Deutsche Lufthansa (OTCMKTS:DLAKY) Stock Passes Below 50 Day Moving Average - Should You Sell?

Key Points

• Deutsche Lufthansa shares fell below their 50-day moving average, trading as low as $8.8950 versus the $9.74 average, and last changing hands at $8.90.
• Analyst sentiment has weakened, with Morgan Stanley, Citigroup and Zacks Research downgrading the stock; the consensus rating is now “Reduce”, including five Sell ratings.
• The company reported quarterly earnings of $0.13 per share, missing the $0.34 consensus estimate, although revenue of $12.84 billion slightly exceeded expectations.

Deutsche Lufthansa AG (OTCMKTS:DLAKY - Get Free Report) shares passed below its 50-day moving average during trading on Friday . The stock has a 50-day moving average of $9.74 and traded as low as $8.8950. Deutsche Lufthansa shares last traded at $8.90, with a volume of 140,395 shares traded.

Wall Street Analyst Weigh In

Several research firms recently commented on DLAKY. Morgan Stanley lowered shares of Deutsche Lufthansa from an "equal weight" rating to an "underweight" rating in a research note on Tuesday, May 26th. Citigroup lowered shares of Deutsche Lufthansa from a "hold" rating to a "strong sell" rating in a research report on Wednesday, July 8th. Finally, Zacks Research cut Deutsche Lufthansa from a "hold" rating to a "strong sell" rating in a report on Tuesday, September 1st. One research analyst has rated the stock with a Strong Buy rating, one has given a Hold rating and five have issued a Sell rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Reduce".

Deutsche Lufthansa Price Performance

The stock has a fifty day moving average price of $9.74 and a 200-day moving average price of $9.61. The company has a market cap of $10.70 billion, a PE ratio of 13.28, a price-to-earnings-growth ratio of 0.55 and a beta of 0.97. The company has a debt-to-equity ratio of 0.94, a current ratio of 0.81 and a quick ratio of 0.73.

Deutsche Lufthansa (OTCMKTS:DLAKY - Get Free Report) last issued its quarterly earnings results on Tuesday, August 4th. The transportation company reported $0.13 earnings per share for the quarter, missing analysts' consensus estimates of $0.34 by ($0.21). The business had revenue of $12.84 billion for the quarter, compared to analysts' expectations of $12.76 billion. Deutsche Lufthansa had a net margin of 1.63% and a return on equity of 5.79%. On average, equities analysts expect that Deutsche Lufthansa AG will post 0.99 earnings per share for the current year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in DLAKY. Sterling Capital Management LLC acquired a new stake in shares of Deutsche Lufthansa during the 1st quarter valued at $204,000. Fulton Bank N.A. purchased a new position in shares of Deutsche Lufthansa during the 2nd quarter valued at $120,000. Finally, GAMMA Investing LLC grew its holdings in shares of Deutsche Lufthansa by 52.1% during the 2nd quarter. GAMMA Investing LLC now owns 13,943 shares of the transportation company's stock valued at $159,000 after acquiring an additional 4,779 shares in the last quarter.

Deutsche Lufthansa Company Profile

Deutsche Lufthansa AG, commonly known as the Lufthansa Group, is a German aviation company headquartered in Cologne. Its principal business is the operation of passenger airlines serving domestic, European and intercontinental markets. The group's airline brands include Lufthansa, SWISS, Austrian Airlines, Brussels Airlines, Eurowings, Discover Airlines and other affiliated carriers.

In addition to passenger transportation, the Lufthansa Group operates businesses across the aviation services sector.

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