Peel Hunt Reaffirms Buy Rating for Melrose Industries (LON:MRO)

Key Points

• Peel Hunt has reiterated a "Buy" rating for Melrose Industries (LON:MRO), setting a target price of GBX 750 ($9.96), indicating a 38.04% upside potential from the current share price.
• The stock currently has a consensus rating of "Moderate Buy" from analysts, with additional ratings including "overweight" from JPMorgan Chase & Co., and "outperform" from Royal Bank Of Canada.
• Melrose Industries recently reported a negative net margin of 1.13% and will potentially post an earnings per share (EPS) of 33.97 for this fiscal year, indicating possible challenges ahead.

Peel Hunt reiterated their buy rating on shares of Melrose Industries (LON:MRO - Free Report) in a research note published on Friday, August 1st, Marketbeat reports. Peel Hunt currently has a GBX 750 ($10.09) price target on the stock.

MRO has been the subject of a number of other reports. Royal Bank Of Canada reaffirmed an "outperform" rating and issued a GBX 650 ($8.74) target price on shares of Melrose Industries in a research note on Friday, August 1st. JPMorgan Chase & Co. reaffirmed an "overweight" rating and issued a GBX 600 ($8.07) target price on shares of Melrose Industries in a research report on Wednesday, July 2nd. Two research analysts have rated the stock with a hold rating and three have issued a buy rating to the company's stock. According to data from MarketBeat, Melrose Industries presently has an average rating of "Moderate Buy" and a consensus price target of GBX 612 ($8.23).

Melrose Industries Price Performance

MRO stock traded up GBX 8.71 ($0.12) during midday trading on Friday, reaching GBX 589.71 ($7.93). The stock had a trading volume of 3,047,800 shares, compared to its average volume of 10,939,491. The company's fifty day simple moving average is GBX 513.75 and its 200 day simple moving average is GBX 514.51. The company has a current ratio of 0.86, a quick ratio of 0.45 and a debt-to-equity ratio of 44.03. The company has a market cap of £7.62 billion, a price-to-earnings ratio of -199.44, a price-to-earnings-growth ratio of 0.48 and a beta of 1.51. Melrose Industries has a 52-week low of GBX 376 ($5.06) and a 52-week high of GBX 682.60 ($9.18).

Melrose Industries (LON:MRO - Get Free Report) last issued its earnings results on Friday, August 1st. The company reported GBX 15.20 ($0.20) earnings per share (EPS) for the quarter. Melrose Industries had a negative return on equity of 1.18% and a negative net margin of 1.13%. As a group, sell-side analysts predict that Melrose Industries will post 33.9741641 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Alison Goligher acquired 20,000 shares of the firm's stock in a transaction dated Friday, May 23rd. The stock was acquired at an average price of GBX 462 ($6.21) per share, for a total transaction of £92,400 ($124,260.36). Insiders own 1.00% of the company's stock.

Melrose Industries Company Profile

Melrose Industries PLC, together with its subsidiaries, provides aerospace components and systems to civil and defence markets in the United Kingdom, rest of Europe, North America, and internationally. The company operates through two segments, Engines and Structures. The Engines segment offers structural engineered components; parts repair; and commercial and aftermarket contracts to engines original equipment manufacturers.