Stora Enso Oyj (OTCMKTS:SEOAY) Shares Gap Down - Should You Sell?

Key Points

• Stora Enso Oyj's share price opened significantly lower at $11.07, down from the previous close of $11.59, with current trading at $11.14.
• A series of analyst downgrades have impacted the stock, with Wall Street Zen and BNP Paribas both lowering their ratings to "sell" and "strong sell", respectively.
• The company reported an earnings miss with $0.06 EPS against the estimated $0.07, though it exceeded revenue expectations with $2.84 billion for the quarter.

Stora Enso Oyj (OTCMKTS:SEOAY - Get Free Report) gapped down before the market opened on Thursday . The stock had previously closed at $11.59, but opened at $11.07. Stora Enso Oyj shares last traded at $11.14, with a volume of 2,097 shares traded.

Analyst Upgrades and Downgrades

Several equities analysts have recently weighed in on SEOAY shares. Wall Street Zen lowered shares of Stora Enso Oyj from a "hold" rating to a "sell" rating in a report on Monday, July 28th. UBS Group cut shares of Stora Enso Oyj from a "strong-buy" rating to a "hold" rating in a report on Thursday, August 14th. BNP Paribas downgraded shares of Stora Enso Oyj from a "hold" rating to a "strong sell" rating in a research report on Wednesday, June 25th. Finally, Berenberg Bank upgraded Stora Enso Oyj to a "hold" rating in a research report on Friday, August 29th. Two equities research analysts have rated the stock with a Hold rating and two have given a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Reduce".

Stora Enso Oyj Stock Performance

The stock has a 50-day moving average of $11.29 and a 200 day moving average of $10.37. The stock has a market cap of $9.00 billion, a PE ratio of -71.31 and a beta of 0.78. The company has a quick ratio of 0.80, a current ratio of 1.18 and a debt-to-equity ratio of 0.36.

Stora Enso Oyj (OTCMKTS:SEOAY - Get Free Report) last posted its quarterly earnings results on Wednesday, July 23rd. The basic materials company reported $0.06 EPS for the quarter, missing the consensus estimate of $0.07 by ($0.01). The company had revenue of $2.84 billion for the quarter, compared to analysts' expectations of $2.47 billion. Stora Enso Oyj had a negative return on equity of 3.87% and a negative net margin of 1.18%. Equities analysts predict that Stora Enso Oyj will post 0.67 EPS for the current fiscal year.

Stora Enso Oyj Dividend Announcement

The company also recently announced a dividend, which will be paid on Thursday, October 9th. Shareholders of record on Friday, September 26th will be issued a $0.0883 dividend. This represents a yield of 79.0%. The ex-dividend date is Thursday, September 25th. Stora Enso Oyj's payout ratio is presently -75.00%.

Stora Enso Oyj Company Profile

Stora Enso Oyj provides renewable solutions for the packaging, biomaterials, wooden constructions, and paper industries in Finland and internationally. It operates through Packaging Materials, Packaging Solutions, Biomaterials, Wood Products, Forest, Paper, and Other segments. The company's Packaging Materials segment offers virgin and recycled fiber replace fossil-based materials with low-carbon, renewable and recyclable packaging materials for food and beverage, pharmaceutical, and transport packaging.