Cadiz (NASDAQ:CDZI) Stock Breaks Below 200-Day Moving Average - Time to Sell?

Key Points

• Cadiz shares fell below their 200-day moving average, trading as low as $4.07 and last changing hands at $4.08, compared with a 200-day average of $4.38.
• Analyst sentiment is negative: two analysts rate the stock Sell and one rates it Buy, producing a consensus “Reduce” rating despite a $10.00 consensus price target.
• Cadiz reported weaker-than-expected quarterly results, including a $0.15 per-share loss versus an expected $0.12 loss and revenue of $0.98 million versus $3.07 million expected; the company also posted deeply negative profitability metrics.

Cadiz, Inc. (NASDAQ:CDZI - Get Free Report) shares crossed below its two hundred day moving average during trading on Monday. The stock has a two hundred day moving average of $4.38 and traded as low as $4.07. Cadiz shares last traded at $4.08, with a volume of 989,179 shares.

Wall Street Analysts Forecast Growth

CDZI has been the topic of a number of analyst reports. Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Cadiz in a research report on Tuesday, September 1st. Zacks Research cut Cadiz from a "hold" rating to a "strong sell" rating in a research note on Wednesday, October 14th. One equities research analyst has rated the stock with a Buy rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Reduce" and a consensus target price of $10.00.

Cadiz Stock Performance

The stock's 50-day simple moving average is $3.88 and its 200 day simple moving average is $4.38. The company has a market capitalization of $345.49 million, a PE ratio of -8.16 and a beta of 1.72. The company has a debt-to-equity ratio of 24.97, a quick ratio of 0.96 and a current ratio of 1.16.

Cadiz (NASDAQ:CDZI - Get Free Report) last released its quarterly earnings data on Thursday, August 13th. The company reported ($0.15) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.12) by ($0.03). The firm had revenue of $0.98 million for the quarter, compared to analysts' expectations of $3.07 million. Cadiz had a negative return on equity of 206.79% and a negative net margin of 311.03%. As a group, research analysts expect that Cadiz, Inc. will post -0.55 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Cadiz

Several large investors have recently bought and sold shares of CDZI. Levin Capital Strategies L.P. raised its position in Cadiz by 4.1% during the 1st quarter. Levin Capital Strategies L.P. now owns 3,816,169 shares of the company's stock worth $18,737,000 after buying an additional 149,846 shares during the last quarter. Bank of America Corp DE lifted its stake in shares of Cadiz by 0.3% in the 1st quarter. Bank of America Corp DE now owns 3,528,294 shares of the company's stock worth $17,324,000 after acquiring an additional 9,473 shares during the period. Bank of New York Mellon Corp acquired a new stake in shares of Cadiz in the 2nd quarter worth $794,000. Squarepoint Ops LLC lifted its stake in shares of Cadiz by 193.6% in the 2nd quarter. Squarepoint Ops LLC now owns 127,578 shares of the company's stock worth $533,000 after acquiring an additional 84,129 shares during the period. Finally, Hsbc Holdings PLC purchased a new stake in shares of Cadiz in the fourth quarter valued at about $719,000. Institutional investors and hedge funds own 79.75% of the company's stock.

Cadiz Company Profile

Cadiz Inc is a California-based water solutions company focused on developing, managing and supplying sustainable water resources. The company owns land and water rights in the Mojave Desert and works to conserve, store, treat and convey groundwater for use by communities, businesses and agricultural customers.

Its principal initiative is the Cadiz Water Project, which is designed to capture and conserve groundwater in the eastern Mojave Desert and deliver it to participating water agencies in Southern California through regional conveyance infrastructure.

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