World Acceptance (NASDAQ:WRLD) Shares Pass Above Two Hundred Day Moving Average - Time to Sell?

Key Points

• The stock price of World Acceptance Corporation (NASDAQ:WRLD) surpassed its two hundred day moving average, peaking at $180.00 before settling at $179.27.
• Analyst ratings for World Acceptance have mixed signals, with one analyst upgrading the stock from "hold" to "buy," while others have maintained or downgraded it to "hold" or "strong sell."
• Insider transactions indicate decreased confidence, with significant sales of shares by insiders Daniel Clinton Dyer and Ken R. Bramlett, Jr., representing notable reductions in their positions.

World Acceptance Corporation (NASDAQ:WRLD - Get Free Report)'s stock price passed above its two hundred day moving average during trading on Tuesday . The stock has a two hundred day moving average of $156.23 and traded as high as $180.00. World Acceptance shares last traded at $179.27, with a volume of 75,177 shares traded.

Analyst Ratings Changes

A number of analysts have recently issued reports on the company. Wall Street Zen lowered World Acceptance from a "strong-buy" rating to a "hold" rating in a research note on Saturday, July 26th. Weiss Ratings raised World Acceptance from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Wednesday, October 8th. Finally, Zacks Research raised World Acceptance from a "strong sell" rating to a "hold" rating in a research note on Monday, September 22nd. One equities research analyst has rated the stock with a Buy rating and two have given a Hold rating to the company. According to MarketBeat, World Acceptance currently has a consensus rating of "Hold" and a consensus target price of $10.00.

World Acceptance Stock Up 6.9%

The company has a debt-to-equity ratio of 1.10, a quick ratio of 17.83 and a current ratio of 17.83. The company has a market cap of $977.02 million, a price-to-earnings ratio of 12.10 and a beta of 1.35. The business has a 50-day simple moving average of $170.96 and a 200-day simple moving average of $156.23.

World Acceptance (NASDAQ:WRLD - Get Free Report) last posted its quarterly earnings results on Thursday, July 24th. The credit services provider reported $0.25 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $2.44 by ($2.19). The company had revenue of $132.45 million during the quarter, compared to analyst estimates of $122.38 million. World Acceptance had a net margin of 14.29% and a return on equity of 18.95%. On average, equities analysts anticipate that World Acceptance Corporation will post 14 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, insider Daniel Clinton Dyer sold 4,704 shares of the stock in a transaction dated Wednesday, July 30th. The stock was sold at an average price of $159.50, for a total value of $750,288.00. Following the transaction, the insider owned 42,714 shares in the company, valued at approximately $6,812,883. This represents a 9.92% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Ken R. Bramlett, Jr. sold 3,389 shares of the stock in a transaction dated Wednesday, September 10th. The shares were sold at an average price of $167.19, for a total value of $566,606.91. Following the completion of the transaction, the director owned 32,205 shares in the company, valued at approximately $5,384,353.95. The trade was a 9.52% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 356,559 shares of company stock worth $61,548,969 over the last ninety days. Company insiders own 41.60% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the business. GAMMA Investing LLC increased its holdings in shares of World Acceptance by 570.9% in the 1st quarter. GAMMA Investing LLC now owns 369 shares of the credit services provider's stock valued at $47,000 after acquiring an additional 314 shares during the last quarter. Magnetar Financial LLC purchased a new position in shares of World Acceptance in the 1st quarter valued at about $308,000. Principal Financial Group Inc. grew its stake in World Acceptance by 2.4% during the 1st quarter. Principal Financial Group Inc. now owns 16,162 shares of the credit services provider's stock worth $2,045,000 after buying an additional 386 shares during the last quarter. American Century Companies Inc. grew its stake in World Acceptance by 17.0% during the 1st quarter. American Century Companies Inc. now owns 62,019 shares of the credit services provider's stock worth $7,849,000 after buying an additional 9,005 shares during the last quarter. Finally, Vanguard Group Inc. grew its stake in World Acceptance by 2.2% during the 1st quarter. Vanguard Group Inc. now owns 349,238 shares of the credit services provider's stock worth $44,196,000 after buying an additional 7,429 shares during the last quarter. Hedge funds and other institutional investors own 83.63% of the company's stock.

About World Acceptance

World Acceptance Corporation engages in consumer finance business in the United States. The company provides short-term small installment loans, medium-term larger installment loans, related credit insurance, and ancillary products and services to individuals. It offers income tax return preparation and filing services; and automobile club memberships.

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