Ocado Group (LON:OCDO) Stock Price Down 9.8% - Time to Sell?

Key Points

• Ocado Group's stock price experienced a significant drop of 9.8%, closing at GBX 270.71 ($3.68) after trading as low as GBX 240.30 ($3.26) during the day.
• JPMorgan Chase & Co. raised their price target for Ocado Group from GBX 400 to GBX 437, while the stock maintains a consensus rating of "Buy" among analysts.
• The company has a high debt-to-equity ratio of 144.16, indicating potential financial risks, despite having strong liquidity ratios with a quick ratio of 2.82.

Ocado Group plc (LON:OCDO - Get Free Report) shares dropped 9.8% during mid-day trading on Friday . The company traded as low as GBX 240.30 ($3.26) and last traded at GBX 270.71 ($3.67). Approximately 15,986,102 shares were traded 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 ($4.07).

Analysts Set New Price Targets

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

Ocado Group Price Performance

The stock has a 50-day simple moving average of GBX 318.95 and a 200 day simple moving average of GBX 283.11. The company has a debt-to-equity ratio of 144.16, a quick ratio of 2.82 and a current ratio of 2.35. The company has a market cap of £2.24 billion, a P/E ratio of 575.99 and a beta of 1.85.

Ocado Group Company Profile

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.