Neogen (NASDAQ:NEOG) Stock Price Down 6.4% - Should You Sell?

Key Points

• Neogen Corporation's stock fell by 6.4%, trading at $5.68 after closing at $6.06, with trading volume down 94% from average daily levels.
• Analyst ratings have been mixed, with Zacks Research upgrading Neogen from a "strong sell" to a "hold," while other analysts have set a consensus target price of $8.33.
• Institutional investors hold 96.73% of Neogen's stock, indicating strong support from hedge funds and investment firms, including Vanguard Group and Clarkston Capital Partners.

Neogen Corporation (NASDAQ:NEOG - Get Free Report) shares dropped 6.4% during mid-day trading on Monday . The company traded as low as $5.73 and last traded at $5.68. Approximately 359,604 shares traded hands during trading, a decline of 94% from the average daily volume of 5,542,611 shares. The stock had previously closed at $6.06.

Analyst Upgrades and Downgrades

NEOG has been the subject of several research reports. Zacks Research raised shares of Neogen from a "strong sell" rating to a "hold" rating in a research report on Wednesday, August 20th. CJS Securities initiated coverage on Neogen in a research report on Monday, September 29th. They issued a "market perform" rating and a $10.00 price target for the company. William Blair downgraded Neogen from an "outperform" rating to a "market perform" rating in a research report on Tuesday, July 29th. Weiss Ratings reiterated a "sell (e+)" rating on shares of Neogen in a report on Saturday, September 27th. Finally, Guggenheim decreased their target price on shares of Neogen from $13.00 to $10.00 and set a "buy" rating for the company in a research report on Monday, June 30th. One investment analyst has rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the company has an average rating of "Hold" and a consensus target price of $8.33.

Neogen Price Performance

The stock has a fifty day moving average of $5.46 and a two-hundred day moving average of $5.70. The company has a quick ratio of 2.22, a current ratio of 3.32 and a debt-to-equity ratio of 0.42. The stock has a market cap of $1.22 billion, a price-to-earnings ratio of -1.12 and a beta of 1.90.

Hedge Funds Weigh In On Neogen

A number of hedge funds have recently made changes to their positions in the stock. Vanguard Group Inc. lifted its position in Neogen by 8.8% during the 1st quarter. Vanguard Group Inc. now owns 23,550,128 shares of the company's stock worth $204,180,000 after acquiring an additional 1,912,877 shares in the last quarter. Clarkston Capital Partners LLC raised its stake in shares of Neogen by 123.2% in the 2nd quarter. Clarkston Capital Partners LLC now owns 14,005,725 shares of the company's stock worth $66,947,000 after buying an additional 7,729,650 shares in the last quarter. Gates Capital Management Inc. bought a new stake in Neogen in the first quarter worth about $79,391,000. Norges Bank acquired a new stake in Neogen in the 2nd quarter valued at about $43,387,000. Finally, Conestoga Capital Advisors LLC boosted its position in shares of Neogen by 0.4% during the 1st quarter. Conestoga Capital Advisors LLC now owns 8,540,859 shares of the company's stock valued at $74,049,000 after purchasing an additional 37,271 shares in the last quarter. Institutional investors and hedge funds own 96.73% of the company's stock.

Neogen Company Profile

Neogen Corporation, together with its subsidiaries, engages in the development, manufacture, and marketing of various products and services dedicated to food and animal safety worldwide. It operates through two segments, Food Safety and Animal Safety. The Food Safety segment offers diagnostic test kits and related products to detect dangerous and unintended substances in food and animal feed, including foodborne pathogens, spoilage organisms, natural toxins, food allergens, genetic modifications, ruminant by-products, meat speciation, drug residues, pesticide residues, and general sanitation concerns; and AccuPoint Advanced rapid sanitation test to detect the presence of adenosine triphosphate, a chemical found in living cells, as well as provides genomics-based diagnostic technology and software systems that help testers to objectively analyze and store their results and perform analysis on the results from multiple locations over extended periods.

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