The Sage Group (LON:SGE) Hits New 12-Month Low – Should You Sell?

The Sage Group plc (LON:SGE) shares hit a new 52-week low during mid-day trading on Wednesday . The stock traded as low as GBX 818.86 and last traded at GBX 818.86, with a volume of 9571182 shares traded. The stock had previously closed at GBX 845.80.

Wall Street Analyst Weigh In

A number of brokerages have recently weighed in on SGE. Shore Capital Group restated a “hold” rating on shares of The Sage Group in a report on Tuesday, January 27th. Jefferies Financial Group lifted their target price on shares of The Sage Group from GBX 1,320 to GBX 1,350 and gave the stock a “buy” rating in a research report on Thursday, November 20th. Canaccord Genuity Group upgraded shares of The Sage Group to a “buy” rating and upped their price target for the company from GBX 1,100 to GBX 1,135 in a research report on Monday, February 2nd. Deutsche Bank Aktiengesellschaft decreased their price objective on The Sage Group from GBX 1,200 to GBX 1,150 and set a “hold” rating on the stock in a report on Wednesday, January 28th. Finally, JPMorgan Chase & Co. lowered their target price on The Sage Group from GBX 1,500 to GBX 1,300 and set an “overweight” rating for the company in a research note on Thursday, December 4th. Three research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat, The Sage Group presently has an average rating of “Moderate Buy” and a consensus price target of GBX 1,247.

The Sage Group Price Performance

The business’s 50-day simple moving average is GBX 1,023.27 and its 200-day simple moving average is GBX 1,083.93. The stock has a market cap of £7.57 billion, a PE ratio of 21.68, a PEG ratio of 1.22 and a beta of 0.53. The company has a quick ratio of 0.58, a current ratio of 0.76 and a debt-to-equity ratio of 114.00.

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

The Sage Group announced that its board has authorized a stock repurchase plan on Wednesday, November 19th that authorizes the company to repurchase 0 outstanding shares. This repurchase authorization authorizes the company to buy shares of its stock through open market purchases. Stock repurchase plans are typically an indication that the company’s leadership believes its stock is undervalued.

Insider Activity at The Sage Group

In other news, insider Jonathan Howell sold 88,727 shares of the firm’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. Also, insider Steve Hare sold 127,828 shares of The Sage Group stock in a transaction dated Wednesday, December 3rd. The shares were sold at an average price of GBX 1,065, for a total transaction of £1,361,368.20. 0.99% of the stock is currently owned by corporate insiders.

About The Sage Group

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.