Amadeus IT Group (OTCMKTS:AMADY) Shares Gap Down - Should You Sell?

Key Points

• Amadeus IT Group shares gapped down sharply, opening at $63.25 versus the prior close of $66.83 and last trading near $62.75.
• Analyst sentiment is mixed: Kepler Capital Markets downgraded the stock to “strong sell,” while Jefferies reaffirmed a “buy” rating. Overall, the six analysts tracked by MarketBeat give AMADY an average “Hold” rating.
• The company exceeded quarterly expectations, reporting $1.03 in earnings per share versus $1.01 expected and revenue of $1.92 billion versus $1.89 billion forecast.

Amadeus IT Group SA Unsponsored ADR (OTCMKTS:AMADY - Get Free Report)'s stock price gapped down prior to trading on Wednesday . The stock had previously closed at $66.83, but opened at $63.25. Amadeus IT Group shares last traded at $62.7527, with a volume of 6,829 shares traded.

Analysts Set New Price Targets

AMADY has been the subject of a number of recent research reports. Kepler Capital Markets downgraded shares of Amadeus IT Group from a "hold" rating to a "strong sell" rating in a report on Monday, June 29th. Jefferies Financial Group restated a "buy" rating on shares of Amadeus IT Group in a research report on Sunday, August 2nd. Three investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Hold".

Amadeus IT Group Stock Performance

The company has a debt-to-equity ratio of 0.55, a quick ratio of 0.74 and a current ratio of 0.74. The company has a market capitalization of $27.26 billion, a price-to-earnings ratio of 17.90, a P/E/G ratio of 2.36 and a beta of 0.84. The firm has a 50-day simple moving average of $62.46 and a two-hundred day simple moving average of $60.53.

Amadeus IT Group (OTCMKTS:AMADY - Get Free Report) last announced its quarterly earnings data on Thursday, July 30th. The company reported $1.03 earnings per share for the quarter, beating analysts' consensus estimates of $1.01 by $0.02. Amadeus IT Group had a net margin of 19.86% and a return on equity of 29.84%. The firm had revenue of $1.92 billion during the quarter, compared to analysts' expectations of $1.89 billion. On average, sell-side analysts anticipate that Amadeus IT Group SA Unsponsored ADR will post 4.03 EPS for the current fiscal year.

Amadeus IT Group Company Profile

Amadeus IT Group is a global travel-technology company that develops and supplies software and IT services for the travel and tourism industry. Founded in the late 1980s as a technology venture by a group of European airlines, Amadeus has evolved into an integrated provider of distribution, passenger service systems and operations software used across the travel value chain. The company's platforms support booking, ticketing, departure control, inventory and other core travel transaction functions for industry participants.

Amadeus's product offering spans a global distribution system used by travel agencies and online travel sellers, airline passenger service systems (notably the Altéa suite), airport operations and departure control solutions, as well as software for hotels, rail operators and car rental companies.

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