Square Enix (OTCMKTS:SQNXF) Shares Gap Down - What's Next?

Key Points

• Square Enix's shares gapped down significantly from $21.75 to $18.85 on Friday, indicating a notable drop in market confidence.
• Analyst sentiment has worsened, with Sanford C. Bernstein downgrading the stock from a "hold" to a "strong sell" rating.
• The company's recent quarterly earnings report showed an earnings per share (EPS) of $0.29, which missed expectations of $0.44, further impacting investor perception.

Square Enix Holdings Co., Ltd. (OTCMKTS:SQNXF - Get Free Report)'s share price gapped down prior to trading on Friday . The stock had previously closed at $21.75, but opened at $18.85. Square Enix shares last traded at $18.85, with a volume of 500 shares changing hands.

Wall Street Analyst Weigh In

Separately, Sanford C. Bernstein cut shares of Square Enix from a "hold" rating to a "strong sell" rating in a research report on Tuesday, September 30th. Two investment analysts have rated the stock with a Sell rating, Based on data from MarketBeat.com, the company has a consensus rating of "Sell".

Square Enix Stock Performance

The firm has a market cap of $6.79 billion, a P/E ratio of 54.90 and a beta of 0.50. The firm's fifty day moving average price is $61.29 and its 200 day moving average price is $60.25.

Square Enix (OTCMKTS:SQNXF - Get Free Report) last posted its quarterly earnings data on Friday, August 8th. The company reported $0.29 EPS for the quarter, missing the consensus estimate of $0.44 by ($0.15). The firm had revenue of $410.28 million for the quarter, compared to the consensus estimate of $464.16 million. Square Enix had a return on equity of 5.88% and a net margin of 5.92%. As a group, analysts expect that Square Enix Holdings Co., Ltd. will post 1.71 earnings per share for the current fiscal year.

About Square Enix

Square Enix Holdings Co, Ltd. operates in the content and service businesses in Japan and internationally. It operates through Digital Entertainment Business, Amusement Business, Publishing Business, and Rights Property Business. The company plans, develops, sells, and manages digital entertainment content primarily in the form of computer games.

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