Major Drilling Group International (TSE:MDI) Share Price Crosses Above Two Hundred Day Moving Average - Time to Sell?

Key Points

• Major Drilling’s shares rose above their 200-day moving average, reaching C$16.39 before closing at C$16.29, compared with a 200-day average of C$16.11.
• Analysts remain bullish: TD raised its price target to C$22, RBC set a C$20 target, and the three analysts covering the stock maintain a consensus “Buy” rating with an average target of C$21.
• The company reported quarterly EPS of C$0.18 on revenue of C$277.35 million, but its valuation remains elevated at a P/E ratio of 50.91, while net margin was 2.74% and return on equity was 4.61%.

Major Drilling Group International Inc. (TSE:MDI - Get Free Report)'s share price passed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of C$16.11 and traded as high as C$16.39. Major Drilling Group International shares last traded at C$16.29, with a volume of 174,263 shares changing hands.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently commented on the stock. TD upped their target price on shares of Major Drilling Group International from C$21.00 to C$22.00 and gave the company a "buy" rating in a report on Friday, June 12th. Royal Bank Of Canada set a C$20.00 price target on Major Drilling Group International and gave the stock an "outperform" rating in a report on Friday, June 5th. Three research analysts have rated the stock with a Buy rating, According to MarketBeat.com, the company currently has a consensus rating of "Buy" and an average price target of C$21.00.

Major Drilling Group International Price Performance

The company has a debt-to-equity ratio of 6.80, a current ratio of 2.39 and a quick ratio of 1.92. The company has a 50 day moving average price of C$15.69 and a 200 day moving average price of C$16.11. The firm has a market cap of C$1.34 billion, a PE ratio of 50.91, a PEG ratio of 3.45 and a beta of 1.73.

Major Drilling Group International (TSE:MDI - Get Free Report) last posted its quarterly earnings data on Wednesday, September 2nd. The company reported C$0.18 earnings per share for the quarter. The firm had revenue of C$277.35 million for the quarter. Major Drilling Group International had a net margin of 2.74% and a return on equity of 4.61%. Sell-side analysts expect that Major Drilling Group International Inc. will post 0.5757162 EPS for the current fiscal year.

Major Drilling Group International Company Profile

Major Drilling Group International Inc is the world's largest provider of drilling services in the metals and mining industry. The diverse needs of the Company's global clientele are met through field operations and registered offices that span across North America, South America, Australia, Asia, Africa, and Europe. Established in 1980, the Company has grown to become a global brand in the mining space, known for tackling many of the world's most challenging drilling projects. Supported by a highly skilled workforce, Major Drilling is led by an experienced senior management team that has steered it through various economic and mining cycles, supported by regional managers known for delivering decades of superior project management.

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