Diageo (NYSE:DEO) Hits New 12-Month Low – Should You Sell?

Shares of Diageo plc (NYSE:DEO) reached a new 52-week low during mid-day trading on Wednesday . The company traded as low as $75.60 and last traded at $75.8290, with a volume of 276757 shares trading hands. The stock had previously closed at $76.81.

Analyst Upgrades and Downgrades

DEO has been the topic of several recent research reports. Deutsche Bank Aktiengesellschaft reissued a “hold” rating on shares of Diageo in a research report on Friday, November 28th. Sanford C. Bernstein set a $124.00 target price on shares of Diageo and gave the stock an “outperform” rating in a research report on Monday, December 29th. UBS Group restated a “neutral” rating on shares of Diageo in a research note on Wednesday, December 3rd. Royal Bank Of Canada raised shares of Diageo from a “sector perform” rating to an “outperform” rating in a report on Tuesday, January 6th. Finally, Argus upgraded shares of Diageo to a “hold” rating in a report on Tuesday, March 10th. Five equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $116.50.

Diageo Stock Performance

The company has a current ratio of 1.60, a quick ratio of 0.71 and a debt-to-equity ratio of 1.53. The company has a 50 day simple moving average of $90.07 and a 200-day simple moving average of $92.68.

Diageo Dividend Announcement

The company also recently declared a dividend, which will be paid on Thursday, June 4th. Investors of record on Friday, April 17th will be given a dividend of $0.80 per share. This represents a dividend yield of 207.0%. The ex-dividend date of this dividend is Friday, April 17th.

Hedge Funds Weigh In On Diageo

Several large investors have recently added to or reduced their stakes in DEO. World Investment Advisors increased its stake in Diageo by 1.3% during the fourth quarter. World Investment Advisors now owns 48,643 shares of the company’s stock valued at $4,196,000 after purchasing an additional 625 shares during the last quarter. Advisortrust Partners LLC acquired a new position in shares of Diageo in the 4th quarter valued at about $412,000. Rehmann Capital Advisory Group boosted its holdings in shares of Diageo by 63.2% in the 4th quarter. Rehmann Capital Advisory Group now owns 3,970 shares of the company’s stock valued at $339,000 after buying an additional 1,537 shares during the period. MidFirst Bank acquired a new position in shares of Diageo in the 4th quarter valued at about $118,000. Finally, Virtu Financial LLC boosted its holdings in shares of Diageo by 90.2% in the 4th quarter. Virtu Financial LLC now owns 46,086 shares of the company’s stock valued at $3,976,000 after buying an additional 21,853 shares during the period. 8.97% of the stock is currently owned by institutional investors.

About Diageo

Diageo plc is a global producer, marketer and distributor of alcoholic beverages, headquartered in London, England. The company was created through the 1997 merger of Guinness plc and Grand Metropolitan plc and is publicly traded on multiple exchanges, including the New York Stock Exchange (NYSE: DEO) and the London Stock Exchange. Diageo operates a worldwide business, selling products in a broad range of markets across the Americas, Europe, Africa, Asia and Latin America.

Diageo’s core activities cover the production, marketing and sale of a diverse portfolio of spirits, beer and liqueurs.