IWG (LON:IWG) Shares Up 0.6% - Time to Buy?

Key Points

• IWG shares rose 0.6% to GBX 172.50 in midday trading, although volume was 87% below the stock’s average daily level.
• Analysts remain broadly positive, with four Buy ratings and one Hold rating; the average price target is GBX 269.80, substantially above the current share price.
• IWG has authorized a $50 million share buyback covering up to 2.8% of outstanding shares, while insiders have purchased 125,000 shares over the past three months.

Shares of IWG plc (LON:IWG - Get Free Report) traded up 0.6% on Friday. The company traded as high as GBX 174.70 and last traded at GBX 172.50. 1,400,166 shares changed hands during mid-day trading, a decline of 87% from the average daily volume of 10,384,405 shares. The stock had previously closed at GBX 171.50.

Analysts Set New Price Targets

Several research firms recently commented on IWG. Berenberg Bank reiterated a "buy" rating and issued a GBX 350 price objective on shares of IWG in a research report on Tuesday, August 11th. Royal Bank Of Canada restated an "outperform" rating and set a GBX 260 target price on shares of IWG in a research report on Wednesday, August 12th. Finally, Jefferies Financial Group reaffirmed a "buy" rating and issued a GBX 265 price target on shares of IWG in a report on Wednesday, August 12th. Four equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of GBX 269.80.

IWG Stock Performance

The company has a market capitalization of £1.63 billion, a price-to-earnings ratio of 191.67, a PEG ratio of -5.59 and a beta of 1.56. The stock has a fifty day moving average price of GBX 184.64 and a two-hundred day moving average price of GBX 185.36. The company has a quick ratio of 0.45, a current ratio of 0.43 and a debt-to-equity ratio of -1,917.40.

IWG announced that its board has approved a share repurchase plan on Tuesday, June 30th that authorizes the company to buyback $50.00 million in outstanding shares. This buyback authorization authorizes the company to buy up to 2.8% of its shares through open market purchases. Shares buyback plans are typically an indication that the company's leadership believes its shares are undervalued.

Insider Buying and Selling

In other news, insider Christian Schmitz bought 50,000 shares of the business's stock in a transaction that occurred on Wednesday, August 26th. The stock was purchased at an average price of GBX 183 per share, with a total value of £91,500. In the last three months, insiders bought 125,000 shares of company stock worth $22,050,000. Company insiders own 27.60% of the company's stock.

IWG Company Profile

IWG plc, together with its subsidiaries, provides workspace solutions in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company offers office, coworking and collaboration, flexible and scalable, meeting, and lounges spaces; workplace recovery; memberships workspaces; and reception services and conference products. It provides its services franchise partners, landlords, and property owners under the Regus, Spaces, HQ, Signature, Basepoint, Stop & Work, The Office Operators, BizDojo, Open Office, No18, The Clubhouse, Central Working, and Copernico brands.

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