Pets at Home Group (LON:PETS) Stock Price Down 16.7% - Here's Why

Key Points

• The stock price of Pets at Home Group declined by 16.7% in a single trading session, closing at GBX 190.20, down from GBX 228.40.
• Despite the recent drop, analysts maintain a Moderate Buy rating on the stock, with a price target averaging GBX 273.33.
• The company has initiated a stock buyback program, signaling that the board believes the shares are currently undervalued.

Pets at Home Group Plc (LON:PETS - Get Free Report)'s share price traded down 16.7% during trading on Thursday . The stock traded as low as GBX 175.50 ($2.39) and last traded at GBX 190.20 ($2.59). 9,942,952 shares changed hands during trading, an increase of 311% from the average session volume of 2,418,653 shares. The stock had previously closed at GBX 228.40 ($3.11).

Analyst Upgrades and Downgrades

Several equities analysts have recently commented on the company. Canaccord Genuity Group reiterated a "buy" rating and set a GBX 300 target price on shares of Pets at Home Group in a research note on Thursday, May 29th. Shore Capital reissued a "no recommendation" rating on shares of Pets at Home Group in a research report on Thursday, July 31st. Finally, Deutsche Bank Aktiengesellschaft dropped their price target on Pets at Home Group from GBX 285 to GBX 275 and set a "buy" rating on the stock in a research report on Friday, August 1st. Two research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of GBX 273.33.

Pets at Home Group Price Performance

The company has a debt-to-equity ratio of 43.13, a current ratio of 0.63 and a quick ratio of 0.57. The company has a 50-day simple moving average of GBX 231.69 and a two-hundred day simple moving average of GBX 240.27. The stock has a market capitalization of £855.18 million, a price-to-earnings ratio of 1,011.72, a price-to-earnings-growth ratio of 2.66 and a beta of 0.69.

Pets at Home Group announced that its Board of Directors has authorized a stock buyback program on Monday, June 9th that authorizes the company to repurchase 0 outstanding shares. This repurchase authorization authorizes the company to repurchase shares of its stock through open market purchases. Shares repurchase programs are usually a sign that the company's board of directors believes its shares are 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.