Mondi (LON:MNDI) Trading Down 16% - Time to Sell?

Key Points

• Mondi plc's shares fell 16% in mid-day trading, reaching a low of GBX 859 ($11.58), with increased trading volume of approximately 7.9 million shares.
• Analysts have varying opinions with JPMorgan and Citigroup reducing their price targets significantly, though there remains a consensus Buy rating for the stock.
• Insider Philip Yea purchased 5,000 shares at an average of GBX 888 per share, indicating confidence in the company amidst its recent stock decline.

Mondi plc (LON:MNDI - Get Free Report) shares dropped 16% during mid-day trading on Monday . The stock traded as low as GBX 859 ($11.58) and last traded at GBX 879.60 ($11.86). Approximately 7,918,549 shares were traded during trading, an increase of 35% from the average daily volume of 5,875,584 shares. The stock had previously closed at GBX 1,047.52 ($14.12).

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on the company. JPMorgan Chase & Co. decreased their price objective on Mondi from GBX 1,460 to GBX 1,240 and set an "overweight" rating on the stock in a report on Monday, August 11th. Citigroup dropped their price target on shares of Mondi from GBX 1,650 to GBX 1,550 and set a "buy" rating for the company in a research report on Friday, August 1st. Two research analysts have rated the stock with a Buy rating, Based on data from MarketBeat, Mondi presently has a consensus rating of "Buy" and a consensus price target of GBX 1,395.

Mondi Price Performance

The firm has a market capitalization of £3.87 billion, a price-to-earnings ratio of 2,036.11, a price-to-earnings-growth ratio of 0.76 and a beta of 0.68. The company has a quick ratio of 1.14, a current ratio of 2.06 and a debt-to-equity ratio of 41.00. The company's fifty day moving average is GBX 1,039 and its two-hundred day moving average is GBX 1,120.91.

Insider Activity

In related news, insider Philip Yea bought 5,000 shares of the firm's stock in a transaction dated Monday, October 6th. The stock was bought at an average cost of GBX 888 per share, for a total transaction of £44,400. In the last 90 days, insiders acquired 5,029 shares of company stock valued at $4,470,769. 0.17% of the stock is owned by company insiders.

Mondi Company Profile

Mondi plc, together with its subsidiaries, engages in the manufacture and sale of packaging and paper solutions in Africa, Western Europe, Emerging Europe, North America, South America, Asia, Australia, and internationally. The company operates in three segments: Corrugated Packaging, Flexible Packaging, and Uncoated Fine Paper.

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