Pets at Home Group (LON:PETS) Shares Down 16.7% - Here's What Happened

Key Points

• Pets at Home Group shares experienced a significant decline of 16.7% during mid-day trading, dropping from a previous close of GBX 228.40 to a low of GBX 175.50.
• Analysts have mixed views on the stock, with Canaccord Genuity maintaining a "buy" rating and a target price of GBX 300, while Deutsche Bank revised its target down to GBX 275.
• The company has initiated a stock repurchase plan, which can indicate the board's belief that the stock is undervalued, although they have authorized repurchase of 0 shares.

Pets at Home Group Plc (LON:PETS - Get Free Report) was down 16.7% on Thursday . The stock traded as low as GBX 175.50 ($2.36) and last traded at GBX 190.20 ($2.56). Approximately 9,942,952 shares were traded during trading, an increase of 311% from the average daily volume of 2,418,653 shares. The stock had previously closed at GBX 228.40 ($3.08).

Wall Street Analyst Weigh In

A number of research firms have recently issued reports on PETS. Deutsche Bank Aktiengesellschaft reduced their target price on Pets at Home Group from GBX 275 to GBX 215 and set a "buy" rating for the company in a report on Thursday. Canaccord Genuity Group reaffirmed a "buy" rating and issued a GBX 300 price target on shares of Pets at Home Group in a report on Thursday, May 29th. Finally, Shore Capital reissued a "no recommendation" rating on shares of Pets at Home Group in a research report on Thursday, July 31st. Two investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to MarketBeat.com, Pets at Home Group presently has an average rating of "Moderate Buy" and a consensus target price of GBX 253.33.

Pets at Home Group Stock Down 0.1%

The firm has a market cap of £866.85 million, a P/E ratio of 1,025.53, a price-to-earnings-growth ratio of 2.66 and a beta of 0.69. The firm has a fifty day moving average of GBX 229.57 and a 200-day moving average of GBX 239.72. The company has a quick ratio of 0.57, a current ratio of 0.63 and a debt-to-equity ratio of 43.13.

Pets at Home Group announced that its board has initiated a stock repurchase program on Monday, June 9th that authorizes the company to buyback 0 outstanding shares. This buyback authorization authorizes the company to repurchase shares of its stock through open market purchases. Shares buyback programs are generally an indication that the company's board believes its stock is undervalued.

Pets at Home Group Company Profile

We are the UK's leading pet care business, providing pet owners with everything they need to be able to look after their pet – from food, toys and bedding, and grooming services, right the way through to first opinion veterinary care. Our stores represent a unique environment and provide a practical, fun and unique experience for pet owners.