Extendicare (TSE:EXE) Share Price Crosses Below Two Hundred Day Moving Average - Should You Sell?

Key Points

• Extendicare shares fell below their 200-day moving average, trading as low as C$26.64 versus the C$32.04 average, with 1.28 million shares changing hands.
• Analysts remain positive despite the decline: seven analysts rate the stock a Buy, with a consensus price target of C$37.00. Recent targets range from C$39.00 to C$44.00.
• Extendicare reported quarterly EPS of C$0.38 on C$611.04 million in revenue and continues to pay a monthly dividend of C$0.0441, equivalent to an annualized C$0.53 and a 2.0% yield.

Extendicare Inc. (TSE:EXE - Get Free Report)'s share price crossed below its 200-day moving average during trading on Tuesday. The stock has a 200-day moving average of C$32.04 and traded as low as C$26.64. Extendicare shares last traded at C$26.68, with a volume of 1,283,242 shares changing hands.

Analysts Set New Price Targets

A number of brokerages have recently weighed in on EXE. Canaccord Genuity Group upped their target price on Extendicare from C$37.00 to C$44.00 and gave the stock a "buy" rating in a research report on Monday, August 10th. Desjardins decreased their price target on shares of Extendicare from C$40.00 to C$39.00 and set a "buy" rating for the company in a research note on Monday, August 10th. Finally, Royal Bank Of Canada upped their price objective on shares of Extendicare from C$38.00 to C$39.00 and gave the stock an "outperform" rating in a report on Friday, August 14th. Seven equities research analysts have rated the stock with a Buy rating, Based on data from MarketBeat.com, the stock has an average rating of "Buy" and a consensus price target of C$37.00.

Extendicare Price Performance

The company has a market capitalization of C$2.54 billion, a P/E ratio of 20.43 and a beta of 1.39. The business's 50-day moving average is C$31.53 and its two-hundred day moving average is C$32.04. The company has a quick ratio of 0.98, a current ratio of 0.75 and a debt-to-equity ratio of 159.54.

Extendicare (TSE:EXE - Get Free Report) last posted its quarterly earnings data on Thursday, August 6th. The company reported C$0.38 EPS for the quarter. Extendicare had a net margin of 6.13% and a return on equity of 36.33%. The firm had revenue of C$611.04 million during the quarter. As a group, analysts predict that Extendicare Inc. will post 0.6134729 earnings per share for the current year.

Extendicare Announces Dividend

The firm also recently disclosed a monthly dividend, which was paid on Monday, August 17th. Shareholders of record on Monday, August 17th were given a $0.0441 dividend. The ex-dividend date of this dividend was Friday, July 31st. This represents a $0.53 annualized dividend and a yield of 2.0%. Extendicare's payout ratio is currently 39.23%.

Extendicare Company Profile

Extendicare is a leading provider of care and services for seniors across Canada, operating under the Extendicare, ParaMed, Extendicare Assist, and SGP Purchasing Network brands. We are committed to delivering quality care to meet the needs of the growing seniors' population, inspired by our mission to provide people with the care they need, wherever they call home. We deliver more than 27 million hours of home health care services annually, operate a network of 97 long-term care homes (58 owned, 39 under management contracts), and provide group purchasing services to third parties representing approximately 161,700 beds across Canada.

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.