WH Smith (LON:SMWH) Shares Down 40.6% Following Analyst Downgrade

Key Points

• WH Smith shares experienced a significant drop of 40.6%, falling to a last trading price of GBX 659.85 ($8.88) from a previous close of GBX 1,110 ($14.94).
• The average trading volume surged to 11,004,524 shares, marking an increase of 2,087% compared to its usual volume of 503,119 shares.
• Despite the drop, analysts have assigned a consensus rating of "Moderate Buy" on the stock, with an average target price of GBX 1,430.

WH Smith PLC (LON:SMWH - Get Free Report) shares were down 40.6% during mid-day trading on Thursday after Deutsche Bank Aktiengesellschaft lowered their price target on the stock from GBX 1,030 to GBX 726. Deutsche Bank Aktiengesellschaft currently has a hold rating on the stock. WH Smith traded as low as GBX 646 ($8.69) and last traded at GBX 659.85 ($8.88). Approximately 11,004,524 shares traded hands during trading, an increase of 2,087% from the average daily volume of 503,119 shares. The stock had previously closed at GBX 1,110 ($14.93).

A number of other equities analysts also recently issued reports on SMWH. Canaccord Genuity Group dropped their price target on WH Smith from GBX 1,460 to GBX 1,350 and set a "buy" rating on the stock in a research report on Monday, June 9th. JPMorgan Chase & Co. reiterated an "overweight" rating on shares of WH Smith in a research note on Wednesday, July 30th. Finally, Peel Hunt cut WH Smith to a "hold" rating and decreased their price target for the company from GBX 1,400 to GBX 755 in a research note on Thursday, August 21st. Four investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat, WH Smith currently has a consensus rating of "Moderate Buy" and an average target price of GBX 1,178.20.

WH Smith Stock Performance

The stock has a market cap of £901.27 million, a PE ratio of 14.44, a P/E/G ratio of 2.65 and a beta of 1.67. The company has a quick ratio of 0.42, a current ratio of 0.85 and a debt-to-equity ratio of 253.13. The stock has a 50-day moving average of GBX 1,050.73 and a 200 day moving average of GBX 1,044.22.

About WH Smith

WH Smith PLC operates as a retailer in the United Kingdom and internationally. It operates in two segments, Travel and High Street. The Travel segment offers news, books, and convenience for travelling customers. It operates stores in airports, hospitals, railway stations, and motorway service areas.