Melrose Industries (LON:MRO) Trading Down 7.9% – Here’s Why

Shares of Melrose Industries PLC (LON:MRO) fell 7.9% on Wednesday . The company traded as low as GBX 498 and last traded at GBX 506.55. 6,811,988 shares were traded during mid-day trading, a decline of 77% from the average session volume of 29,525,754 shares. The stock had previously closed at GBX 550.29.

Wall Street Analyst Weigh In

Separately, Deutsche Bank Aktiengesellschaft reduced their target price on Melrose Industries from GBX 620 to GBX 570 and set a “hold” rating on the stock in a research note on Monday, March 23rd. Three investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of GBX 680.

Melrose Industries Stock Performance

The business has a 50-day moving average of GBX 556.10 and a two-hundred day moving average of GBX 590.63. The company has a market cap of £6.32 billion, a P/E ratio of 17.47, a P/E/G ratio of 0.48 and a beta of 0.92. The company has a debt-to-equity ratio of 67.32, a current ratio of 0.98 and a quick ratio of 0.45.

Melrose Industries (LON:MRO) last issued its quarterly earnings data on Friday, February 27th. The company reported GBX 32.20 earnings per share for the quarter. Melrose Industries had a return on equity of 13.03% and a net margin of 10.31%. On average, sell-side analysts predict that Melrose Industries PLC will post 33.9741641 EPS for the current fiscal year.

Insider Transactions at Melrose Industries

In related news, insider Chris Grigg acquired 17,901 shares of the company’s stock in a transaction that occurred on Wednesday, March 4th. The shares were bought at an average price of GBX 540 per share, with a total value of £96,665.40. Also, insider Matthew Gregory acquired 46,702 shares of the company’s stock in a transaction that occurred on Wednesday, March 25th. The shares were bought at an average cost of GBX 502 per share, for a total transaction of £234,444.04. 2.56% of the stock is owned by company 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. The Structures segment provides civil and defence air frames, including lightweight composite and metallic structures; and electrical distribution systems and components to airframe original equipment manufacturers.