Pason Systems (TSE:PSI) Shares Cross Below 200-Day Moving Average - Time to Sell?

Key Points

• Pason Systems' share price has fallen below its 200-day moving average of C$12.25, trading as low as C$11.09 and last at C$11.35.
• TD Securities has downgraded Pason Systems from a "buy" to a "hold" rating, with a target price set at C$13.00.
• The company has declared a quarterly dividend of $0.13 per share, with a dividend yield of 4.6% and a payout ratio of 36.70%.

Pason Systems Inc. (TSE:PSI - Get Free Report)'s share price passed below its two hundred day moving average during trading on Monday . The stock has a two hundred day moving average of C$12.25 and traded as low as C$11.09. Pason Systems shares last traded at C$11.35, with a volume of 145,747 shares.

Wall Street Analysts Forecast Growth

Separately, TD Securities lowered shares of Pason Systems from a "buy" rating to a "hold" rating and set a C$13.00 price target on the stock. in a research report on Friday, July 18th. One equities research analyst has rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and a consensus target price of C$16.63.

Pason Systems Stock Performance

The company's 50-day simple moving average is C$12.12 and its 200-day simple moving average is C$12.22. The company has a quick ratio of 3.54, a current ratio of 2.59 and a debt-to-equity ratio of 3.19. The stock has a market cap of C$956.83 million, a price-to-earnings ratio of 8.48, a price-to-earnings-growth ratio of 10.78 and a beta of 1.58.

Pason Systems Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Monday, June 30th. Investors of record on Monday, June 30th were paid a $0.13 dividend. The ex-dividend date of this dividend was Monday, June 16th. This represents a $0.52 dividend on an annualized basis and a yield of 4.3%. Pason Systems's dividend payout ratio (DPR) is currently 36.70%.

Insider Activity

In related news, Senior Officer Jonathan Faber sold 2,600 shares of the firm's stock in a transaction that occurred on Monday, June 2nd. The shares were sold at an average price of C$12.33, for a total value of C$32,058.00. Also, Senior Officer Lars Olesen sold 2,200 shares of the firm's stock in a transaction that occurred on Tuesday, May 27th. The stock was sold at an average price of C$12.02, for a total transaction of C$26,444.00. Over the last 90 days, insiders sold 14,500 shares of company stock worth $179,122. Company insiders own 0.13% of the company's stock.

Pason Systems Company Profile

Pason Systems Inc, together with its subsidiaries, provides instrumentation and data management systems for drilling rigs in Canada, the United States, and internationally. The company provides Electronic Drilling Recorder, which provides real-time drilling data to rig site personnel; DataHub with Pason Live, which is used as the central repository for data and reports captured at the rigs for real-time; and DataLink that provides automated in-house databases, third-party analytics platforms, remote geosteering, and other remote services.