Diageo (LON:DGE) Share Price Breaks Above 200-Day Moving Average - What's Next?

Key Points

• Diageo shares broke above their 200-day moving average, reaching GBX 1,624 before closing at GBX 1,598, compared with the 200-day average of GBX 1,557.23.
• Analysts maintain a generally positive outlook, with a consensus rating of “Moderate Buy” and an average price target of GBX 2,033.86; targets range from GBX 1,734 to GBX 2,223.
• Diageo has a £35.53 billion market capitalization and a PE ratio of 20.51, while insiders recently purchased shares; however, the stock remains 1.6% lower and below its 50-day moving average of GBX 1,666.47.

Diageo plc (LON:DGE - Get Free Report)'s stock price passed above its two hundred day moving average during trading on Thursday. The stock has a two hundred day moving average of GBX 1,557.23 and traded as high as GBX 1,624. Diageo shares last traded at GBX 1,598, with a volume of 3,499,755 shares trading hands.

Wall Street Analyst Weigh In

DGE has been the topic of several recent research reports. Berenberg Bank restated a "buy" rating and set a GBX 2,223 price target on shares of Diageo in a report on Friday, August 7th. Royal Bank Of Canada reaffirmed an "outperform" rating and issued a GBX 2,000 price target on shares of Diageo in a research report on Monday, August 24th. Jefferies Financial Group lifted their price objective on Diageo from GBX 2,000 to GBX 2,200 and gave the company a "buy" rating in a research note on Monday, August 10th. Finally, Deutsche Bank Aktiengesellschaft lowered their price objective on Diageo from GBX 1,770 to GBX 1,734 and set a "hold" rating for the company in a research report on Wednesday, September 16th. Four analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat.com, Diageo presently has an average rating of "Moderate Buy" and a consensus price target of GBX 2,033.86.

Diageo Stock Down 1.6%

The company has a quick ratio of 0.62, a current ratio of 1.60 and a debt-to-equity ratio of 203.12. The stock has a market cap of £35.53 billion, a PE ratio of 20.51, a price-to-earnings-growth ratio of 1.75 and a beta of 0.31. The firm has a fifty day moving average of GBX 1,666.47 and a 200 day moving average of GBX 1,557.23.

Insider Activity at Diageo

In other Diageo news, insider John Alexander Manzoni bought 436 shares of the business's stock in a transaction dated Friday, July 10th. The shares were acquired at an average price of GBX 1,503 per share, with a total value of £6,553.08. In the last quarter, insiders bought 1,240 shares of company stock valued at $2,000,426. Corporate insiders own 0.16% of the company's stock.

Diageo Company Profile

Diageo is a global leader in premium drinks, across spirits and beer, a business built on the principles and foundations laid by the giants of the industry. With over 200 brands sold in 180 countries, our portfolio has remarkable breadth. From centuries-old names to exciting new entrants, and global giants to local legends, we're building the very best brands out there, and with over 30,000 talented people based in over 135 countries, we're a truly global company. With such diversity, we're able to truly represent our broad consumer base and think differently about the future. To maintain our position as leaders in the alcoholic beverage market, we always invest in the future and are mindful of the impact we have.

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