Babcock (NYSE:BW) Trading Down 6.1% – Here’s Why

Shares of Babcock (NYSE:BW) fell 6.1% during trading on Tuesday . The company traded as low as $7.04 and last traded at $7.0820. Approximately 415,217 shares changed hands during trading, a decline of 90% from the average session volume of 4,067,849 shares. The stock had previously closed at $7.54.

Analysts Set New Price Targets

BW has been the subject of a number of research reports. Northland Securities set a $23.00 price target on Babcock in a research report on Tuesday, May 12th. Needham & Company LLC started coverage on Babcock in a report on Monday. They issued a “buy” rating and a $20.00 price objective on the stock. Weiss Ratings raised Babcock from a “sell (d-)” rating to a “sell (d+)” rating in a research note on Tuesday, August 11th. Finally, Wall Street Zen cut Babcock from a “buy” rating to a “hold” rating in a report on Sunday, August 23rd. Four research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $15.40.

Babcock Stock Performance

The company has a market capitalization of $1.04 billion, a price-to-earnings ratio of -38.91 and a beta of 1.22. The company has a current ratio of 1.45, a quick ratio of 1.33 and a debt-to-equity ratio of 4.21. The stock has a 50-day simple moving average of $10.32 and a 200-day simple moving average of $13.52.

Babcock (NYSE:BW) last released its quarterly earnings results on Monday, August 10th. The technology company reported $0.04 earnings per share for the quarter, topping analysts’ consensus estimates of $0.02 by $0.02. The business had revenue of $319.69 million during the quarter, compared to the consensus estimate of $196.95 million. Babcock had a negative net margin of 2.17% and a negative return on equity of 4.51%. On average, analysts anticipate that Babcock will post 0.27 earnings per share for the current year.

Insider Buying and Selling at Babcock

In related news, Director Philip D. Moeller bought 5,000 shares of the company’s stock in a transaction dated Thursday, August 13th. The stock was bought at an average price of $9.50 per share, with a total value of $47,500.00. Following the transaction, the director owned 240,809 shares of the company’s stock, valued at approximately $2,287,685.50. This trade represents a 2.12% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which can be accessed through this link. Insiders own 2.80% of the company’s stock.

Hedge Funds Weigh In On Babcock

Several large investors have recently modified their holdings of the stock. California State Teachers Retirement System bought a new stake in Babcock in the second quarter valued at about $25,159,000. Readystate Asset Management LP bought a new position in Babcock during the 2nd quarter worth approximately $1,900,000. Situational Awareness LP lifted its holdings in Babcock by 49.7% during the 2nd quarter. Situational Awareness LP now owns 2,027,451 shares of the technology company’s stock worth $28,587,000 after buying an additional 673,551 shares during the last quarter. Sigma Planning Corp acquired a new position in shares of Babcock in the 2nd quarter worth approximately $462,000. Finally, Alyeska Investment Group L.P. acquired a new position in shares of Babcock in the 2nd quarter worth approximately $8,636,000. Institutional investors own 83.17% of the company’s stock.

Babcock Company Profile

Babcock & Wilcox Enterprises, Inc (NYSE: BW) is a specialized provider of energy and environmental technologies and services serving power generation and heavy industrial markets. The company designs, manufactures and maintains critical components and systems that support the safe and efficient operation of both fossil-fuel and renewable power facilities. Its core offerings include industrial and utility boilers, environmental control systems for emissions reduction, and aftermarket support services ranging from inspection and maintenance to spare parts management.

In addition to its boiler and emissions control portfolio, Babcock & Wilcox Enterprises delivers lifecycle solutions aimed at enhancing plant performance and compliance.