Clarivate (NYSE:CLVT) Shares Climb 16% - Here's Why

Key Points

• Clarivate shares surged 16% to approximately $1.93, with trading volume below the stock’s average daily volume.
• Analyst sentiment remains cautious: the stock has an average “Reduce” rating and a $2.77 consensus price target after several firms cut their targets.
• Clarivate beat quarterly EPS estimates, reporting $0.21 versus $0.18 expected, but revenue fell 22.7% year over year to $481.6 million; meanwhile, a director bought 250,000 shares, increasing insider ownership to 22.88%.

Clarivate PLC (NYSE:CLVT - Get Free Report) shot up 16% during trading on Tuesday. The company traded as high as $1.85 and last traded at $1.9250. Approximately 2,741,625 shares traded hands during trading, a decline of 54% from the average daily volume of 5,971,210 shares. The stock had previously closed at $1.66.

Analysts Set New Price Targets

Several analysts have recently commented on CLVT shares. Stifel Nicolaus decreased their price objective on shares of Clarivate from $6.00 to $5.00 and set a "buy" rating on the stock in a research report on Thursday, July 30th. Wall Street Zen lowered Clarivate from a "buy" rating to a "hold" rating in a research note on Saturday, August 1st. Citigroup cut their price target on Clarivate from $2.80 to $2.50 and set a "neutral" rating for the company in a research note on Thursday, July 30th. Barclays decreased their price target on Clarivate from $2.50 to $2.00 and set an "underweight" rating on the stock in a report on Thursday, July 30th. Finally, The Goldman Sachs Group lowered their price objective on Clarivate from $2.90 to $2.60 and set a "neutral" rating on the stock in a research report on Thursday, July 30th. One analyst has rated the stock with a Buy rating, four have issued a Hold rating and three have assigned a Sell rating to the company's stock. Based on data from MarketBeat, the company presently has an average rating of "Reduce" and an average target price of $2.77.

Clarivate Stock Up 18.4%

The company has a quick ratio of 0.85, a current ratio of 0.85 and a debt-to-equity ratio of 0.93. The company has a fifty day moving average price of $1.81 and a 200-day moving average price of $2.22. The stock has a market capitalization of $1.26 billion, a P/E ratio of -3.78 and a beta of 1.40.

Clarivate (NYSE:CLVT - Get Free Report) last announced its quarterly earnings results on Wednesday, November 4th. The company reported $0.21 EPS for the quarter, beating analysts' consensus estimates of $0.18 by $0.03. The company had revenue of $481.60 million during the quarter, compared to analyst estimates of $566.77 million. Clarivate had a positive return on equity of 9.15% and a negative net margin of 13.84%. The firm's revenue was down 22.7% on a year-over-year basis. During the same period in the prior year, the company earned $0.18 earnings per share. As a group, research analysts forecast that Clarivate PLC will post 0.67 EPS for the current fiscal year.

Insider Transactions at Clarivate

In related news, Director Kenneth Cornick bought 250,000 shares of the business's stock in a transaction dated Friday, August 7th. The shares were purchased at an average price of $1.85 per share, with a total value of $462,500.00. Following the transaction, the director owned 2,000,000 shares in the company, valued at $3,700,000. This trade represents a 14.29% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 22.88% of the stock is currently owned by company insiders.

Institutional Trading of Clarivate

A number of institutional investors have recently bought and sold shares of CLVT. First Trust Advisors LP boosted its stake in shares of Clarivate by 10.3% during the 1st quarter. First Trust Advisors LP now owns 5,522,601 shares of the company's stock worth $13,972,000 after purchasing an additional 516,418 shares during the period. Empowered Funds LLC boosted its position in shares of Clarivate by 418.6% during the first quarter. Empowered Funds LLC now owns 2,015,829 shares of the company's stock valued at $5,100,000 after buying an additional 1,627,159 shares during the period. Bank of New York Mellon Corp grew its stake in shares of Clarivate by 1.3% during the first quarter. Bank of New York Mellon Corp now owns 1,845,148 shares of the company's stock valued at $4,668,000 after buying an additional 24,257 shares during the last quarter. KBC Group NV bought a new position in shares of Clarivate during the first quarter valued at approximately $4,118,000. Finally, Arrowstreet Capital Limited Partnership bought a new position in shares of Clarivate during the first quarter valued at approximately $3,342,000. 85.72% of the stock is currently owned by institutional investors.

Clarivate Company Profile

Clarivate Plc NYSE: CLVT provides analytics, data, and workflow solutions to organizations in academia, government, research, life sciences, and intellectual property. Its offerings are designed to help customers evaluate research, manage information, accelerate innovation, and support strategic decision-making.

The company's products include Web of Science research databases and citation analytics, InCites research evaluation tools, Derwent innovation and patent intelligence services, and Cortellis life sciences and drug-development information.

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