The Weir Group (LON:WEIR) Shares Break Below 200-Day Moving Average - Here's Why

Key Points

• The Weir Group shares fell below their 200-day moving average of GBX 2,655.55, reaching GBX 2,620 before last trading at approximately GBX 2,677.74.
• Despite the technical weakness, analysts remain broadly positive: eight rate the stock a Buy and one a Hold, with a consensus target price of GBX 3,408.33 versus the recent trading level.
• The company reported quarterly EPS of GBX 54.60, a 9.97% net margin and 13.45% return on equity; two insiders also purchased shares worth a combined roughly £64,442 in July and August.

The Weir Group PLC (LON:WEIR - Get Free Report) shares crossed below its two hundred day moving average during trading on Thursday. The stock has a two hundred day moving average of GBX 2,655.55 and traded as low as GBX 2,620. The Weir Group shares last traded at GBX 2,677.74, with a volume of 93,429,031 shares trading hands.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently issued reports on WEIR shares. JPMorgan Chase & Co. upped their price target on The Weir Group from GBX 3,500 to GBX 3,800 and gave the stock an "overweight" rating in a research report on Wednesday, June 24th. Berenberg Bank reissued a "buy" rating and issued a GBX 3,650 price objective on shares of The Weir Group in a research report on Wednesday, August 5th. Citigroup boosted their target price on The Weir Group from GBX 3,150 to GBX 3,200 and gave the stock a "buy" rating in a research note on Thursday, July 30th. Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and set a GBX 3,230 target price on shares of The Weir Group in a research report on Thursday, July 30th. Finally, Jefferies Financial Group reiterated a "buy" rating and issued a GBX 3,555 price target on shares of The Weir Group in a research note on Wednesday, July 29th. Eight research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, The Weir Group currently has an average rating of "Moderate Buy" and a consensus target price of GBX 3,408.33.

The Weir Group Stock Performance

The company has a current ratio of 2.55, a quick ratio of 1.16 and a debt-to-equity ratio of 91.54. The company has a market cap of £6.95 billion, a PE ratio of 26.30, a P/E/G ratio of 2.59 and a beta of 1.08. The firm's 50-day simple moving average is GBX 2,688.66 and its two-hundred day simple moving average is GBX 2,655.55.

The Weir Group (LON:WEIR - Get Free Report) last posted its quarterly earnings results on Wednesday, July 29th. The company reported GBX 54.60 earnings per share (EPS) for the quarter. The Weir Group had a net margin of 9.97% and a return on equity of 13.45%. As a group, research analysts anticipate that The Weir Group PLC will post 136.0509554 earnings per share for the current fiscal year.

Insider Buying and Selling at The Weir Group

In other news, insider Penelope Anne Freer bought 900 shares of The Weir Group stock in a transaction that occurred on Wednesday, July 29th. The stock was bought at an average price of GBX 2,729 per share, for a total transaction of £24,561. Also, insider Nick Anderson bought 1,470 shares of The Weir Group stock in a transaction that occurred on Monday, August 17th. The stock was purchased at an average price of GBX 2,713 per share, with a total value of £39,881.10. 0.73% of the stock is owned by corporate insiders.

The Weir Group Company Profile

Founded in 1871, Weir is one of the world's leading engineering businesses with a purpose to make its mining and infrastructure customers' operations more sustainable and efficient. Weir's highly engineered technology enables critical resources to be produced using less energy, water and waste while reducing customers' total cost of ownership. Weir is ideally positioned to benefit from structural trends that support long-term demand for its technology including the need for more essential metals to support economic development and carbon transition.

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