AllianceBernstein (NYSE:AB) Shares Gap Down – Time to Sell?

AllianceBernstein Holding L.P. (NYSE:AB) gapped down prior to trading on Wednesday . The stock had previously closed at $37.02, but opened at $35.71. AllianceBernstein shares last traded at $36.0250, with a volume of 85,344 shares trading hands.

Analyst Upgrades and Downgrades

A number of brokerages have recently issued reports on AB. Barclays lowered their target price on shares of AllianceBernstein from $40.00 to $39.00 and set an “equal weight” rating on the stock in a research report on Wednesday, April 29th. Zacks Research raised shares of AllianceBernstein from a “strong sell” rating to a “hold” rating in a research report on Monday, June 29th. TD Cowen lifted their price objective on shares of AllianceBernstein from $37.00 to $38.00 and gave the company a “hold” rating in a research note on Monday, July 20th. Evercore set a $39.00 price objective on shares of AllianceBernstein in a research note on Friday, July 10th. Finally, Weiss Ratings cut shares of AllianceBernstein from a “hold (c+)” rating to a “hold (c)” rating in a report on Monday, August 3rd. Two research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat, the stock has an average rating of “Hold” and an average price target of $39.50.

AllianceBernstein Trading Up 0.5%

The firm has a 50 day simple moving average of $36.74 and a two-hundred day simple moving average of $38.13. The company has a market capitalization of $3.41 billion, a PE ratio of 10.84, a P/E/G ratio of 1.19 and a beta of 0.80.

AllianceBernstein (NYSE:AB) last released its earnings results on Friday, July 31st. The asset manager reported $0.82 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.83 by ($0.01). AllianceBernstein had a net margin of 6.60% and a return on equity of 25.94%. The company had revenue of $887.55 million during the quarter, compared to analyst estimates of $907.67 million. During the same period in the previous year, the firm posted $0.76 EPS. The company’s revenue for the quarter was up 7.5% on a year-over-year basis. Research analysts expect that AllianceBernstein Holding L.P. will post 3.48 earnings per share for the current fiscal year.

AllianceBernstein Cuts Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, August 27th. Shareholders of record on Wednesday, August 12th will be paid a $0.82 dividend. This represents a $3.28 annualized dividend and a yield of 8.9%. The ex-dividend date of this dividend is Wednesday, August 12th. AllianceBernstein’s payout ratio is currently 97.04%.

Insider Buying and Selling

In other AllianceBernstein news, Director Charles G.T. Stonehill sold 5,000 shares of the company’s stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $37.17, for a total transaction of $185,850.00. Following the completion of the transaction, the director owned 24,573 shares in the company, valued at approximately $913,378.41. This represents a 16.91% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 2.70% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the company. Gunpowder Capital Management LLC dba Oliver Wealth Management purchased a new position in AllianceBernstein during the fourth quarter worth about $28,000. Axiom Investment Management LLC purchased a new stake in AllianceBernstein in the 1st quarter valued at approximately $28,000. Russell Investments Group Ltd. purchased a new stake in AllianceBernstein in the 2nd quarter valued at approximately $28,000. Fifth Third Bancorp acquired a new position in AllianceBernstein during the 2nd quarter worth approximately $29,000. Finally, Ascentis Independent Advisors acquired a new position in AllianceBernstein during the 1st quarter worth approximately $30,000. 19.25% of the stock is currently owned by institutional investors and hedge funds.

AllianceBernstein Company Profile

AllianceBernstein is a global investment management firm that offers a broad range of research-driven strategies across equities, fixed income, multi-asset solutions and alternative investments. The firm provides active and quantitative portfolio management, drawing on in-house research capabilities to serve the needs of institutional clients, private wealth investors and intermediaries. Its product lineup encompasses mutual funds, separately managed accounts and customized investment vehicles designed to meet diverse risk-return objectives.

The firm’s roots date back to 1967 with the founding of Sanford C.