Transcontinental (TSE:TCL.A) Stock Passes Below Two Hundred Day Moving Average - Should You Sell?

Key Points

• Transcontinental Inc.'s (TSE:TCL.A) stock price dropped below its 200-day moving average, trading at C$19.41, raising potential concerns for investors.
• Despite the recent price drop, various brokerages have set optimistic price targets, with Royal Bank of Canada establishing a target of C$25.00 and rating the stock as "outperform."
• Transcontinental maintains a solid financial position with a market capitalization of C$1.66 billion and a P/E ratio of 9.51, indicating potential value for investors.

Transcontinental Inc. (TSE:TCL.A - Get Free Report)'s stock price crossed below its two hundred day moving average during trading on Wednesday . The stock has a two hundred day moving average of C$19.68 and traded as low as C$19.41. Transcontinental shares last traded at C$19.88, with a volume of 190,291 shares traded.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on TCL.A. Scotiabank lowered Transcontinental from an "outperform" rating to a "sector perform" rating and increased their price objective for the stock from C$22.00 to C$23.25 in a report on Friday, June 6th. Royal Bank Of Canada set a C$25.00 price objective on Transcontinental and gave the stock an "outperform" rating in a report on Wednesday, September 3rd. Cormark cut their price objective on Transcontinental from C$27.00 to C$26.00 in a report on Monday, September 8th. National Bankshares increased their price objective on Transcontinental from C$23.00 to C$24.00 and gave the stock an "outperform" rating in a report on Friday, June 6th. Finally, TD Securities increased their price objective on Transcontinental from C$26.00 to C$27.00 and gave the stock a "buy" rating in a report on Monday, September 8th. Three equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company's stock. According to data from MarketBeat, Transcontinental has an average rating of "Moderate Buy" and an average price target of C$24.18.

Transcontinental Trading Up 1.1%

The company has a fifty day simple moving average of C$19.82 and a two-hundred day simple moving average of C$19.68. The company has a debt-to-equity ratio of 54.12, a current ratio of 1.49 and a quick ratio of 1.09. The company has a market capitalization of C$1.66 billion, a P/E ratio of 9.51, a price-to-earnings-growth ratio of 6.05 and a beta of 0.79.

Transcontinental Company Profile

Transcontinental, or TC Transcontinental, is a Canadian printer and flexible packaging provider that operates in three segments: packaging, printing, and other. Its packaging segment features the production of different plastic products geared toward consumer goods. Production plants specialize in extrusion, lamination, printing, and converting.

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