Ingevity (NYSE:NGVT) Stock Price Breaks Below 50-Day Moving Average - Time to Sell?

Key Points

• Ingevity shares briefly fell below their 50-day moving average, trading as low as $70.19 versus the $70.64 average, before last trading at $70.62.
• Analysts maintain a consensus “Hold” rating on NGVT, with two Buy ratings and three Holds; the consensus price target is $80.00.
• The company exceeded quarterly earnings expectations, reporting $1.74 in EPS versus a $1.33 estimate and $314.1 million in revenue, although insiders sold 17,801 shares worth about $1.35 million in the latest quarter.

Ingevity Corporation (NYSE:NGVT - Get Free Report) shares passed below its 50 day moving average during trading on Tuesday. The stock has a 50 day moving average of $70.64 and traded as low as $70.19. Ingevity shares last traded at $70.62, with a volume of 264,497 shares trading hands.

Wall Street Analyst Weigh In

NGVT has been the topic of a number of research analyst reports. Wall Street Zen cut Ingevity from a "strong-buy" rating to a "buy" rating in a report on Saturday, August 1st. Weiss Ratings raised shares of Ingevity from a "hold (c-)" rating to a "hold (c)" rating in a report on Thursday, October 8th. Two analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus price target of $80.00.

Ingevity Stock Up 0.4%

The company has a current ratio of 1.61, a quick ratio of 1.15 and a debt-to-equity ratio of 22.52. The business's 50 day simple moving average is $70.64 and its 200 day simple moving average is $71.86. The firm has a market capitalization of $2.43 billion, a PE ratio of 48.04 and a beta of 1.14.

Ingevity (NYSE:NGVT - Get Free Report) last issued its quarterly earnings data on Wednesday, July 29th. The company reported $1.74 earnings per share for the quarter, topping the consensus estimate of $1.33 by $0.41. Ingevity had a return on equity of 284.70% and a net margin of 4.65%. The company had revenue of $314.10 million for the quarter, compared to analysts' expectations of $312.20 million. Ingevity has set its FY 2026 guidance at 5.000-5.450 EPS. On average, equities research analysts forecast that Ingevity Corporation will post 5.40 earnings per share for the current year.

Insider Buying and Selling

In related news, CEO David H. Li sold 5,000 shares of the stock in a transaction on Monday, August 17th. The stock was sold at an average price of $75.83, for a total transaction of $379,150.00. Following the sale, the chief executive officer owned 120,636 shares in the company, valued at approximately $9,147,827.88. This represents a 3.98% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Ryan C. Fisher sold 2,709 shares of the stock in a transaction on Monday, August 3rd. The shares were sold at an average price of $73.72, for a total value of $199,707.48. Following the sale, the senior vice president owned 15,722 shares in the company, valued at $1,159,025.84. The trade was a 14.70% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders sold 17,801 shares of company stock valued at $1,347,481. Company insiders own 0.88% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of NGVT. Canada Pension Plan Investment Board purchased a new position in shares of Ingevity during the second quarter valued at approximately $1,113,000. Illinois Municipal Retirement Fund bought a new position in shares of Ingevity during the first quarter valued at approximately $1,465,000. Principal Financial Group Inc. raised its holdings in shares of Ingevity by 4.0% in the first quarter. Principal Financial Group Inc. now owns 678,037 shares of the company's stock worth $48,297,000 after buying an additional 25,800 shares during the period. The Manufacturers Life Insurance Company purchased a new stake in shares of Ingevity in the second quarter worth approximately $1,305,000. Finally, Hsbc Holdings PLC purchased a new stake in shares of Ingevity in the second quarter worth approximately $1,568,000. 91.59% of the stock is owned by hedge funds and other institutional investors.

About Ingevity

Ingevity Corporation NYSE: NGVT is a specialty chemicals and materials company that develops products designed to improve performance, efficiency, and sustainability across a range of industrial and consumer applications. Its offerings serve markets including automotive, transportation, agriculture, coatings, adhesives, pavement markings, and industrial manufacturing.

The company is best known for activated carbon products used in automotive vapor-emission control systems, where they help capture fuel vapors and reduce emissions.

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