Morgan Advanced Materials (LON:MGAM) Stock Price Passes Below Two Hundred Day Moving Average - Time to Sell?

Key Points

• Technical breach: Morgan Advanced Materials slipped below its 200‑day moving average (200‑day MA GBX 214.59), trading as low as GBX 211.50 and last at GBX 214.50 on ~10.8M shares.
• Analyst stance: Two analysts rate the stock Buy and two Hold, giving an overall Moderate Buy consensus with an average target of GBX 236.25 (range GBX 210–265).
• Financial and insider signals: The company has a market cap of £592.9M, P/E 28.6 and high debt‑to‑equity (113.93), while an insider recently sold 6,599 shares at GBX 185.

Morgan Advanced Materials plc (LON:MGAM - Get Free Report) passed below its 200-day moving average during trading on Friday . The stock has a 200-day moving average of GBX 214.59 and traded as low as GBX 211.50. Morgan Advanced Materials shares last traded at GBX 214.50, with a volume of 10,815,002 shares traded.

Wall Street Analyst Weigh In

Several equities research analysts have commented on MGAM shares. Berenberg Bank restated a "buy" rating and set a GBX 265 target price on shares of Morgan Advanced Materials in a research report on Wednesday, March 4th. Citigroup boosted their target price on shares of Morgan Advanced Materials from GBX 230 to GBX 235 and gave the stock a "buy" rating in a research report on Thursday, March 12th. Finally, Royal Bank Of Canada restated a "sector perform" rating and set a GBX 210 target price on shares of Morgan Advanced Materials in a research report on Wednesday, March 4th. Two research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of GBX 236.25.

Morgan Advanced Materials Stock Down 0.2%

The company has a debt-to-equity ratio of 113.93, a quick ratio of 1.26 and a current ratio of 1.23. The firm's 50-day moving average is GBX 214.19 and its 200 day moving average is GBX 214.59. The firm has a market capitalization of £592.91 million, a PE ratio of 28.60, a price-to-earnings-growth ratio of 0.51 and a beta of 1.19.

Morgan Advanced Materials (LON:MGAM - Get Free Report) last released its quarterly earnings data on Tuesday, March 3rd. The company reported GBX 15.90 EPS for the quarter. Morgan Advanced Materials had a net margin of 2.12% and a return on equity of 6.66%. As a group, research analysts forecast that Morgan Advanced Materials plc will post 32.5 earnings per share for the current fiscal year.

Insider Activity at Morgan Advanced Materials

In related news, insider Damien Caby sold 6,599 shares of the business's stock in a transaction dated Monday, March 23rd. The shares were sold at an average price of GBX 185, for a total value of £12,208.15. 1.21% of the stock is owned by corporate insiders.

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. Morgan Advanced Materials plc was founded in 1856 and is headquartered in Windsor, the United Kingdom.

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