Sappi (OTCMKTS:SPPJY) Shares Gap Down – Should You Sell?

Shares of Sappi Ltd. (OTCMKTS:SPPJY) gapped down before the market opened on Tuesday . The stock had previously closed at $1.09, but opened at $1.03. Sappi shares last traded at $1.03, with a volume of 3,000 shares trading hands.

Analyst Upgrades and Downgrades

Separately, Zacks Research downgraded Sappi from a “hold” rating to a “strong sell” rating in a report on Tuesday, February 3rd. One equities research analyst has rated the stock with a Sell rating, According to MarketBeat.com, the company currently has an average rating of “Sell”.

Sappi Price Performance

The company has a fifty day moving average of $1.21 and a 200 day moving average of $1.35. The firm has a market capitalization of $576.70 million, a P/E ratio of -2.24 and a beta of 0.67. The company has a debt-to-equity ratio of 0.65, a current ratio of 1.18 and a quick ratio of 0.55.

Sappi (OTCMKTS:SPPJY) last released its quarterly earnings results on Wednesday, February 4th. The basic materials company reported ($0.03) earnings per share (EPS) for the quarter, hitting the consensus estimate of ($0.03). The firm had revenue of $1.29 billion during the quarter, compared to analyst estimates of $1.34 billion. Sappi had a negative net margin of 5.31% and a negative return on equity of 2.34%.

About Sappi

Sappi Limited, trading on the OTCMKTS as SPPJY, is a global pulp and paper company headquartered in Johannesburg, South Africa. Originally established in 1936 as South African Pulp and Paper Industries, Sappi has grown into a diversified manufacturer of dissolving wood pulp, graphic papers, packaging and specialty papers. The company serves customers in over 150 countries and operates a network of mills and sales offices across three key regions: Europe, North America and South Africa.

Sappi’s product portfolio is organized into several main categories.