Montrose Environmental Group, Inc. (NYSE:MEG) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• Montrose Environmental Group, Inc. has received a consensus recommendation of "Moderate Buy" from five brokerages, with an average target price of $32.00.
• The company has initiated a stock buyback plan authorizing the repurchase of $40 million in shares, indicating that leadership may believe the stock is currently undervalued.
• Institutional investors own approximately 87.87% of Montrose Environmental Group's stock, reflecting significant confidence from large investment firms.

Shares of Montrose Environmental Group, Inc. (NYSE:MEG - Get Free Report) have been assigned an average recommendation of "Moderate Buy" from the five ratings firms that are covering the company, MarketBeat Ratings reports. Two analysts have rated the stock with a hold recommendation and three have issued a buy recommendation on the company. The average 12-month price objective among brokerages that have issued ratings on the stock in the last year is $32.00.

MEG has been the subject of a number of analyst reports. Needham & Company LLC restated a "buy" rating and set a $31.00 price target (up previously from $30.00) on shares of Montrose Environmental Group in a research note on Friday, August 8th. Wall Street Zen upgraded shares of Montrose Environmental Group from a "hold" rating to a "buy" rating in a research note on Saturday.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the business. Quarry LP bought a new stake in shares of Montrose Environmental Group in the 4th quarter valued at about $36,000. AlphaQuest LLC lifted its holdings in shares of Montrose Environmental Group by 569.3% during the 1st quarter. AlphaQuest LLC now owns 4,096 shares of the company's stock valued at $58,000 after purchasing an additional 3,484 shares in the last quarter. Brooklyn Investment Group bought a new position in shares of Montrose Environmental Group during the 1st quarter valued at about $79,000. CWM LLC lifted its holdings in shares of Montrose Environmental Group by 1,015.3% during the 2nd quarter. CWM LLC now owns 4,506 shares of the company's stock valued at $99,000 after purchasing an additional 4,102 shares in the last quarter. Finally, Creekmur Asset Management LLC bought a new stake in Montrose Environmental Group during the second quarter worth about $113,000. Institutional investors own 87.87% of the company's stock.

Montrose Environmental Group Stock Performance

MEG traded up $0.20 on Friday, hitting $27.49. 367,783 shares of the stock traded hands, compared to its average volume of 476,006. The firm has a market capitalization of $969.84 million, a PE ratio of -18.19, a P/E/G ratio of 6.16 and a beta of 1.90. The company has a current ratio of 1.78, a quick ratio of 1.78 and a debt-to-equity ratio of 0.60. Montrose Environmental Group has a 52 week low of $10.51 and a 52 week high of $34.56. The business has a fifty day moving average price of $22.63 and a two-hundred day moving average price of $19.01.

Montrose Environmental Group declared that its Board of Directors has authorized a share buyback program on Wednesday, May 7th that authorizes the company to repurchase $40.00 million in shares. This repurchase authorization authorizes the company to repurchase up to 7.7% of its shares through open market purchases. Shares repurchase programs are usually an indication that the company's management believes its stock is undervalued.

Montrose Environmental Group Company Profile

Montrose Environmental Group, Inc operates as an environmental services company in the United States, Canada, and internationally. The company operates in three segments: Assessment, Permitting and Response; Measurement and Analysis; and Remediation and Reuse. The Assessment, Permitting and Response segment provides scientific advisory and consulting services to support environmental assessments; environmental emergency response and recovery; toxicology consulting and environmental audits and permits for current operations; facility upgrades; new projects; decommissioning projects; and development projects.