The Weir Group (LON:WEIR) Stock Price Breaks Below Two Hundred Day Moving Average - Should You Sell?

Key Points

• The Weir Group’s shares fell below their 200-day moving average, reaching GBX 2,544 and last trading at GBX 2,576, compared with a 200-day average of GBX 2,641.02.
• Despite the technical weakness, analysts remain broadly positive: eight rate the stock a Buy and one a Hold, with an average price target of GBX 3,408.33 versus the current price.
• The company reported quarterly EPS of GBX 54.60, with a 13.45% return on equity and a 9.97% net margin; two insiders also recently purchased shares.

The Weir Group PLC (LON:WEIR - Get Free Report)'s stock price passed below its two hundred day moving average during trading on Monday. The stock has a two hundred day moving average of GBX 2,641.02 and traded as low as GBX 2,544. The Weir Group shares last traded at GBX 2,576, with a volume of 793,403 shares.

Analyst Upgrades and Downgrades

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

The Weir Group Stock Down 0.2%

The company has a quick ratio of 1.16, a current ratio of 2.55 and a debt-to-equity ratio of 91.54. The stock's 50 day moving average is GBX 2,703.99 and its 200 day moving average is GBX 2,641.02. The firm has a market cap of £6.69 billion, a price-to-earnings ratio of 25.30, a price-to-earnings-growth ratio of 2.59 and a beta of 1.08.

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

Insider Activity

In other news, insider Penelope Anne Freer bought 900 shares of the company's stock in a transaction that occurred on Wednesday, July 29th. The stock was acquired 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 company's stock in a transaction that occurred on Monday, August 17th. The shares were 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 currently 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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