Serica Energy (LON:SQZ) Trading Down 14.5% - Should You Sell?

Key Points

• Serica Energy's stock price fell by 14.5% during trading, reaching a new low of GBX 146 ($1.98) on Wednesday before closing at GBX 152 ($2.06).
• Despite the recent decline, several equities research analysts have maintained a "buy" rating with target prices ranging from GBX 190 to GBX 215, indicating investor confidence.
• Insider Martin Copeland recently purchased 45,000 shares at an average price of GBX 161, suggesting insider confidence in the company amidst its stock price fluctuations.

Serica Energy plc (LON:SQZ - Get Free Report) shares fell 14.5% during mid-day trading on Wednesday . The company traded as low as GBX 146 ($1.98) and last traded at GBX 152 ($2.06). 9,339,462 shares changed hands during trading, an increase of 359% from the average session volume of 2,033,229 shares. The stock had previously closed at GBX 177.80 ($2.41).

Analyst Upgrades and Downgrades

A number of research firms have recently issued reports on SQZ. Shore Capital reiterated a "buy" rating on shares of Serica Energy in a research note on Wednesday. JPMorgan Chase & Co. reiterated a "buy" rating and set a GBX 215 price objective on shares of Serica Energy in a research note on Wednesday, August 13th. Canaccord Genuity Group reiterated a "buy" rating and set a GBX 190 price objective on shares of Serica Energy in a research note on Thursday, July 31st. Finally, Jefferies Financial Group reiterated a "buy" rating and set a GBX 190 price objective on shares of Serica Energy in a research note on Tuesday, August 5th. Five research analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, the stock presently has a consensus rating of "Buy" and an average price target of GBX 203.

Serica Energy Price Performance

The company has a debt-to-equity ratio of 26.31, a current ratio of 1.69 and a quick ratio of 1.22. The company has a 50-day simple moving average of GBX 168.84 and a two-hundred day simple moving average of GBX 149.76. The stock has a market capitalization of £625.62 million, a price-to-earnings ratio of -2,002.50, a price-to-earnings-growth ratio of 2.15 and a beta of 0.44.

Insider Buying and Selling at Serica Energy

In related news, insider Martin Copeland acquired 45,000 shares of the business's stock in a transaction that occurred on Thursday, July 3rd. The shares were acquired at an average cost of GBX 161 per share, for a total transaction of £72,450. 63.80% of the stock is currently owned by corporate insiders.

About Serica Energy

Serica Energy plc, an upstream oil and gas company, identifies, acquires, explores, exploits, and produces oil and gas reserves in the United Kingdom. The company holds 100% interest in the Keith oil field; 98% interest in the Bruce field; and 50% interest in the Rhum gas field located in the Northern North Sea, as well as 18% non-operating interest in the Erskine field located in Central North Sea.