Hennessy Advisors (NASDAQ:HNNA) Stock Price Crosses Above 50 Day Moving Average - Time to Sell?

Key Points

• Hennessy Advisors shares moved above their 50-day moving average, reaching $10.55 before last trading at $10.25, slightly above the $10.23 average. The stock has an average analyst rating of “Hold.”
• The company’s latest quarterly results missed expectations, with earnings per share of $0.25 versus the $0.37 consensus and revenue of $8.39 million versus $9.96 million expected.
• Hennessy Advisors announced a quarterly dividend of $0.15, equivalent to $0.60 annually and a 5.9% yield. However, insiders have sold 8,171 shares over the past 90 days, while institutional and hedge-fund ownership stands at 10.31%.

Hennessy Advisors, Inc. (NASDAQ:HNNA - Get Free Report)'s share price passed above its 50-day moving average during trading on Friday. The stock has a 50-day moving average of $10.23 and traded as high as $10.55. Hennessy Advisors shares last traded at $10.25, with a volume of 3,496 shares trading hands.

Analysts Set New Price Targets

Separately, Weiss Ratings restated a "hold (c)" rating on shares of Hennessy Advisors in a report on Tuesday, September 8th. One investment analyst has rated the stock with a Hold rating. According to data from MarketBeat.com, Hennessy Advisors currently has an average rating of "Hold".

Hennessy Advisors Stock Performance

The company has a 50 day moving average price of $10.23 and a 200 day moving average price of $10.04. The firm has a market cap of $80.97 million, a price-to-earnings ratio of 9.86 and a beta of 0.56.

Hennessy Advisors (NASDAQ:HNNA - Get Free Report) last released its quarterly earnings results on Wednesday, August 5th. The asset manager reported $0.25 earnings per share for the quarter, missing analysts' consensus estimates of $0.37 by ($0.12). The business had revenue of $8.39 million for the quarter, compared to analysts' expectations of $9.96 million. Hennessy Advisors had a return on equity of 8.31% and a net margin of 24.77%.

Hennessy Advisors Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, November 25th. Shareholders of record on Tuesday, November 10th will be given a $0.15 dividend. The ex-dividend date of this dividend is Tuesday, November 10th. This represents a $0.60 dividend on an annualized basis and a yield of 5.9%. Hennessy Advisors's dividend payout ratio is presently 57.69%.

Insiders Place Their Bets

In other Hennessy Advisors news, VP Daniel Steadman sold 5,000 shares of Hennessy Advisors stock in a transaction dated Thursday, September 24th. The shares were sold at an average price of $10.26, for a total transaction of $51,300.00. Following the completion of the sale, the vice president directly owned 37,768 shares in the company, valued at $387,499.68. This trade represents a 11.69% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Insiders have sold a total of 8,171 shares of company stock worth $83,573 over the last ninety days. Company insiders own 36.00% of the company's stock.

Hedge Funds Weigh In On Hennessy Advisors

Large investors have recently made changes to their positions in the stock. Next Level Wealth Planning LLC purchased a new stake in Hennessy Advisors in the third quarter valued at approximately $26,000. Empowered Funds LLC lifted its stake in Hennessy Advisors by 13.8% during the first quarter. Empowered Funds LLC now owns 15,011 shares of the asset manager's stock worth $146,000 after purchasing an additional 1,819 shares in the last quarter. Bank of America Corp DE acquired a new position in Hennessy Advisors during the second quarter worth $154,000. Net Worth Advisory Group boosted its position in shares of Hennessy Advisors by 51.6% during the third quarter. Net Worth Advisory Group now owns 18,453 shares of the asset manager's stock worth $192,000 after buying an additional 6,280 shares during the period. Finally, BlackRock Inc. purchased a new position in shares of Hennessy Advisors during the second quarter worth $201,000. 10.31% of the stock is currently owned by institutional investors and hedge funds.

About Hennessy Advisors

Hennessy Advisors, Inc is an investment management company that provides portfolio management, investment advisory and related services. Through its Hennessy Funds business, the company offers a range of investment products designed for individual investors, financial professionals and institutions.

The company's offerings have included actively managed mutual funds and exchange-traded funds covering equities, fixed income and specialized investment strategies. Its portfolios may focus on areas such as large- and small-capitalization companies, financial services, technology, utilities, international markets and other targeted segments.

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.