Ocado Group (LON:OCDO) Stock Price Down 9.8% - Here's Why

Key Points

• Ocado Group's stock price dropped 9.8%, trading as low as GBX 240.30 ($3.26) before closing at GBX 270.71 ($3.67).
• JPMorgan Chase & Co. raised their price target for Ocado from GBX 400 to GBX 437, maintaining an "overweight" rating.
• The company has a market capitalization of £2.24 billion and a P/E ratio of 575.99, indicating a significantly high valuation.

Shares of Ocado Group plc (LON:OCDO - Get Free Report) were down 9.8% during trading on Saturday . The stock traded as low as GBX 240.30 ($3.28) and last traded at GBX 270.71 ($3.69). Approximately 15,986,102 shares changed hands during mid-day trading, an increase of 99% from the average daily volume of 8,031,512 shares. The stock had previously closed at GBX 300 ($4.09).

Analysts Set New Price Targets

Separately, JPMorgan Chase & Co. upped their price target on shares of Ocado Group from GBX 400 to GBX 437 and gave the company an "overweight" rating in a research note on Friday, August 1st. One equities research analyst has rated the stock with a Buy rating, According to data from MarketBeat.com, the stock currently has a consensus rating of "Buy" and a consensus target price of GBX 437.

Ocado Group Price Performance

The company's 50-day moving average is GBX 318.51 and its two-hundred day moving average is GBX 282.18. The company has a debt-to-equity ratio of 144.16, a current ratio of 2.35 and a quick ratio of 2.82. The firm has a market cap of £1.91 billion, a P/E ratio of 491.28 and a beta of 1.85.

About Ocado Group

Ocado Group is a UK based technology company that provides end-to-end online grocery fulfilment solutions, known as the Ocado Smart Platform, to some of the world's largest grocery retailers and holds a 50% share of Ocado Retail Ltd in the UK in a Joint Venture with Marks & Spencer. OSP comprises access to Ocado's physical infrastructure solutions, running highly efficient warehouse operations for the single pick of products, together with the entire end-to-end proprietary software applications required to operate a world class online grocery business.