AllianceBernstein (NYSE:AB) Shares Cross Below Two Hundred Day Moving Average - Should You Sell?

Key Points

• AllianceBernstein shares fell below their 200-day moving average, trading as low as $35.90 and last changing hands at $36.04 versus the $37.48 average.
• Analysts maintain a generally cautious outlook: the stock has a consensus “Hold” rating and an average price target of $39.50, with two Buy ratings and five Holds.
• Quarterly results slightly missed expectations, with EPS of $0.82 versus $0.83 expected and revenue of $887.55 million versus $907.67 million forecast. The company paid a quarterly dividend of $0.82 per share, implying a 9.1% yield and a high 97.04% payout ratio.

AllianceBernstein Holding L.P. (NYSE:AB - Get Free Report)'s share price passed below its two hundred day moving average during trading on Friday . The stock has a two hundred day moving average of $37.48 and traded as low as $35.90. AllianceBernstein shares last traded at $36.04, with a volume of 264,641 shares.

Wall Street Analysts Forecast Growth

A number of research analysts have commented on AB shares. Sanford C. Bernstein reissued an "outperform" rating on shares of AllianceBernstein in a research report on Friday, July 10th. Evercore set a $39.00 price target on shares of AllianceBernstein in a research report on Friday, July 10th. Weiss Ratings downgraded shares of AllianceBernstein from a "hold (c+)" rating to a "hold (c)" rating in a research note on Monday, August 3rd. TD Cowen increased their price objective on shares of AllianceBernstein from $37.00 to $38.00 and gave the company a "hold" rating in a research note on Monday, July 20th. Finally, Zacks Research raised shares of AllianceBernstein from a "strong sell" rating to a "hold" rating in a report on Monday, June 29th. Two investment analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, AllianceBernstein has a consensus rating of "Hold" and an average price target of $39.50.

AllianceBernstein Trading Down 0.9%

The business's 50-day moving average price is $36.94 and its 200-day moving average price is $37.48. The stock has a market cap of $3.35 billion, a PE ratio of 10.66, a P/E/G ratio of 1.19 and a beta of 0.79.

AllianceBernstein (NYSE:AB - Get Free Report) last posted its quarterly earnings data on Friday, July 31st. The asset manager reported $0.82 EPS for the quarter, missing the consensus estimate of $0.83 by ($0.01). AllianceBernstein had a return on equity of 25.94% and a net margin of 6.60%.The firm had revenue of $887.55 million for the quarter, compared to the consensus estimate of $907.67 million. During the same quarter last year, the firm earned $0.76 EPS. The company's revenue was up 7.5% compared to the same quarter last year. As a group, analysts predict that AllianceBernstein Holding L.P. will post 3.47 earnings per share for the current year.

AllianceBernstein Cuts Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, August 27th. Stockholders of record on Wednesday, August 12th were issued a dividend of $0.82 per share. This represents a $3.28 annualized dividend and a dividend yield of 9.1%. The ex-dividend date was Wednesday, August 12th. AllianceBernstein's dividend payout ratio is currently 97.04%.

Insider Buying and Selling at AllianceBernstein

In related news, Director Charles Stonehill sold 5,000 shares of the business's stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $37.17, for a total transaction of $185,850.00. Following the transaction, the director directly owned 24,573 shares in the company, valued at $913,378.41. The trade was a 16.91% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. 2.70% of the stock is owned by insiders.

Hedge Funds Weigh In On AllianceBernstein

Several hedge funds have recently modified their holdings of the stock. Gunpowder Capital Management LLC dba Oliver Wealth Management purchased a new position in shares of AllianceBernstein in the fourth quarter worth $28,000. Axiom Investment Management LLC purchased a new stake in shares of AllianceBernstein in the first quarter worth about $28,000. Russell Investments Group Ltd. acquired a new stake in AllianceBernstein during the second quarter worth about $28,000. Fifth Third Bancorp purchased a new position in AllianceBernstein during the second quarter valued at approximately $29,000. Finally, Ascentis Independent Advisors purchased a new position in AllianceBernstein during the first quarter valued at approximately $30,000. Institutional investors and hedge funds own 19.25% of the company's stock.

AllianceBernstein Company Profile

AllianceBernstein Holding L.P. NYSE: AB is a global investment management company that provides investment products, research and related services to institutional investors, financial advisers, individual investors and private-wealth clients. Its offerings span equities, fixed income, multi-asset strategies, alternatives and other portfolio solutions.

The company serves clients through institutional and retail channels, including pension plans, governments, foundations, insurance companies, financial intermediaries and high-net-worth individuals.

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