Mears Group (LON:MER) Stock Crosses Above 200-Day Moving Average - Time to Sell?

Key Points

• Mears Group shares crossed above their 200-day moving average, trading as high as GBX 373 (200-day MA GBX 351.06) and last at GBX 371.43 on volume of 901,167 shares.
• Analysts maintain a consensus "Buy" rating (four analysts) with an average price target of GBX 503.50; Berenberg reiterated a buy and set a GBX 565 target.
• The company shows a low P/E of 6.90 and market cap of £306.2m but high leverage (debt-to-equity 157.98), and its board has authorized an open-market share buyback program.

Mears Group plc (LON:MER - Get Free Report) crossed above its 200-day moving average during trading on Thursday . The stock has a 200-day moving average of GBX 351.06 and traded as high as GBX 373. Mears Group shares last traded at GBX 371.43, with a volume of 901,167 shares trading hands.

Analysts Set New Price Targets

Separately, Berenberg Bank reiterated a "buy" rating and issued a GBX 565 price objective on shares of Mears Group in a report on Thursday, March 26th. Four research analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the company presently has a consensus rating of "Buy" and an average price target of GBX 503.50.

Mears Group Trading Down 0.0%

The company has a quick ratio of 0.92, a current ratio of 0.79 and a debt-to-equity ratio of 157.98. The company's 50-day moving average is GBX 348.98 and its 200-day moving average is GBX 351.06. The stock has a market capitalization of £306.20 million, a price-to-earnings ratio of 6.90, a PEG ratio of 0.68 and a beta of 0.37.

Mears Group (LON:MER - Get Free Report) last posted its quarterly earnings results on Thursday, March 26th. The company reported GBX 55.70 earnings per share for the quarter. Mears Group had a net margin of 4.07% and a return on equity of 23.94%. Research analysts anticipate that Mears Group plc will post 32.5150732 earnings per share for the current fiscal year.

Mears Group announced that its board has approved a share buyback plan on Wednesday, April 1st that allows the company to repurchase 0 outstanding shares. This repurchase authorization allows the company to buy shares of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's leadership believes its shares are undervalued.

Mears Group Company Profile

Mears Group plc, together with its subsidiaries, provides various outsourced services to the public and private sectors in the United Kingdom. The company offers rapid-response and planned maintenance services to local authorities; gas and repair services; and maintenance and repairs, capital works, energy investment, and regeneration solutions for public buildings, as well as grounds maintenance services. It provides housing management services, which include supply of affordable homes to public and private sectors; emergency and temporary accommodation services; affordable housing/social housing management; housing with care services; private rented sector; stock acquisition; mears housing solutions; and housing services to central government departments.

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