Drax Group (LON:DRX) Hits New 1-Year High – Should You Buy?

Drax Group plc (LON:DRX) hit a new 52-week high during mid-day trading on Tuesday . The company traded as high as GBX 839.50 and last traded at GBX 839.50, with a volume of 436845 shares changing hands. The stock had previously closed at GBX 835.

Wall Street Analysts Forecast Growth

Several equities analysts have issued reports on DRX shares. Royal Bank Of Canada restated an “outperform” rating and issued a GBX 950 price target on shares of Drax Group in a research report on Wednesday, November 5th. Citigroup raised shares of Drax Group to a “buy” rating and boosted their price objective for the stock from GBX 689 to GBX 850 in a research note on Wednesday, December 3rd. Three equities research analysts have rated the stock with a Buy rating, According to MarketBeat.com, the company currently has a consensus rating of “Buy” and an average target price of GBX 933.33.

Drax Group Stock Performance

The company’s 50-day moving average price is GBX 755.84 and its two-hundred day moving average price is GBX 710.43. The company has a market capitalization of £2.87 billion, a price-to-earnings ratio of 7.81, a PEG ratio of 0.10 and a beta of 1.22. The company has a debt-to-equity ratio of 64.11, a current ratio of 1.26 and a quick ratio of 0.32.

About Drax Group

Drax Group plc, together with its subsidiaries, engages in renewable power generation in the United Kingdom. It operates through three segments: Pellet Production, Generation, and Customers. The Pellet Production segment produces and sells biomass pellets. The Generation segment provides renewable, dispatchable power, and system support services to the electricity grid. The Customers segment supplies electricity and gas to non-domestic customers. The company owns and operates Drax Power Station located in Selby, North Yorkshire; Cruachan Power Station, a pumped storage hydro station, with an installed capacity of 440 megawatts (MW) located in Argyll and Bute; and Lanark and Galloway hydro-electric power stations with an installed capacity of 126 MW located in southwest Scotland.