Embraer (NYSE:ERJ) Shares Gap Down – What’s Next?

Shares of Embraer S.A. (NYSE:ERJ) gapped down before the market opened on Tuesday . The stock had previously closed at $38.81, but opened at $36.90. Embraer shares last traded at $37.06, with a volume of 538,536 shares.

Analysts Set New Price Targets

ERJ has been the subject of several research reports. TD Cowen upgraded shares of Embraer from a “hold” rating to a “buy” rating and raised their price objective for the stock from $26.00 to $41.00 in a research report on Wednesday, September 4th. Bank of America reaffirmed a “buy” rating and issued a $40.00 target price on shares of Embraer in a report on Tuesday, September 17th. StockNews.com downgraded shares of Embraer from a “buy” rating to a “hold” rating in a research note on Tuesday, July 23rd. Finally, UBS Group downgraded shares of Embraer from a “neutral” rating to a “sell” rating and lifted their target price for the stock from $29.00 to $32.00 in a research report on Tuesday. One research analyst has rated the stock with a sell rating, two have given a hold rating and five have issued a buy rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $35.29.

Embraer Trading Down 4.5 %

The company has a debt-to-equity ratio of 0.74, a current ratio of 1.56 and a quick ratio of 0.76. The stock has a market capitalization of $6.81 billion, a P/E ratio of 14.28 and a beta of 1.70. The firm’s 50 day moving average price is $35.14 and its 200 day moving average price is $31.47.

Institutional Trading of Embraer

A number of institutional investors have recently made changes to their positions in the stock. American Century Companies Inc. increased its holdings in Embraer by 6.4% in the 2nd quarter. American Century Companies Inc. now owns 2,304,245 shares of the aerospace company’s stock worth $59,450,000 after acquiring an additional 137,695 shares in the last quarter. Renaissance Technologies LLC lifted its holdings in shares of Embraer by 13.6% in the 2nd quarter. Renaissance Technologies LLC now owns 1,648,800 shares of the aerospace company’s stock valued at $42,539,000 after acquiring an additional 197,600 shares during the last quarter. Driehaus Capital Management LLC boosted its holdings in shares of Embraer by 102.5% in the 2nd quarter. Driehaus Capital Management LLC now owns 1,439,579 shares of the aerospace company’s stock worth $37,141,000 after purchasing an additional 728,592 shares during the period. Jennison Associates LLC boosted its stake in shares of Embraer by 102.1% during the 3rd quarter. Jennison Associates LLC now owns 1,331,631 shares of the aerospace company’s stock worth $47,100,000 after purchasing an additional 672,644 shares during the period. Finally, Itau Unibanco Holding S.A. raised its holdings in shares of Embraer by 54.8% in the third quarter. Itau Unibanco Holding S.A. now owns 1,112,314 shares of the aerospace company’s stock worth $39,343,000 after buying an additional 393,696 shares during the period. Hedge funds and other institutional investors own 34.65% of the company’s stock.

Embraer Company Profile

Embraer SA designs, develops, manufactures, and sells aircraft and systems in North America, Latin America, the Asia Pacific, Brazil, Europe, and internationally. The company operates through Commercial Aviation; Defense & Security; Executive Aviation; Services & Support; and Other segments. The Commercial Aviation segment designs, develops, manufactures, and sells commercial jets, as well as leases aircraft.