th. The company reported GBX (2.30) EPS for the quarter. ITM Power had a negative net margin of 108.00% and a negative return on equity of 14.17%. As a group, analysts anticipate that ITM Power Plc will post -8.9214682 earnings per share for the current fiscal year.

About ITM Power

ITM Power was founded in 2000, and ITM Power PLC was admitted to the London Stock Exchange's AIM market in 2004. Headquartered in Sheffield, England, ITM Power designs and manufactures electrolysers based on proton exchange membrane (PEM) technology to produce green hydrogen, the only net zero energy gas, using renewable electricity and water.

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