Melrose Industries (LON:MRO) Shares Down 11.3% – Should You Sell?

Melrose Industries PLC (LON:MRO)’s share price dropped 11.3% on Thursday . The stock traded as low as GBX 556.40 ($7.19) and last traded at GBX 603 ($7.79). Approximately 16,228,400 shares traded hands during trading, an increase of 72% from the average daily volume of 9,413,459 shares. The stock had previously closed at GBX 680 ($8.79).

Analysts Set New Price Targets

Separately, JPMorgan Chase & Co. reissued an “overweight” rating and set a GBX 850 ($10.99) price target on shares of Melrose Industries in a research report on Thursday, January 23rd. Two analysts have rated the stock with a hold rating and three have issued a buy rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of GBX 640 ($8.27).

Melrose Industries Stock Down 11.7 %

The firm has a market cap of £6.35 billion, a price-to-earnings ratio of -166.14, a PEG ratio of 0.48 and a beta of 1.51. The company has a quick ratio of 0.45, a current ratio of 0.86 and a debt-to-equity ratio of 44.03. The firm has a fifty day moving average price of GBX 597.55 and a 200-day moving average price of GBX 531.47.

Melrose Industries (LON:MRO) last issued its earnings results on Thursday, March 6th. The company reported GBX 26.80 ($0.35) earnings per share for the quarter. Melrose Industries had a negative return on equity of 1.18% and a negative net margin of 1.13%. As a group, sell-side analysts forecast that Melrose Industries PLC will post 33.9741641 EPS for the current year.

Insider Buying and Selling at Melrose Industries

In other news, insider David Lis sold 7,950 shares of Melrose Industries stock in a transaction dated Monday, December 9th. The stock was sold at an average price of GBX 566 ($7.32), for a total transaction of £44,997 ($58,158.20). 1.00% of the stock is currently owned by corporate insiders.

Melrose Industries Company Profile

Melrose Industries PLC, together with its subsidiaries, provides aerospace components and systems to civil and defence markets in the United Kingdom, rest of Europe, North America, and internationally. The company operates through two segments, Engines and Structures. The Engines segment offers structural engineered components; parts repair; and commercial and aftermarket contracts to engines original equipment manufacturers.