The Sage Group (LON:SGE) Reaches New 1-Year Low – What’s Next?

The Sage Group plc (LON:SGE)’s stock price hit a new 52-week low during trading on Tuesday . The stock traded as low as GBX 944 and last traded at GBX 946.60, with a volume of 8915379 shares trading hands. The stock had previously closed at GBX 965.60.

Analyst Ratings Changes

Several brokerages have recently commented on SGE. Jefferies Financial Group boosted their price objective on The Sage Group from GBX 1,320 to GBX 1,350 and gave the stock a “buy” rating in a report on Thursday, November 20th. JPMorgan Chase & Co. decreased their price target on shares of The Sage Group from GBX 1,500 to GBX 1,300 and set an “overweight” rating on the stock in a report on Thursday, December 4th. Deutsche Bank Aktiengesellschaft dropped their price objective on shares of The Sage Group from GBX 1,200 to GBX 1,150 and set a “hold” rating for the company in a report on Wednesday, January 28th. Canaccord Genuity Group raised The Sage Group to a “buy” rating and increased their target price for the company from GBX 1,100 to GBX 1,135 in a research note on Monday. Finally, Shore Capital reaffirmed a “hold” rating on shares of The Sage Group in a research note on Tuesday, January 27th. Three investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of GBX 1,247.

The Sage Group Stock Performance

The company has a market cap of £8.79 billion, a P/E ratio of 24.89, a price-to-earnings-growth ratio of 1.22 and a beta of 0.53. The business has a 50 day moving average price of GBX 1,059.76 and a two-hundred day moving average price of GBX 1,104.69. The company has a debt-to-equity ratio of 114.00, a quick ratio of 0.58 and a current ratio of 0.76.

The Sage Group (LON:SGE) last announced its quarterly earnings results on Wednesday, November 19th. The company reported GBX 43.20 EPS for the quarter. The Sage Group had a return on equity of 24.48% and a net margin of 11.87%. On average, sell-side analysts anticipate that The Sage Group plc will post 42.1496095 earnings per share for the current year.

The Sage Group declared that its board has initiated a share repurchase plan on Wednesday, November 19th that permits the company to repurchase 0 outstanding shares. This repurchase authorization permits the company to buy shares of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s management believes its shares are undervalued.

Insider Transactions at The Sage Group

In related news, insider Steve Hare sold 127,828 shares of the firm’s stock in a transaction dated Wednesday, December 3rd. The stock was sold at an average price of GBX 1,065, for a total value of £1,361,368.20. Also, insider Jonathan Howell sold 88,727 shares of the business’s stock in a transaction dated Wednesday, December 3rd. The shares were sold at an average price of GBX 1,065, for a total value of £944,942.55. Corporate insiders own 0.95% of the company’s stock.

The Sage Group Company Profile

The Sage Group plc, together with its subsidiaries, provides technology solutions and services for small and medium businesses in the United States, the United Kingdom, France, and internationally. It offers cloud native solutions, such as Sage Intacct, a cloud accounting software product and financial management software; Sage People, a HR and people management solution; Sage 200, a finance and business management solution; Sage X3, a business management solution; Sage Accounting, a solution for small businesses, accountants, and bookkeepers to manage customer data, accounts, and people; Sage Payroll for small businesses manage their payroll; and Sage HR for small and mid-sized businesses for record management, leave management, staff scheduling, and expenses services.