Auction Technology Group (LON:ATG) Stock Price Up 12.6% – Still a Buy?

Auction Technology Group plc (LON:ATG)’s share price shot up 12.6% during trading on Saturday . The company traded as high as GBX 370 and last traded at GBX 362. 1,920,300 shares were traded during trading, an increase of 100% from the average session volume of 958,306 shares. The stock had previously closed at GBX 321.50.

Trending Headlines about Auction Technology Group

Here are the key news stories impacting Auction Technology Group this week:

• Positive Sentiment: Reports that FitzWalter has increased its takeover bid for ATG — this directly drove buying as investors expect a higher, near-term cash exit for shareholders. Auction Technology shares rise as FitzWalter increases takeover bid
• Positive Sentiment: Coverage saying FitzWalter is considering an increased takeover offer — market participants interpret this as rising takeover probability and potential upward pressure on the final deal price. Auction Technology surges as FitzWalter considers increased takeover offer
• Positive Sentiment: News that a shareholder indicated a higher offer proposal — this kind of signalling often lifts the stock as traders front-run a confirmed higher bid. Auction Technology Shares Jump After Shareholder Indicates Higher Offer Proposal
• Positive Sentiment: International outlets report the stock “soared” after the increased offer was publicised — reinforcing that the market reaction is broad-based and liquidity has picked up. Auction Technology Group stock soars after increased takeover offer
• Positive Sentiment: Reports quantify the raised buyout value (headline of ~$658m) — a concrete higher valuation boosts takeover-premium expectations for remaining shareholders. FitzWalter Capital raises buyout bid for UK’s Auction Technology to $658 million
• Neutral Sentiment: Other reports note this is at least the twelfth bid iteration (one article cites ~£491m for a bid) — indicates a drawn-out negotiation with differing reported figures; final terms and timetable remain uncertain. Auction Technology Group’s biggest shareholder tables twelfth bid worth £491m
• Negative Sentiment: Underlying fundamentals remain mixed (negative P/E, below-1 current ratio) — if the takeover stalls or the offer is below some investors’ expectations, those fundamentals could limit upside and increase downside risk.

Analyst Ratings Changes

Several analysts have recently weighed in on ATG shares. JPMorgan Chase & Co. boosted their price target on shares of Auction Technology Group from GBX 690 to GBX 695 and gave the stock an “overweight” rating in a research note on Friday, November 28th. Royal Bank Of Canada dropped their price objective on Auction Technology Group from GBX 415 to GBX 315 and set a “sector perform” rating on the stock in a report on Tuesday, December 2nd. Berenberg Bank reduced their target price on Auction Technology Group from GBX 560 to GBX 460 and set a “buy” rating for the company in a report on Thursday, November 27th. Finally, Peel Hunt lowered their price target on shares of Auction Technology Group from GBX 730 to GBX 460 and set a “buy” rating on the stock in a research note on Tuesday, December 2nd. Four equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of GBX 549.

Auction Technology Group Price Performance

The company has a debt-to-equity ratio of 18.16, a quick ratio of 1.36 and a current ratio of 0.62. The stock has a market capitalization of £438.34 million, a PE ratio of -3.06 and a beta of 1.29. The company’s fifty day simple moving average is GBX 291.14 and its two-hundred day simple moving average is GBX 339.95.

Auction Technology Group Company Profile

Auction Technology Group plc (“ATG”) is the operator of the world’s leading marketplaces and auction services for curated online auctions, seamlessly connecting bidders from around the world to over 3,800 trusted auction houses across two major sectors: Industrial & Commercial (“I&C”) and Art & Antiques (“A&A”).

The Group powers eight online marketplaces and listing sites using its proprietary auction platform technology, hosting in excess of 70,000 live and timed auctions each year. ATG has been supporting the auction industry since 1971 and the Group has offices in the UK, US and Germany.