Sappi (OTCMKTS:SPPJY) Shares Gap Down - Time to Sell?

Key Points

• Sappi Ltd. shares gapped down from a closing price of $1.65 to an opening price of $1.60, with current trading at $1.60 and a volume of 280 shares.
• Analysts have downgraded Sappi to a "strong sell" rating, contributing to a consensus rating of "Sell" for the stock.
• In its recent earnings report, Sappi reported a loss of ($0.04) earnings per share, missing analyst expectations, alongside revenues of $1.32 billion which also fell short of estimates.

Sappi Ltd. (OTCMKTS:SPPJY - Get Free Report) shares gapped down prior to trading on Tuesday . The stock had previously closed at $1.65, but opened at $1.60. Sappi shares last traded at $1.60, with a volume of 280 shares.

Analyst Ratings Changes

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

Sappi Price Performance

The company's 50-day moving average is $1.72 and its 200-day moving average is $1.98. The company has a debt-to-equity ratio of 0.60, a current ratio of 1.38 and a quick ratio of 0.68. The firm has a market capitalization of $951.83 million, a price-to-earnings ratio of 10.00 and a beta of 0.76.

Sappi (OTCMKTS:SPPJY - Get Free Report) last released 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 return on equity of 6.09% and a net margin of 1.75%.The company had revenue of $1.32 billion during the quarter, compared to analyst estimates 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.