Morgan Advanced Materials (LON:MGAM) Stock Price Down 13.1% - Here's What Happened

Key Points

• Morgan Advanced Materials shares fell by 13.1% during trading, closing at GBX 196 ($2.62) after reaching a low of GBX 167 ($2.23).
• The company reported earnings per share of GBX 10.80 ($0.14) last quarter, with analysts projecting an annual EPS of 32.5.
• Insider trading activity saw significant share sales totaling over £20 million from company insiders in the last three months, while only 1.69% of shares remain with them.

Morgan Advanced Materials plc (LON:MGAM - Get Free Report)'s share price fell 13.1% on Thursday . The stock traded as low as GBX 167 ($2.25) and last traded at GBX 196 ($2.64). 2,395,195 shares were traded during mid-day trading, an increase of 89% from the average session volume of 1,269,546 shares. The stock had previously closed at GBX 225.50 ($3.03).

Wall Street Analysts Forecast Growth

Several equities research analysts recently commented on the company. Citigroup lowered their target price on Morgan Advanced Materials from GBX 265 ($3.56) to GBX 240 ($3.23) and set a "buy" rating for the company in a report on Friday. Royal Bank Of Canada reduced their price objective on shares of Morgan Advanced Materials from GBX 275 ($3.70) to GBX 250 ($3.36) and set an "outperform" rating for the company in a research report on Thursday.

Morgan Advanced Materials Trading Up 1.3%

The company has a market cap of £559.82 million, a P/E ratio of 8.17, a price-to-earnings-growth ratio of 0.51 and a beta of 1.34. The company has a quick ratio of 1.26, a current ratio of 2.19 and a debt-to-equity ratio of 103.31. The firm's 50-day moving average price is GBX 220.48 and its 200-day moving average price is GBX 220.88.

Morgan Advanced Materials (LON:MGAM - Get Free Report) last issued its quarterly earnings data on Thursday, August 7th. The company reported GBX 10.80 ($0.15) earnings per share (EPS) for the quarter. Morgan Advanced Materials had a return on equity of 19.02% and a net margin of 6.17%. As a group, equities research analysts expect that Morgan Advanced Materials plc will post 32.5 earnings per share for the current fiscal year.

Insider Transactions at Morgan Advanced Materials

In other news, insider Damien Caby sold 15,016 shares of the stock in a transaction dated Friday, May 30th. The stock was sold at an average price of GBX 212 ($2.85), for a total transaction of £31,833.92 ($42,810.54). Also, insider Richard Armitage sold 26,348 shares of the company's stock in a transaction that occurred on Friday, May 30th. The stock was sold at an average price of GBX 212 ($2.85), for a total value of £55,857.76 ($75,118.02). In the last ninety days, insiders sold 93,951 shares of company stock valued at $20,022,786. Insiders own 1.69% of the company's stock.

Morgan Advanced Materials Company Profile

Morgan Advanced Materials plc operates as a materials science and application engineering company primarily the United Kingdom. It serves customers in the industrial, transportation, petrochemical and chemical, energy, semiconductor and electronics, healthcare, and security and defense markets. The company was formerly known as The Morgan Crucible Company plc and changed its name to Morgan Advanced Materials plc in March 2013.