World Acceptance (NASDAQ:WRLD) Stock Crosses Below 200 Day Moving Average - What's Next?

Key Points

• Shares fell below the 200-day moving average: World Acceptance traded as low as $160.52 and last stood at $161.10, below its 200-day average of $163.78.
• Quarterly earnings beat expectations, while revenue fell short: The company reported EPS of $1.93 versus a $0.78 consensus estimate, but revenue of $139.21 million missed analysts’ $140.70 million forecast. Analysts’ consensus rating is “Hold.”
• Insiders have been selling shares: Insiders sold 227,320 shares worth about $41.1 million over the past 90 days.

World Acceptance Corporation (NASDAQ:WRLD - Get Free Report)'s share price crossed below its 200-day moving average during trading on Wednesday. The stock has a 200-day moving average of $163.78 and traded as low as $160.52. World Acceptance shares last traded at $161.10, with a volume of 109,245 shares changing hands.

Analyst Upgrades and Downgrades

A number of research firms have commented on WRLD. Zacks Research upgraded World Acceptance to a "hold" rating in a research note on Monday, October 5th. Weiss Ratings restated a "hold (c)" rating on shares of World Acceptance in a research report on Monday, September 21st. Finally, Wall Street Zen cut World Acceptance from a "strong-buy" rating to a "buy" rating in a research note on Monday, August 10th. Two research analysts have rated the stock with a Hold rating. Based on data from MarketBeat, World Acceptance presently has a consensus rating of "Hold".

World Acceptance Price Performance

The company has a debt-to-equity ratio of 1.44, a current ratio of 14.38 and a quick ratio of 13.49. The company has a market capitalization of $750.73 million, a PE ratio of 14.97 and a beta of 1.23. The stock's 50 day simple moving average is $177.05 and its 200-day simple moving average is $163.78.

World Acceptance (NASDAQ:WRLD - Get Free Report) last posted its quarterly earnings data on Friday, October 23rd. The credit services provider reported $1.93 EPS for the quarter, beating the consensus estimate of $0.78 by $1.15. The business had revenue of $139.21 million during the quarter, compared to analyst estimates of $140.70 million. World Acceptance had a net margin of 8.45% and a return on equity of 15.32%. During the same quarter last year, the firm posted ($0.33) earnings per share. As a group, equities analysts forecast that World Acceptance Corporation will post 13.74 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other World Acceptance news, Director Ken R. Bramlett, Jr. sold 3,797 shares of the stock in a transaction that occurred on Thursday, October 29th. The shares were sold at an average price of $176.95, for a total transaction of $671,879.15. Following the sale, the director directly owned 28,408 shares in the company, valued at $5,026,795.60. This represents a 11.79% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, insider Prescott General Partners Llc sold 88,324 shares of the firm's stock in a transaction that occurred on Wednesday, October 28th. The shares were sold at an average price of $169.83, for a total transaction of $15,000,064.92. Following the completion of the transaction, the insider directly owned 735,012 shares of the company's stock, valued at $124,827,087.96. This represents a 10.73% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 227,320 shares of company stock worth $41,053,544 in the last ninety days. 38.00% of the stock is owned by corporate insiders.

Institutional Trading of World Acceptance

Hedge funds have recently modified their holdings of the stock. Bank of New York Mellon Corp purchased a new position in World Acceptance in the second quarter valued at $4,577,000. Public Employees Retirement System of Ohio acquired a new position in World Acceptance during the 2nd quarter worth $1,239,000. Bank of America Corp DE increased its holdings in World Acceptance by 97.5% during the 1st quarter. Bank of America Corp DE now owns 20,545 shares of the credit services provider's stock worth $2,774,000 after purchasing an additional 10,140 shares during the period. Squarepoint Ops LLC increased its holdings in World Acceptance by 82.5% during the 2nd quarter. Squarepoint Ops LLC now owns 7,004 shares of the credit services provider's stock worth $1,568,000 after purchasing an additional 3,166 shares during the period. Finally, Jennison Associates LLC purchased a new stake in World Acceptance during the 1st quarter worth about $680,000. 83.63% of the stock is currently owned by institutional investors and hedge funds.

World Acceptance Company Profile

World Acceptance Corporation is a consumer finance company that provides small-dollar personal installment loans and related financial services through its World Finance branch network and online channels. The company primarily serves consumers who may have limited access to traditional bank credit.

Its products and services generally include personal loans, tax return preparation and filing, and certain ancillary financial products. Loan proceeds may be used for expenses such as household needs, medical bills, automobile repairs, or other personal obligations, subject to applicable lending requirements.

Founded in 1962, World Acceptance is headquartered in Greenville, South Carolina.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.