Cascades (TSE:CAS) Stock Breaks Above 200-Day Moving Average - Should You Sell?

Key Points

• Cascades shares rose above their 200-day moving average, reaching C$17.57 before last trading at C$16.87, compared with the average of C$13.68.
• Analysts have raised their price targets, with estimates ranging from C$17.00 to C$23.00. The stock carries a consensus “Moderate Buy” rating and an average target of C$18.38.
• Cascades pays an annualized dividend of C$0.48 per share, yielding about 2.8%, but recent insider activity was negative as executives sold 27,395 shares worth approximately C$480,844 over three months.

Cascades Inc. (TSE:CAS - Get Free Report) passed above its 200-day moving average during trading on Wednesday. The stock has a 200-day moving average of C$13.68 and traded as high as C$17.57. Cascades shares last traded at C$16.87, with a volume of 326,303 shares.

Analysts Set New Price Targets

CAS has been the topic of a number of recent analyst reports. National Bank Financial increased their price target on Cascades from C$13.00 to C$17.00 and gave the stock a "sector perform" rating in a research report on Monday, August 10th. Canadian Imperial Bank of Commerce boosted their price objective on Cascades from C$17.50 to C$23.00 in a research report on Wednesday, September 30th. Scotia boosted their price objective on Cascades from C$16.00 to C$20.50 and gave the company a "sector outperform" rating in a research report on Friday, August 14th. Royal Bank Of Canada upped their target price on Cascades from C$15.00 to C$18.00 and gave the stock an "outperform" rating in a research note on Monday, August 10th. Finally, TD upped their target price on Cascades from C$19.00 to C$20.00 and gave the stock a "buy" rating in a research note on Wednesday, October 14th. One investment analyst has rated the stock with a Strong Buy rating, five have given a Buy rating and two have given a Hold rating to the stock. According to MarketBeat, Cascades presently has a consensus rating of "Moderate Buy" and an average target price of C$18.38.

Cascades Stock Down 4.3%

The company has a current ratio of 1.48, a quick ratio of 0.86 and a debt-to-equity ratio of 111.08. The business has a fifty day simple moving average of C$17.35 and a two-hundred day simple moving average of C$13.68. The company has a market cap of C$1.71 billion, a PE ratio of 13.60, a price-to-earnings-growth ratio of 0.56 and a beta of 1.03.

Cascades (TSE:CAS - Get Free Report) last released its earnings results on Thursday, August 6th. The company reported C$0.24 earnings per share (EPS) for the quarter. The business had revenue of C$1.22 billion during the quarter. Cascades had a net margin of 2.64% and a return on equity of 7.24%. As a group, equities research analysts predict that Cascades Inc. will post 1.30 earnings per share for the current year.

Cascades Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Thursday, September 3rd. Investors of record on Thursday, September 3rd were given a dividend of $0.12 per share. The ex-dividend date was Thursday, August 20th. This represents a $0.48 dividend on an annualized basis and a yield of 2.8%. Cascades's payout ratio is presently 38.71%.

Insider Buying and Selling

In related news, insider Allan Hogg sold 17,684 shares of the company's stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of C$17.50, for a total transaction of C$309,470.00. Following the completion of the sale, the insider owned 112,056 shares of the company's stock, valued at approximately C$1,960,980. This represents a 13.63% decrease in their position. Also, insider Emmanuelle Migneault sold 3,298 shares of the company's stock in a transaction dated Monday, September 28th. The shares were sold at an average price of C$18.23, for a total transaction of C$60,122.54. Following the sale, the insider directly owned 10,203 shares of the company's stock, valued at approximately C$186,000.69. This represents a 24.43% decrease in their position. Over the last three months, insiders have sold 27,395 shares of company stock worth $480,844. 23.78% of the stock is owned by insiders.

Cascades Company Profile

Founded in 1964, Cascades offers sustainable, innovative and value-added solutions for packaging, hygiene and recovery needs. The company employs approximately 9,000 talented people across a network of 60 production units in North America. With its participative management, half a century of experience in recycling, and ongoing efforts in research and development as driving forces, Cascades continues to deliver the innovative products that customers have come to rely on, while contributing to the well-being of people, communities and the entire planet.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.