Heritage Global (NASDAQ:HGBL) Stock Breaks Below 200-Day Moving Average – Time to Sell?

Heritage Global Inc. (NASDAQ:HGBL)’s share price crossed below its 200-day moving average during trading on Thursday. The stock has a 200-day moving average of $1.28 and traded as low as $1.26. Heritage Global shares last traded at $1.26, with a volume of 41,539 shares traded.

Analyst Ratings Changes

A number of research firms have recently issued reports on HGBL. Lake Street Capital reduced their price target on shares of Heritage Global from $4.50 to $3.00 and set a “buy” rating on the stock in a research report on Friday, August 14th. Weiss Ratings raised shares of Heritage Global from a “sell (d-)” rating to a “sell (d)” rating in a research report on Tuesday, September 8th. One investment analyst has rated the stock with a Buy rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Hold” and an average target price of $3.00.

Heritage Global Stock Down 0.8%

The firm has a market cap of $43.30 million, a price-to-earnings ratio of -3.05 and a beta of 0.45. The stock has a 50-day moving average of $1.29 and a 200-day moving average of $1.28. The company has a current ratio of 1.69, a quick ratio of 1.29 and a debt-to-equity ratio of 0.08.

Heritage Global (NASDAQ:HGBL) last issued its earnings results on Thursday, August 13th. The company reported ($0.46) earnings per share for the quarter, missing the consensus estimate of $0.04 by ($0.50). Heritage Global had a positive return on equity of 6.12% and a negative net margin of 29.63%. The company had revenue of $12.27 million during the quarter, compared to analyst estimates of $13.29 million.

Insider Activity

In other news, Director William L. Burnham purchased 300,000 shares of the company’s stock in a transaction on Friday, September 25th. The shares were bought at an average price of $1.33 per share, for a total transaction of $399,000.00. Following the completion of the purchase, the director owned 300,000 shares of the company’s stock, valued at $399,000. This trade represents a ∞ increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Ross Dove sold 300,000 shares of the firm’s stock in a transaction that occurred on Friday, September 25th. The shares were sold at an average price of $1.33, for a total transaction of $399,000.00. Following the completion of the sale, the chief executive officer owned 2,021,917 shares in the company, valued at $2,689,149.61. The trade was a 12.92% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 15.60% of the company’s stock.

Hedge Funds Weigh In On Heritage Global

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Punch & Associates Investment Management Inc. bought a new position in shares of Heritage Global in the second quarter worth $2,446,000. Militia Capital Management LLC acquired a new position in shares of Heritage Global during the first quarter valued at $767,000. Evernest Financial Advisors LLC bought a new stake in shares of Heritage Global during the first quarter valued at about $274,000. Finally, BlackRock Inc. bought a new stake in shares of Heritage Global during the second quarter valued at about $204,000. 33.46% of the stock is owned by institutional investors.

Heritage Global Company Profile

Heritage Global, Inc (NASDAQ:HGBL) is an asset services company that specializes in the valuation, marketing and disposition of surplus, underutilized and distressed assets. The company serves businesses, lenders, insolvency professionals and other organizations seeking to sell or acquire industrial equipment, machinery, inventory and other tangible assets.

Through its operating businesses, including Heritage Global Partners, the company provides auction and liquidation services, negotiated sales, asset advisory services and valuation expertise.