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

Key Points

• Morgan Advanced Materials shares fell 13.1% on Thursday, trading as low as GBX 167 ($2.23) after closing at GBX 225.50 ($3.01).
• The company reported GBX 10.80 ($0.14) earnings per share for the last quarter and has a return on equity of 19.02%.
• Insiders sold a total of 93,951 shares valued at approximately $20 million over the past 90 days, indicating insider confidence in the company's future prospects.

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

Wall Street Analysts Forecast Growth

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

Morgan Advanced Materials Stock Up 1.3%

The company has a market cap of £559.82 million, a P/E ratio of 8.17, a P/E/G ratio of 0.51 and a beta of 1.34. The stock has a 50-day moving average of GBX 220.48 and a two-hundred day moving average of GBX 220.88. The company has a debt-to-equity ratio of 103.31, a quick ratio of 1.26 and a current ratio of 2.19.

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

Insiders Place Their Bets

In other news, insider Pete Raby sold 52,587 shares of Morgan Advanced Materials stock in a transaction dated Tuesday, May 13th. The stock was sold at an average price of GBX 214 ($2.88), for a total value of £112,536.18 ($151,339.67). Also, insider Richard Armitage sold 26,348 shares of the business's stock in a transaction dated Friday, May 30th. The shares were sold at an average price of GBX 212 ($2.85), for a total value of £55,857.76 ($75,118.02). Insiders sold 93,951 shares of company stock valued at $20,022,786 over the last three months. 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.