Synthomer (LON:SYNT) Shares Down 20.1% - Here's What Happened

Key Points

• Synthomer plc shares fell 20.1%, trading as low as GBX 62 ($0.82) and significantly increasing the trading volume by 730% from the average session.
• Equity analysts have revised their price targets, with Deutsche Bank cutting their target from GBX 140 ($1.86) to GBX 115 ($1.53) and Jefferies issuing a target price of GBX 100 ($1.33).
• Despite the recent downturn, insiders have shown confidence; two executives purchased shares at an average price of GBX 99 ($1.32) and GBX 64 ($0.85).

Synthomer plc (LON:SYNT - Get Free Report)'s stock price dropped 20.1% during trading on Tuesday . The stock traded as low as GBX 62 ($0.83) and last traded at GBX 63 ($0.85). Approximately 6,089,601 shares changed hands during mid-day trading, an increase of 730% from the average daily volume of 733,974 shares. The stock had previously closed at GBX 78.80 ($1.06).

Wall Street Analysts Forecast Growth

SYNT has been the subject of several recent research reports. Jefferies Financial Group reaffirmed a "hold" rating and issued a GBX 100 ($1.34) price target on shares of Synthomer in a report on Tuesday, August 5th. Berenberg Bank cut their price target on Synthomer from GBX 120 ($1.61) to GBX 80 ($1.08) and set a "hold" rating for the company in a report on Wednesday. Finally, Deutsche Bank Aktiengesellschaft cut their price target on Synthomer from GBX 140 ($1.88) to GBX 115 ($1.55) and set a "hold" rating for the company in a report on Wednesday, July 30th.

Synthomer Stock Performance

The firm has a 50 day simple moving average of GBX 98.97 and a 200-day simple moving average of GBX 109.05. The company has a debt-to-equity ratio of 78.27, a current ratio of 1.90 and a quick ratio of 0.97. The company has a market cap of £102.60 million, a price-to-earnings ratio of -1.25, a PEG ratio of -0.17 and a beta of 1.79.

Synthomer (LON:SYNT - Get Free Report) last posted its earnings results on Tuesday, August 5th. The company reported GBX (5.40) (($0.07)) earnings per share (EPS) for the quarter. Synthomer had a negative return on equity of 7.52% and a negative net margin of 4.40%. As a group, analysts predict that Synthomer plc will post 12.962963 EPS for the current fiscal year.

Insider Transactions at Synthomer

In other news, insider Jonathan Silver purchased 59,229 shares of the stock in a transaction dated Wednesday, August 6th. The stock was acquired at an average cost of GBX 65 ($0.87) per share, for a total transaction of £38,498.85 ($51,780.56). Also, insider Janet E. Ashdown purchased 19,920 shares of the stock in a transaction dated Thursday, July 3rd. The shares were purchased at an average price of GBX 99 ($1.33) per share, with a total value of £19,720.80 ($26,524.28). Insiders bought a total of 99,149 shares of company stock worth $7,101,965 over the last ninety days. Company insiders own 28.00% of the company's stock.

Synthomer Company Profile

Synthomer plc is a leading supplier of high-performance, highly specialised polymers and ingredients that play vital roles in key sectors such as coatings, construction, adhesives, and health and protection – growing markets for customers who serve billions of end users worldwide. Headquartered in London, UK and listed on the LSE since 1971, we employ c.3,900 employees across our five innovation centres of excellence and 29 manufacturing sites across Europe, North America, Middle East and Asia.