Shell (NYSE:SHEL) Coverage Initiated at Melius Research

Key Points

• Melius Research has initiated coverage on Shell with a "hold" rating and a $70.00 price target, indicating a potential downside of 2.91% from the current stock price.
• Shell's shares have seen a trading volume of 339,022 on Wednesday, with the stock currently priced at $72.0950 and a market capitalization of $211.83 billion.
• Institutional investors have increased their stakes in Shell recently, with notable increases from Brighton Jones LLC and Barclays PLC, indicating growing confidence in the company's stock.

Stock analysts at Melius Research started coverage on shares of Shell (NYSE:SHEL - Get Free Report) in a research note issued on Wednesday, Marketbeat.com reports. The brokerage set a "hold" rating and a $70.00 price target on the energy company's stock. Melius Research's price objective points to a potential downside of 4.52% from the stock's previous close.

SHEL has been the topic of a number of other research reports. Wells Fargo & Company cut their target price on Shell from $80.00 to $79.00 and set an "overweight" rating on the stock in a research note on Thursday, June 26th. Melius initiated coverage on Shell in a report on Wednesday. They issued a "hold" rating and a $70.00 price target for the company. Scotiabank reiterated an "outperform" rating on shares of Shell in a report on Friday, July 11th. Piper Sandler lowered their price target on Shell from $84.00 to $82.00 and set an "overweight" rating for the company in a report on Monday. Finally, Hsbc Global Res lowered Shell from a "strong-buy" rating to a "hold" rating in a report on Monday, August 4th. Ten research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $76.71.

Shell Trading Up 1.1%

Shares of SHEL traded up $0.8270 during mid-day trading on Wednesday, reaching $73.3170. 2,424,224 shares of the company's stock traded hands, compared to its average volume of 3,664,981. The stock has a market cap of $215.42 billion, a P/E ratio of 16.51, a P/E/G ratio of 1.92 and a beta of 0.44. The stock's 50-day moving average is $71.62 and its two-hundred day moving average is $68.60. Shell has a 12 month low of $58.54 and a 12 month high of $74.18. The company has a debt-to-equity ratio of 0.36, a current ratio of 1.32 and a quick ratio of 1.07.

Shell (NYSE:SHEL - Get Free Report) last released its earnings results on Thursday, July 31st. The energy company reported $1.42 EPS for the quarter, beating analysts' consensus estimates of $1.13 by $0.29. The firm had revenue of $66.44 billion for the quarter, compared to analysts' expectations of $69.31 billion. Shell had a return on equity of 10.67% and a net margin of 4.93%. Research analysts forecast that Shell will post 7.67 earnings per share for the current fiscal year.

Shell declared that its Board of Directors has initiated a share repurchase program on Friday, May 2nd that allows the company to buyback $3.50 billion in outstanding shares. This buyback authorization allows the energy company to repurchase up to 1.8% of its shares through open market purchases. Shares buyback programs are typically an indication that the company's management believes its stock is undervalued.

Hedge Funds Weigh In On Shell

A number of large investors have recently made changes to their positions in SHEL. Kennebec Savings Bank acquired a new position in shares of Shell in the 1st quarter valued at $25,000. Avalon Trust Co acquired a new stake in Shell during the 1st quarter worth about $25,000. Westside Investment Management Inc. acquired a new stake in Shell during the 2nd quarter worth about $25,000. Brown Lisle Cummings Inc. grew its position in Shell by 103.4% during the 1st quarter. Brown Lisle Cummings Inc. now owns 356 shares of the energy company's stock worth $26,000 after purchasing an additional 181 shares during the period. Finally, Truvestments Capital LLC grew its position in Shell by 102.9% during the 1st quarter. Truvestments Capital LLC now owns 420 shares of the energy company's stock worth $31,000 after purchasing an additional 213 shares during the period. 28.60% of the stock is owned by institutional investors and hedge funds.

About Shell

Shell plc operates as an energy and petrochemical company Europe, Asia, Oceania, Africa, the United States, and Rest of the Americas. The company operates through Integrated Gas, Upstream, Marketing, Chemicals and Products, and Renewables and Energy Solutions segments. It explores for and extracts crude oil, natural gas, and natural gas liquids; markets and transports oil and gas; produces gas-to-liquids fuels and other products; and operates upstream and midstream infrastructure to deliver gas to market.