Melrose Industries (LON:MRO) Shares Down 11.3% – Should You Sell?

Melrose Industries PLC (LON:MRO) dropped 11.3% on Friday . The company traded as low as GBX 556.40 ($7.17) and last traded at GBX 603 ($7.77). Approximately 16,228,400 shares traded hands during mid-day trading, an increase of 72% from the average daily volume of 9,413,459 shares. The stock had previously closed at GBX 680 ($8.76).

Wall Street Analyst Weigh In

Separately, JPMorgan Chase & Co. reissued an “overweight” rating and set a GBX 850 ($10.95) price target on shares of Melrose Industries in a research note on Thursday, January 23rd. Two analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of GBX 640 ($8.25).

Melrose Industries Stock Performance

The company has a debt-to-equity ratio of 44.03, a current ratio of 0.86 and a quick ratio of 0.45. The firm has a market capitalization of £7.14 billion, a P/E ratio of -186.96, a P/E/G ratio of 0.48 and a beta of 1.51. The stock’s 50 day moving average is GBX 596.37 and its two-hundred day moving average is GBX 530.69.

Melrose Industries (LON:MRO) last posted its quarterly earnings results on Thursday, March 6th. The company reported GBX 26.80 ($0.35) earnings per share for the quarter. Melrose Industries had a negative net margin of 1.13% and a negative return on equity of 1.18%. As a group, equities analysts anticipate that Melrose Industries PLC will post 33.9741641 earnings per share for the current fiscal year.

Insider Buying and Selling at Melrose Industries

In other Melrose Industries news, insider David Lis sold 7,950 shares of the company’s stock in a transaction that occurred on Monday, December 9th. The shares were sold at an average price of GBX 566 ($7.29), for a total value of £44,997 ($57,985.82). Insiders own 1.00% of the company’s stock.

About Melrose Industries

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.