Ag Growth International (TSE:AFN) Share Price Crosses Above 50 Day Moving Average - Time to Sell?

Key Points

• Ag Growth International shares rose 23.5%, trading as high as C$11.00 and closing at C$10.77 after moving above their 50-day average of C$10.69. However, the stock remains well below its 200-day average of C$19.52.
• Analysts have significantly reduced their price targets and ratings, with the consensus now “Hold” despite an average target of C$21.89. Three analysts rate the stock Buy, while six assign a Hold rating.
• The company reported a quarterly loss of C$2.06 per share, negative net margins and return on equity, and carries a high debt-to-equity ratio of 541.43. A director nevertheless purchased nearly C$300,000 of shares in July, increasing their position by 25.69%.

Ag Growth International Inc. (TSE:AFN - Get Free Report)'s share price crossed above its fifty day moving average during trading on Wednesday. The stock has a fifty day moving average of C$10.69 and traded as high as C$11.00. Ag Growth International shares last traded at C$10.77, with a volume of 682,832 shares changing hands.

Analysts Set New Price Targets

A number of brokerages have recently issued reports on AFN. ATB Cormark Capital Markets dropped their target price on Ag Growth International from C$18.00 to C$11.00 and set a "sector perform" rating on the stock in a research report on Thursday, October 1st. TD Securities downgraded Ag Growth International from a "strong-buy" rating to a "hold" rating in a report on Monday, September 28th. National Bank Financial reduced their price target on Ag Growth International from C$19.00 to C$11.00 and set a "sector perform" rating for the company in a report on Thursday, October 15th. Desjardins lowered their price objective on Ag Growth International from C$25.00 to C$20.00 and set a "buy" rating for the company in a research note on Friday, July 31st. Finally, Royal Bank Of Canada dropped their price objective on Ag Growth International from C$30.00 to C$20.00 and set an "outperform" rating on the stock in a report on Friday, July 31st. Three analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Hold" and a consensus price target of C$21.89.

Ag Growth International Stock Up 23.5%

The stock has a market capitalization of C$203.34 million, a price-to-earnings ratio of -1.73, a PEG ratio of 1.30 and a beta of 1.56. The firm's fifty day moving average is C$10.69 and its 200-day moving average is C$19.52. The company has a debt-to-equity ratio of 541.43, a current ratio of 1.30 and a quick ratio of 0.84.

Ag Growth International (TSE:AFN - Get Free Report) last announced its quarterly earnings data on Wednesday, July 29th. The company reported C($2.06) earnings per share for the quarter. The company had revenue of C$323.18 million for the quarter. Ag Growth International had a negative return on equity of 48.31% and a negative net margin of 8.43%. On average, sell-side analysts predict that Ag Growth International Inc. will post 6.58 earnings per share for the current year.

Insider Activity at Ag Growth International

In related news, Director Gary Keith Anderson purchased 21,865 shares of Ag Growth International stock in a transaction dated Friday, July 31st. The shares were acquired at an average price of C$13.72 per share, with a total value of C$299,987.80. Following the completion of the transaction, the director owned 106,990 shares of the company's stock, valued at approximately C$1,467,902.80. This trade represents a 25.69% increase in their position. Insiders own 1.06% of the company's stock.

About Ag Growth International

Ag Growth International Inc is a leading manufacturer and supplier of equipment and solutions for the agriculture, fertilizer, feed, food and commercial sectors. With manufacturing facilities and operations on six continents, AGI provides complete systems and services that support producers and processors throughout the agricultural value chain.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.