Shin-Etsu Chemical (OTCMKTS:SHECY) Shares Gap Up - Should You Buy?

Key Points

• Shin-Etsu Chemical shares gapped up from $15.40 to $16.05 before trading, but last traded at $15.45 with 39,548 shares exchanged.
• Zacks Research downgraded Shin-Etsu Chemical's rating from "hold" to "strong sell", and the stock currently holds a consensus rating of "Sell."
• The company reported quarterly earnings of $0.22 per share, exceeding estimates, and has a predictably strong outlook with an expected annual EPS of 0.86.

Shares of Shin-Etsu Chemical Co. (OTCMKTS:SHECY - Get Free Report) gapped up prior to trading on Wednesday . The stock had previously closed at $15.40, but opened at $16.05. Shin-Etsu Chemical shares last traded at $15.45, with a volume of 39,548 shares traded.

Analysts Set New Price Targets

Separately, Zacks Research cut shares of Shin-Etsu Chemical from a "hold" rating to a "strong sell" rating in a research note on Friday, September 5th. One equities research analyst has rated the stock with a Sell rating, According to MarketBeat.com, the stock has a consensus rating of "Sell".

Shin-Etsu Chemical Price Performance

The stock has a market cap of $62.21 billion, a price-to-earnings ratio of 17.81 and a beta of 1.36. The stock's 50 day moving average price is $15.31 and its two-hundred day moving average price is $15.19. The company has a quick ratio of 4.81, a current ratio of 6.48 and a debt-to-equity ratio of 0.06.

Shin-Etsu Chemical (OTCMKTS:SHECY - Get Free Report) last released its quarterly earnings data on Thursday, July 24th. The basic materials company reported $0.22 earnings per share for the quarter, topping analysts' consensus estimates of $0.21 by $0.01. The firm had revenue of $4.35 billion for the quarter. Shin-Etsu Chemical had a net margin of 19.94% and a return on equity of 10.90%. Equities research analysts forecast that Shin-Etsu Chemical Co. will post 0.86 EPS for the current fiscal year.

Shin-Etsu Chemical Company Profile

Shin-Etsu Chemical Co, Ltd. provides infrastructure, electronics, and functional materials in Japan. It is also involved in processing and specialized related services. The company operates through Infrastructure Materials; Electronics Materials; Functional Materials; and Processing and Specialized Services segments.