Pampa Energia (NYSE:PAM) Hits New 52-Week Low Following Analyst Downgrade

Key Points

• Pampa Energia shares hit a new 52-week low of $55.36 after a downgrade from a hold rating to a sell rating by Wall Street Zen, with the stock last trading at $57.79.
• Despite the downgrade, Citigroup raised Pampa Energia's target price from $88.00 to $92.00, maintaining a "neutral" rating, while the consensus price target stands at $85.83.
• The company reported disappointing quarterly earnings with EPS of $0.70, significantly missing analysts' expectations of $2.35, alongside a revenue of $486 million against forecasts of $632 million.

Pampa Energia S.A. (NYSE:PAM - Get Free Report) shares reached a new 52-week low during trading on Monday after Wall Street Zen downgraded the stock from a hold rating to a sell rating. The company traded as low as $55.36 and last traded at $57.79, with a volume of 620659 shares. The stock had previously closed at $67.97.

Several other research firms have also recently issued reports on PAM. Citigroup boosted their target price on Pampa Energia from $88.00 to $92.00 and gave the stock a "neutral" rating in a research report on Monday, May 19th. Zacks Research upgraded Pampa Energia from a "strong sell" rating to a "hold" rating in a research report on Monday, August 18th. Three analysts have rated the stock with a Hold rating, According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average target price of $92.75.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the company. Raymond James Financial Inc. acquired a new stake in shares of Pampa Energia during the second quarter valued at about $37,000. First Horizon Advisors Inc. acquired a new stake in shares of Pampa Energia during the second quarter valued at about $51,000. Advisors Preferred LLC grew its stake in shares of Pampa Energia by 158.9% during the first quarter. Advisors Preferred LLC now owns 730 shares of the utilities provider's stock valued at $58,000 after acquiring an additional 448 shares in the last quarter. Burns Matteson Capital Management LLC acquired a new stake in shares of Pampa Energia during the first quarter valued at about $186,000. Finally, Banco Santander S.A. acquired a new stake in shares of Pampa Energia during the first quarter valued at about $221,000. 12.77% of the stock is owned by hedge funds and other institutional investors.

Pampa Energia Stock Down 4.5%

The firm has a 50 day moving average price of $70.87 and a two-hundred day moving average price of $73.99. The company has a quick ratio of 2.33, a current ratio of 2.70 and a debt-to-equity ratio of 0.39. The company has a market capitalization of $3.39 billion, a price-to-earnings ratio of 7.32, a P/E/G ratio of 4.82 and a beta of 1.16.

Pampa Energia (NYSE:PAM - Get Free Report) last issued its earnings results on Wednesday, August 6th. The utilities provider reported $0.70 EPS for the quarter, missing the consensus estimate of $2.35 by ($1.65). The firm had revenue of $486.00 million during the quarter, compared to analyst estimates of $632.05 million. Pampa Energia had a return on equity of 13.01% and a net margin of 23.73%. As a group, sell-side analysts expect that Pampa Energia S.A. will post 9.33 earnings per share for the current year.

Pampa Energia Company Profile

Pampa Energía SA operates as an integrated power company in Argentina. The company operates through Electricity Generation, Oil and Gas, Petrochemicals, and Holding and Other Business segments. It generates electricity through thermal plants, hydroelectric plants, and wind farms with a 5,332 megawatt (MW) installed capacity.