Diploma (LON:DPLM) Stock Crosses Above 200 Day Moving Average - Should You Sell?

Key Points

• Diploma shares rose above their 200-day moving average, reaching GBX 7,215 and last trading at GBX 7,170, compared with the average of GBX 6,799.01.
• Analyst sentiment remains positive, with six Buy ratings and two Holds producing a consensus “Moderate Buy” rating and a GBX 7,400 target price. Targets range from GBX 7,000 to GBX 9,000.
• Diploma has a £9.61 billion market capitalization and trades at a relatively high P/E ratio of 50.92; insiders have also purchased shares worth approximately $11.4 million over the past 90 days.

Diploma PLC (LON:DPLM - Get Free Report)'s share price passed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of GBX 6,799.01 and traded as high as GBX 7,215. Diploma shares last traded at GBX 7,170, with a volume of 455,800 shares.

Analysts Set New Price Targets

DPLM has been the subject of several recent research reports. Royal Bank Of Canada reiterated an "outperform" rating and issued a GBX 7,400 price target on shares of Diploma in a research report on Tuesday, September 8th. Berenberg Bank restated a "buy" rating and set a GBX 9,000 price objective on shares of Diploma in a research report on Monday, July 20th. Jefferies Financial Group restated a "hold" rating and set a GBX 7,000 price objective on shares of Diploma in a research report on Friday, May 29th. Deutsche Bank Aktiengesellschaft raised their price objective on Diploma from GBX 6,400 to GBX 7,200 and gave the company a "buy" rating in a research note on Wednesday, May 20th. Finally, JPMorgan Chase & Co. boosted their target price on Diploma from GBX 5,760 to GBX 8,250 and gave the company an "overweight" rating in a research report on Monday, August 24th. Six investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of GBX 7,400.

Diploma Stock Performance

The company has a current ratio of 2.06, a quick ratio of 0.80 and a debt-to-equity ratio of 47.65. The business's 50 day moving average is GBX 7,265.41 and its 200 day moving average is GBX 6,799.01. The stock has a market capitalization of £9.61 billion, a PE ratio of 50.92, a PEG ratio of 2.82 and a beta of 0.92.

Insider Activity

In other Diploma news, insider Katie Bickerstaffe  purchased 133 shares of Diploma stock in a transaction dated Thursday, July 16th. The shares were purchased at an average cost of GBX 7,048 per share, for a total transaction of £9,373.84. Also, insider Mandy Gradden purchased 1,000 shares of the firm's stock in a transaction that occurred on Friday, July 17th. The shares were acquired at an average cost of GBX 7,183 per share, with a total value of £71,830. Over the last 90 days, insiders have acquired 1,604 shares of company stock valued at $11,447,718. 1.14% of the stock is currently owned by insiders.

About Diploma

Diploma PLC, together with its subsidiaries, supplies specialized technical products and services in the United Kingdom, Continental Europe, North America, and internationally. It operates through three business sectors: Life Sciences, Seals, and Controls. The Life Sciences sector supplies technology-enabled products used in surgical procedures in operating theatres and endoscopy; testing equipment and services for clinical laboratories; and bio-pharma, food safety and testing, and other research-oriented products.

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