Stock Buyback Program Initiated by The Gym Group (LON:GYM)

The Gym Group (LON:GYM) announced that its Board of Directors has approved a share buyback plan on Thursday, January 15th, RTT News reports. The company plans to buyback 0 shares. This buyback authorization allows the company to reacquire shares of its stock through open market purchases. Stock buyback plans are generally a sign that the company’s management believes its stock is undervalued.

The Gym Group Stock Performance

The Gym Group stock traded up GBX 2 during trading on Thursday, hitting GBX 164. The stock had a trading volume of 427,231 shares, compared to its average volume of 242,871. The stock’s 50 day moving average is GBX 146.27 and its two-hundred day moving average is GBX 145.69. The Gym Group has a 1 year low of GBX 119 and a 1 year high of GBX 168. The stock has a market cap of £288.36 million, a price-to-earnings ratio of 40.00, a price-to-earnings-growth ratio of -12.95 and a beta of 1.75. The company has a quick ratio of 0.27, a current ratio of 0.20 and a debt-to-equity ratio of 307.68.

Wall Street Analyst Weigh In

A number of research analysts have weighed in on the stock. Jefferies Financial Group reaffirmed a “buy” rating and issued a GBX 180 price objective on shares of The Gym Group in a research note on Thursday, October 16th. Berenberg Bank upped their target price on shares of The Gym Group from GBX 195 to GBX 200 and gave the stock a “buy” rating in a report on Wednesday, September 17th. Four investment analysts have rated the stock with a Buy rating, According to MarketBeat, The Gym Group currently has a consensus rating of “Buy” and an average target price of GBX 195.

The Gym Group Company Profile

The Gym Group plc, together with its subsidiaries, operates a network of gym facilities under the Gym Group brand name in the United Kingdom. The company was founded in 2007 and is based in Croydon, the United Kingdom.