Capital Power (TSE:CPX) Stock Passes Below Two Hundred Day Moving Average - Should You Sell?

Key Points

• Capital Power shares fell below their 200-day moving average, trading as low as C$58.58 versus the C$67.26 average, signaling recent technical weakness.
• Despite the decline, analysts remain generally positive: the stock has an average “Buy” rating and an average price target of C$80.11, well above its recent C$59.52 price.
• The company reported a quarterly loss of C$0.33 per share on C$714 million in revenue, while its balance sheet showed high leverage and limited liquidity; an insider also sold 1,500 shares in June.

Capital Power Co. (TSE:CPX - Get Free Report) shares crossed below its 200-day moving average during trading on Monday . The stock has a 200-day moving average of C$67.26 and traded as low as C$58.58. Capital Power shares last traded at C$59.52, with a volume of 1,681,991 shares trading hands.

Analyst Upgrades and Downgrades

CPX has been the subject of several research analyst reports. Desjardins upped their price objective on shares of Capital Power from C$82.00 to C$88.00 and gave the company a "top pick" rating in a research note on Friday, July 3rd. Wells Fargo & Company lifted their target price on Capital Power from C$72.00 to C$75.00 and gave the stock an "equal weight" rating in a research report on Monday, July 27th. National Bank Financial boosted their target price on Capital Power from C$75.00 to C$82.00 and gave the company an "outperform" rating in a report on Monday, June 1st. BMO Capital Markets decreased their target price on Capital Power from C$85.00 to C$81.00 and set an "outperform" rating for the company in a research report on Thursday, July 30th. Finally, Canadian Imperial Bank of Commerce decreased their target price on Capital Power from C$85.00 to C$83.00 in a research report on Thursday, July 30th. Two analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating and one has given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company has an average rating of "Buy" and an average target price of C$80.11.

Capital Power Stock Performance

The firm's 50-day moving average is C$67.36 and its 200 day moving average is C$67.26. The stock has a market cap of C$9.35 billion, a PE ratio of 104.42, a P/E/G ratio of 0.91 and a beta of 0.61. The company has a debt-to-equity ratio of 150.64, a quick ratio of 0.55 and a current ratio of 0.80.

Capital Power (TSE:CPX - Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The company reported C($0.33) EPS for the quarter. Capital Power had a net margin of 3.05% and a return on equity of 2.31%. The business had revenue of C$714.00 million during the quarter. As a group, research analysts anticipate that Capital Power Co. will post 2.8197088 EPS for the current year.

Insider Transactions at Capital Power

In related news, insider Jason Daniel Comandante sold 1,500 shares of the business's stock in a transaction dated Wednesday, June 24th. The stock was sold at an average price of C$74.88, for a total value of C$112,320.00. Following the transaction, the insider owned 8,711 shares in the company, valued at C$652,279.68. The trade was a 14.69% decrease in their position. 0.17% of the stock is owned by company insiders.

About Capital Power

Capital Power TSX: CPX is a growth-oriented power producer with approximately 12 GW of power generation at 32 facilities, plus battery energy storage across North America. We prioritize safely delivering reliable and affordable power communities can depend on, building lower-carbon power systems, and creating balanced solutions for our energy future.

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