GMR Solutions (NYSE:GMRS) Shares Gap Down - Should You Sell?

Key Points

• GMRS shares dropped sharply: The stock opened at $9.98 versus a prior close of $10.39 and last traded at $9.81, below its 50-day moving average of $12.03.
• Analyst sentiment remains moderately positive: The consensus rating is “Moderate Buy,” with an average price target of $18.78, although ratings range from Strong Buy to Sell.
• Recent results and insider activity raise concerns: GMR Solutions reported a quarterly loss of $1.84 per share, missing estimates by $2.22, while insiders sold more than 2.35 million shares worth approximately $28.7 million over the past 90 days, primarily to cover tax obligations on vested equity awards.

GMR Solutions Inc. (NYSE:GMRS - Get Free Report)'s share price gapped down before the market opened on Monday. The stock had previously closed at $10.39, but opened at $9.98. GMR Solutions shares last traded at $9.81, with a volume of 1,534 shares changing hands.

Wall Street Analyst Weigh In

A number of equities analysts recently issued reports on GMRS shares. Weiss Ratings initiated coverage on shares of GMR Solutions in a research report on Friday, August 14th. They set a "sell (d)" rating for the company. The Goldman Sachs Group set a $30.00 target price on shares of GMR Solutions in a research report on Tuesday, August 18th. Finally, JPMorgan Chase & Co. boosted their target price on shares of GMR Solutions from $15.00 to $16.00 and gave the stock an "overweight" rating in a research note on Friday, September 11th. One research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $18.78.

GMR Solutions Stock Performance

The company has a debt-to-equity ratio of 5.50, a current ratio of 2.01 and a quick ratio of 2.01. The firm's 50 day simple moving average is $12.03. The stock has a market capitalization of $537.50 million and a P/E ratio of -6.38.

GMR Solutions (NYSE:GMRS - Get Free Report) last announced its earnings results on Wednesday, August 12th. The company reported ($1.84) earnings per share for the quarter, missing analysts' consensus estimates of $0.38 by ($2.22). The company had revenue of $1.49 billion for the quarter. The business's quarterly revenue was up 3.3% compared to the same quarter last year. On average, analysts expect that GMR Solutions Inc. will post 1.68 earnings per share for the current fiscal year.

Insider Buying and Selling at GMR Solutions

In related news, EVP Lisa Jacoba sold 92,680 shares of the firm's stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $12.20, for a total transaction of $1,130,696.00. Following the completion of the sale, the executive vice president owned 198,603 shares of the company's stock, valued at $2,422,956.60. This trade represents a 31.82% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, EVP Thomas A. A Cook sold 251,882 shares of GMR Solutions stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $12.20, for a total value of $3,072,960.40. Following the completion of the sale, the executive vice president owned 675,686 shares of the company's stock, valued at approximately $8,243,369.20. The trade was a 27.16% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 2,353,423 shares of company stock valued at $28,711,761 over the last ninety days.

Institutional Trading of GMR Solutions

Several large investors have recently modified their holdings of the stock. Two Sigma Securities LLC acquired a new position in shares of GMR Solutions during the 2nd quarter valued at $169,000. Premier Path Wealth Partners LLC acquired a new stake in GMR Solutions in the second quarter worth $348,000. Squarepoint Ops LLC acquired a new stake in GMR Solutions in the second quarter worth $801,000. State Street Corp acquired a new stake in GMR Solutions in the second quarter worth $2,542,000. Finally, HBK Investments L P bought a new stake in GMR Solutions in the second quarter valued at $3,092,000.

About GMR Solutions

GMR Solutions Inc is a provider of emergency medical services delivering EMS and other essential out-of-hospital care in rural and urban communities. GMR Solutions Inc is based in Lewisville, Texas.

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