Aecon Group (TSE:ARE) Share Price Breaks Above Two Hundred Day Moving Average - Here's What Happened

Key Points

• Aecon Group shares rose 2.4%, trading as high as C$53.61 and breaking above their 200-day moving average of C$47.30.
• Analyst sentiment improved, with multiple firms raising price targets; the stock has a consensus rating of “Moderate Buy” and an average target of C$55.08.
• The company reported quarterly revenue of C$1.63 billion and earnings of C$0.33 per share, while maintaining a quarterly dividend of C$0.1925, equivalent to a 1.4% yield.

Aecon Group Inc. (TSE:ARE - Get Free Report)'s share price crossed above its 200-day moving average during trading on Friday. The stock has a 200-day moving average of C$47.30 and traded as high as C$53.61. Aecon Group shares last traded at C$53.56, with a volume of 289,311 shares traded.

Analyst Ratings Changes

ARE has been the topic of several research analyst reports. Raymond James Financial raised Aecon Group from a "hold" rating to a "moderate buy" rating and raised their price objective for the company from C$52.00 to C$60.00 in a research note on Friday, July 3rd. Desjardins boosted their target price on Aecon Group from C$55.00 to C$61.00 and gave the stock a "hold" rating in a research note on Monday, July 6th. TD dropped their target price on shares of Aecon Group from C$62.00 to C$61.00 and set a "buy" rating for the company in a report on Friday, June 26th. Stifel Nicolaus upgraded shares of Aecon Group from a "hold" rating to a "buy" rating and raised their price target for the company from C$46.00 to C$54.00 in a research note on Friday, June 26th. Finally, National Bank Financial lifted their price target on shares of Aecon Group from C$59.00 to C$65.00 and gave the company an "outperform" rating in a report on Monday, July 13th. Six analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company's stock. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of C$55.08.

Aecon Group Stock Up 2.4%

The company has a current ratio of 1.08, a quick ratio of 1.27 and a debt-to-equity ratio of 84.23. The company has a market capitalization of C$3.67 billion, a P/E ratio of -56.38, a PEG ratio of 18.18 and a beta of 1.16. The stock has a 50 day moving average price of C$47.99 and a 200 day moving average price of C$47.30.

Aecon Group (TSE:ARE - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The company reported C$0.33 earnings per share for the quarter. Aecon Group had a negative return on equity of 6.76% and a negative net margin of 1.10%. The business had revenue of C$1.63 billion for the quarter. On average, research analysts anticipate that Aecon Group Inc. will post 1.38 earnings per share for the current fiscal year.

Aecon Group Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, October 2nd. Stockholders of record on Friday, October 2nd were paid a $0.1925 dividend. The ex-dividend date of this dividend was Tuesday, September 22nd. This represents a $0.77 annualized dividend and a dividend yield of 1.4%. Aecon Group's dividend payout ratio is currently -80.53%.

Insider Buying and Selling

In related news, insider Steven Neil Nackan sold 4,500 shares of the firm's stock in a transaction that occurred on Thursday, August 27th. The shares were sold at an average price of C$45.55, for a total value of C$204,975.00. Following the completion of the transaction, the insider owned 8,035 shares in the company, valued at C$365,994.25. This trade represents a 35.90% decrease in their position. Also, Director Scott Stewart bought 4,455 shares of the business's stock in a transaction that occurred on Friday, August 28th. The shares were acquired at an average price of C$44.89 per share, for a total transaction of C$199,984.95. Following the completion of the transaction, the director owned 24,484 shares in the company, valued at C$1,099,086.76. This trade represents a 22.24% increase in their ownership of the stock. In the last quarter, insiders sold 7,500 shares of company stock valued at $343,875. 0.82% of the stock is owned by company insiders.

Aecon Group Company Profile

Aecon Group Inc is a Canada-based company that operates in two segments: Construction and Concessions. The Construction segment includes various aspects of the construction of public and private infrastructure projects, mainly in the transportation sector. Its concessions segment is engaged in the development, financing, construction, and operation of infrastructure projects. Aecon generates the majority of its revenue from the Construction segment.

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