Cardinal Infrastructure Group (NASDAQ:CDNL) Shares Down 7.2% - Here's Why

Key Points

• Cardinal Infrastructure Group shares fell 7.2% to about $35.47 in mid-day trading, on volume 72% below the average session volume.
• Analysts lowered their price targets after the company reported quarterly EPS of $0.26, missing the $0.48 consensus estimate. The stock now carries a consensus “Hold” rating and an average target of $52.33.
• Despite the selloff, insiders purchased 214,597 shares worth approximately $8.3 million over the past 90 days, while institutional investors including Principal Financial and Ranger Investment Management increased their positions.

Shares of Cardinal Infrastructure Group Inc. (NASDAQ:CDNL - Get Free Report) dropped 7.2% during mid-day trading on Wednesday . The company traded as low as $35.64 and last traded at $35.4650. Approximately 146,822 shares were traded during mid-day trading, a decline of 72% from the average session volume of 523,808 shares. The stock had previously closed at $38.22.

Analysts Set New Price Targets

A number of research analysts recently issued reports on the stock. Stifel Nicolaus decreased their target price on shares of Cardinal Infrastructure Group from $63.00 to $52.00 and set a "buy" rating for the company in a research report on Wednesday, August 12th. Oppenheimer lowered their price objective on Cardinal Infrastructure Group from $80.00 to $70.00 and set an "outperform" rating on the stock in a research report on Wednesday, August 12th. Zacks Research cut shares of Cardinal Infrastructure Group from a "strong-buy" rating to a "hold" rating in a research note on Monday, July 13th. Finally, Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Cardinal Infrastructure Group in a report on Thursday, August 27th. Three investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Cardinal Infrastructure Group presently has a consensus rating of "Hold" and an average price target of $52.33.

Cardinal Infrastructure Group Trading Down 7.0%

The firm has a market capitalization of $1.69 billion and a PE ratio of 64.63. The business has a fifty day moving average price of $55.99 and a two-hundred day moving average price of $52.07. The company has a current ratio of 3.59, a quick ratio of 3.59 and a debt-to-equity ratio of 0.32.

Cardinal Infrastructure Group (NASDAQ:CDNL - Get Free Report) last posted its earnings results on Tuesday, August 11th. The company reported $0.26 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.48 by ($0.22). The company had revenue of $226.93 million during the quarter. Analysts expect that Cardinal Infrastructure Group Inc. will post 1.85 EPS for the current fiscal year.

Insider Activity

In related news, Director Richard Melvin Jr. Lee purchased 34,000 shares of the firm's stock in a transaction on Friday, August 14th. The stock was purchased at an average price of $36.82 per share, for a total transaction of $1,251,880.00. Following the acquisition, the director directly owned 68,254 shares in the company, valued at $2,513,112.28. The trade was a 99.26% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Ivy Zelman bought 12,647 shares of the business's stock in a transaction dated Friday, August 14th. The stock was bought at an average price of $39.61 per share, for a total transaction of $500,947.67. Following the purchase, the director owned 32,891 shares in the company, valued at approximately $1,302,812.51. This represents a 62.47% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders acquired a total of 214,597 shares of company stock worth $8,285,516 in the last ninety days. 61.70% of the stock is currently owned by company insiders.

Institutional Trading of Cardinal Infrastructure Group

A number of large investors have recently added to or reduced their stakes in CDNL. Renaissance Technologies LLC acquired a new position in Cardinal Infrastructure Group in the first quarter valued at approximately $2,704,000. Bank of America Corp DE lifted its stake in shares of Cardinal Infrastructure Group by 139.4% in the 1st quarter. Bank of America Corp DE now owns 125,804 shares of the company's stock valued at $4,989,000 after purchasing an additional 73,259 shares during the period. Principal Financial Group Inc. lifted its stake in shares of Cardinal Infrastructure Group by 198.8% in the 1st quarter. Principal Financial Group Inc. now owns 428,263 shares of the company's stock valued at $16,983,000 after purchasing an additional 284,918 shares during the period. Bastion Asset Management Inc. bought a new position in shares of Cardinal Infrastructure Group in the 1st quarter worth $4,016,000. Finally, Ranger Investment Management L.P. acquired a new stake in shares of Cardinal Infrastructure Group during the second quarter worth $11,768,000.

Cardinal Infrastructure Group Company Profile

We provide a comprehensive suite of infrastructure services to the residential, commercial, industrial, municipal, and state infrastructure markets. Our operations leverage a large highly skilled workforce and a fleet of specialized equipment to deliver wet utility installations (water, sewer, and stormwater systems), as well as grading, site clearing, erosion control, drilling and blasting, paving, and other related site services. We are becoming the platform of choice for a diverse array of infrastructure construction projects in our target geographies that require high-level technical expertise and sophistication.

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