RGC Resources (NASDAQ:RGCO) Stock Crosses Above 200 Day Moving Average - Should You Sell?

Key Points

• RGC Resources' stock price has crossed above its two hundred-day moving average, reaching a high of $22.84, which indicates positive momentum.
• Analysts at Wall Street Zen downgraded RGC Resources from a "buy" rating to a "hold" rating as of August 16th.
• The company reported a quarterly earnings per share (EPS) of $0.05, exceeding expectations, with revenues of $17.27 million against a $15 million estimate.

RGC Resources Inc. (NASDAQ:RGCO - Get Free Report)'s stock price crossed above its two hundred day moving average during trading on Friday . The stock has a two hundred day moving average of $21.43 and traded as high as $22.84. RGC Resources shares last traded at $22.70, with a volume of 40,870 shares.

Wall Street Analysts Forecast Growth

Separately, Wall Street Zen downgraded shares of RGC Resources from a "buy" rating to a "hold" rating in a research note on Saturday, August 16th.

RGC Resources Trading Up 0.1%

The firm has a market capitalization of $234.80 million, a PE ratio of 17.35 and a beta of 0.48. The company has a quick ratio of 0.66, a current ratio of 1.04 and a debt-to-equity ratio of 1.20. The stock's fifty day simple moving average is $21.69 and its 200 day simple moving average is $21.46.

RGC Resources (NASDAQ:RGCO - Get Free Report) last announced its earnings results on Monday, August 11th. The energy company reported $0.05 EPS for the quarter, beating analysts' consensus estimates of $0.02 by $0.03. RGC Resources had a net margin of 14.48% and a return on equity of 12.01%. The business had revenue of $17.27 million during the quarter, compared to analysts' expectations of $15.00 million. On average, sell-side analysts predict that RGC Resources Inc. will post 1.23 earnings per share for the current year.

Institutional Trading of RGC Resources

Hedge funds and other institutional investors have recently modified their holdings of the company. Russell Investments Group Ltd. grew its stake in RGC Resources by 8.2% during the first quarter. Russell Investments Group Ltd. now owns 194,570 shares of the energy company's stock valued at $4,061,000 after acquiring an additional 14,724 shares in the last quarter. GAMMA Investing LLC grew its stake in RGC Resources by 5,110.7% during the first quarter. GAMMA Investing LLC now owns 7,764 shares of the energy company's stock valued at $162,000 after acquiring an additional 7,615 shares in the last quarter. Northern Trust Corp grew its stake in RGC Resources by 4.2% during the fourth quarter. Northern Trust Corp now owns 72,653 shares of the energy company's stock valued at $1,457,000 after acquiring an additional 2,918 shares in the last quarter. Deutsche Bank AG purchased a new position in RGC Resources during the fourth quarter valued at $224,000. Finally, Nuveen LLC purchased a new position in RGC Resources during the first quarter valued at $560,000. 35.77% of the stock is owned by hedge funds and other institutional investors.

About RGC Resources

RGC Resources, Inc, through its subsidiaries, operates as an energy services company. It sells and distributes natural gas to residential, commercial, and industrial customers in Roanoke, Virginia, and the surrounding localities. The company also provides various unregulated services. It operates approximately 1,179 miles of transmission and distribution pipeline; and a liquefied natural gas storage facility, as well as owns and operates six metering stations.