Sappi (OTCMKTS:SPPJY) Shares Down 8.3% - Here's What Happened

Key Points

• Sappi Ltd. shares dropped by 8.3% on Friday, closing at $1.28 after trading as low as $1.28 during the session.
• Zacks Research downgraded Sappi to a "strong sell" rating, contributing to an overall average rating of "sell" from analysts.
• The company reported earnings per share of ($0.04), missing consensus estimates of $0.03, alongside a net margin of 1.75% and revenue of $1.32 billion for the last quarter.

Shares of Sappi Ltd. (OTCMKTS:SPPJY - Get Free Report) dropped 8.3% on Friday . The stock traded as low as $1.28 and last traded at $1.28. Approximately 1,165 shares traded hands during mid-day trading, a decline of 80% from the average daily volume of 5,859 shares. The stock had previously closed at $1.39.

Analyst Upgrades and Downgrades

Separately, Zacks Research raised Sappi to a "strong sell" rating in a research report on Friday, August 8th. One equities research analyst has rated the stock with a Sell rating, Based on data from MarketBeat.com, Sappi has an average rating of "Sell".

Sappi Stock Performance

The stock has a market capitalization of $727.87 million, a P/E ratio of 7.65 and a beta of 0.87. The company has a 50 day simple moving average of $1.55 and a 200-day simple moving average of $1.75. The company has a debt-to-equity ratio of 0.63, a current ratio of 1.24 and a quick ratio of 0.62.

Sappi (OTCMKTS:SPPJY - Get Free Report) last issued its earnings results on Thursday, August 7th. The basic materials company reported ($0.04) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.03 by ($0.07). Sappi had a net margin of 1.75% and a return on equity of 6.12%. The firm had revenue of $1.32 billion during the quarter, compared to the consensus estimate of $1.35 billion.

Sappi Company Profile

Sappi Limited, together with its subsidiaries, engages in the provision of materials made from woodfiber-based renewable resources in Europe, North America, and South Africa. The company manufacture and sells dissolving pulp, and wood and paper pulp; graphic papers, coated and uncoated papers, and casting and release papers; and packaging and specialty papers, including packaging and specialty papers, including flexible packaging papers, label papers, functional paper packaging products, containerboards, paperboards, silicone base papers, and dye sublimation papers.

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