Babcock (NYSE:BW) Shares Gap Down – Should You Sell?

Babcock (NYSE:BW) gapped down prior to trading on Monday . The stock had previously closed at $7.94, but opened at $7.33. Babcock shares last traded at $7.2060, with a volume of 739,882 shares.

Analysts Set New Price Targets

BW has been the topic of a number of research reports. Needham & Company LLC began coverage on shares of Babcock in a research report on Monday, August 31st. They set a “buy” rating and a $20.00 target price on the stock. Wall Street Zen lowered shares of Babcock from a “buy” rating to a “hold” rating in a report on Sunday, August 23rd. Finally, Weiss Ratings upgraded shares of Babcock from a “sell (d-)” rating to a “sell (d+)” rating in a research report on Tuesday, August 11th. Four equities research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Babcock presently has an average rating of “Hold” and an average price target of $15.40.

Babcock Stock Performance

The firm has a fifty day moving average of $9.15 and a 200-day moving average of $13.38. The firm has a market cap of $1.06 billion, a P/E ratio of -39.03 and a beta of 1.19. The company has a quick ratio of 1.33, a current ratio of 1.45 and a debt-to-equity ratio of 4.21.

Babcock (NYSE:BW) last announced its quarterly earnings data on Monday, August 10th. The technology company reported $0.04 earnings per share for the quarter, topping the consensus estimate of $0.02 by $0.02. Babcock had a negative return on equity of 4.51% and a negative net margin of 2.17%.The firm had revenue of $319.72 million during the quarter, compared to analysts’ expectations of $196.95 million. Research analysts predict that Babcock will post 0.27 earnings per share for the current fiscal year.

Insider Activity at Babcock

In other Babcock news, Director Philip Moeller purchased 5,000 shares of the stock in a transaction dated Thursday, August 13th. The stock was bought at an average price of $9.50 per share, for a total transaction of $47,500.00. Following the transaction, the director directly owned 240,809 shares in the company, valued at $2,287,685.50. This represents a 2.12% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available at the SEC website. 2.80% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Babcock

A number of hedge funds and other institutional investors have recently bought and sold shares of BW. Engineers Gate Manager LP grew its holdings in Babcock by 116.1% during the 2nd quarter. Engineers Gate Manager LP now owns 53,109 shares of the technology company’s stock worth $749,000 after acquiring an additional 28,528 shares during the period. Integrated Wealth Concepts LLC bought a new stake in shares of Babcock during the 2nd quarter valued at $25,000. Arizona State Retirement System acquired a new position in shares of Babcock in the 2nd quarter valued at $428,000. California State Teachers Retirement System acquired a new position in shares of Babcock in the 2nd quarter valued at $25,159,000. Finally, Readystate Asset Management LP acquired a new position in shares of Babcock in the 2nd quarter valued at $1,900,000. 83.17% of the stock is owned by institutional investors.

About Babcock

Babcock & Wilcox Enterprises, Inc (NYSE: BW) is an energy and environmental technology company that provides equipment, technologies and services for power generation and industrial applications. The company serves utilities, industrial operators and other customers seeking to generate energy, improve operating efficiency and reduce emissions.

Its offerings include steam generation systems, boilers, replacement parts, maintenance and engineering services, as well as technologies for controlling air pollution and managing solid waste.