MDA Space (TSE:MDA) Shares Down 25% on Insider Selling

Key Points

• MDA Space Ltd. shares fell by 25% on Tuesday, closing at C$32.99, after previously trading at C$44.01.
• Despite the drop, several analysts have upgraded MDA Space, with Scotiabank raising its price target from C$39.00 to C$55.00, indicating positive future outlook for the stock.
• Insider transactions reveal significant sell-offs, with corporate insiders selling a total of C$8.5 million in shares over the past ninety days.

Shares of MDA Space Ltd. (TSE:MDA - Get Free Report) fell 25% during mid-day trading on Tuesday following insider selling activity. The stock traded as low as C$32.91 and last traded at C$32.99. 3,165,014 shares changed hands during trading, an increase of 500% from the average session volume of 527,288 shares. The stock had previously closed at C$44.01.

Specifically, Director John Carter Risley sold 184,230 shares of the company's stock in a transaction dated Thursday, August 14th. The shares were sold at an average price of C$43.00, for a total transaction of C$7,921,890.00. Following the transaction, the director directly owned 1,246,020 shares in the company, valued at approximately C$53,578,860. This represents a 12.88% decrease in their position. Also, Director Brendan Paddick sold 54,400 shares of the company's stock in a transaction dated Monday, August 25th. The shares were sold at an average price of C$45.09, for a total transaction of C$2,452,727.36. Following the transaction, the director owned 1,181,953 shares in the company, valued at C$53,290,596.72. The trade was a 4.40% decrease in their ownership of the stock. In related news, Director Brendan Paddick sold 45,600 shares of the company's stock in a transaction dated Tuesday, August 26th. The shares were sold at an average price of C$47.02, for a total transaction of C$2,143,929.60. Following the transaction, the director directly owned 1,136,353 shares in the company, valued at approximately C$53,426,772.65. This represents a 3.86% decrease in their position.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on MDA shares. BMO Capital Markets lowered their price objective on shares of MDA Space from C$53.00 to C$40.00 and set an "outperform" rating for the company in a research report on Tuesday. Royal Bank Of Canada lowered their price target on shares of MDA Space from C$53.00 to C$45.00 and set an "outperform" rating for the company in a research report on Tuesday. Canaccord Genuity Group decreased their target price on shares of MDA Space from C$54.00 to C$47.00 in a research report on Tuesday. Scotiabank cut their price target on shares of MDA Space from C$55.00 to C$43.00 and set an "outperform" rating on the stock in a research note on Tuesday. Finally, Desjardins cut their price target on shares of MDA Space from C$56.00 to C$43.00 and set a "buy" rating on the stock in a research note on Tuesday. Six equities research analysts have rated the stock with a Buy rating, According to MarketBeat, the company has an average rating of "Buy" and a consensus price target of C$38.44.

MDA Space Price Performance

The stock's fifty day moving average price is C$41.56 and its 200-day moving average price is C$32.32. The firm has a market cap of C$3.85 billion, a price-to-earnings ratio of 34.22 and a beta of -0.63. The company has a current ratio of 0.83, a quick ratio of 1.00 and a debt-to-equity ratio of 34.94.

MDA Space Company Profile

MDA Space Ltd, formerly MDA Ltd, is a global space company. The Company is a robotics, satellite systems and Geo intelligence provider. It provides communications satellites and earth and space observation. It is also involved in space exploration and infrastructure. Its software, AURORA, is a digital satellite product line providing critical new solutions to operators.