Softcat (LON:SCT) Hits New 12-Month Low – Should You Sell?

Softcat plc (LON:SCT) hit a new 52-week low during trading on Friday . The company traded as low as GBX 1,380 and last traded at GBX 1,381, with a volume of 128801 shares trading hands. The stock had previously closed at GBX 1,417.

Analyst Ratings Changes

Several brokerages recently weighed in on SCT. JPMorgan Chase & Co. upgraded Softcat to an “overweight” rating and increased their target price for the company from GBX 2,820 to GBX 2,950 in a report on Thursday, December 4th. Deutsche Bank Aktiengesellschaft raised shares of Softcat to a “buy” rating and upped their target price for the stock from GBX 1,830 to GBX 1,900 in a research report on Thursday, October 23rd. UBS Group reiterated a “sell” rating and set a GBX 1,400 price objective on shares of Softcat in a research note on Friday, October 17th. Jefferies Financial Group upped their target price on shares of Softcat from GBX 1,400 to GBX 1,450 and gave the stock an “underperform” rating in a research note on Thursday, October 23rd. Finally, Peel Hunt reissued a “buy” rating and set a GBX 2,135 price target on shares of Softcat in a research report on Tuesday, November 18th. Six analysts have rated the stock with a Buy rating, one has given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, Softcat has a consensus rating of “Hold” and an average target price of GBX 1,902.22.

Softcat Stock Performance

The business has a 50-day moving average of GBX 1,468.28 and a 200 day moving average of GBX 1,568.55. The company has a debt-to-equity ratio of 3.48, a current ratio of 1.60 and a quick ratio of 1.38. The company has a market cap of £2.73 billion, a PE ratio of 20.71, a PEG ratio of 11.51 and a beta of 0.71.

Softcat (LON:SCT) last released its quarterly earnings results on Wednesday, October 22nd. The company reported GBX 69.50 earnings per share (EPS) for the quarter. Softcat had a return on equity of 43.79% and a net margin of 12.37%. Equities research analysts anticipate that Softcat plc will post 60.72 EPS for the current fiscal year.

Insider Activity

In other news, insider Graeme Watt sold 20,213 shares of Softcat stock in a transaction dated Thursday, December 11th. The stock was sold at an average price of GBX 1,429, for a total value of £288,843.77. Also, insider Graham Charlton sold 15,919 shares of the stock in a transaction that occurred on Friday, December 12th. The shares were sold at an average price of GBX 1,456, for a total value of £231,780.64. Insiders have sold a total of 46,069 shares of company stock valued at $66,262,414 in the last three months. Insiders own 2.81% of the company’s stock.

Softcat Company Profile

Softcat plc operates as a value-added IT reseller and IT infrastructure solutions provider in the United Kingdom. The company advices, procures, designs, implements, and manages technology, such as software licensing, workplace technology, networking, security, and cloud and datacenter for businesses and public sector organizations. It also offers public cloud, collaboration, connectivity, data centre and private cloud, devices, and financial solution services. In addition, the company provides IT asset management, lifecycle solutions, modern management, security, software licensing, supply chain operation, and virtual desktop and application.