Diageo (LON:DGE) Hits New 1-Year Low – Should You Sell?

Diageo plc (LON:DGE)’s stock price hit a new 52-week low during mid-day trading on Wednesday . The stock traded as low as GBX 1,420 and last traded at GBX 1,427.50, with a volume of 61708848 shares traded. The stock had previously closed at GBX 1,451.

Analyst Ratings Changes

A number of research analysts have commented on DGE shares. Jefferies Financial Group lowered their target price on Diageo from GBX 2,300 to GBX 2,000 and set a “buy” rating on the stock in a research note on Thursday, January 15th. Deutsche Bank Aktiengesellschaft cut their price target on Diageo from GBX 1,840 to GBX 1,790 and set a “hold” rating for the company in a research note on Friday, November 28th. Royal Bank Of Canada reissued an “outperform” rating and issued a GBX 2,000 price target on shares of Diageo in a research note on Wednesday, March 4th. Finally, JPMorgan Chase & Co. restated a “neutral” rating on shares of Diageo in a report on Thursday, January 22nd. Five research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of GBX 2,111.25.

Diageo Stock Performance

The stock’s 50-day moving average price is GBX 1,663.63 and its 200 day moving average price is GBX 1,728.60. The company has a quick ratio of 0.62, a current ratio of 1.60 and a debt-to-equity ratio of 208.59. The company has a market cap of £31.65 billion, a P/E ratio of 13.16, a price-to-earnings-growth ratio of 1.75 and a beta of 0.17.

Insiders Place Their Bets

In related news, insider Nik Jhangiani sold 27,786 shares of Diageo stock in a transaction on Monday, March 9th. The shares were sold at an average price of GBX 1,500, for a total value of £416,790. Also, insider John Alexander Manzoni bought 432 shares of the business’s stock in a transaction on Tuesday, March 10th. The shares were purchased at an average cost of GBX 1,518 per share, with a total value of £6,557.76. Insiders purchased a total of 1,222 shares of company stock worth $2,013,061 over the last quarter. 0.16% of the stock is currently owned by company insiders.

Diageo Company Profile

Diageo is a global leader in premium drinks, across spirits and beer, a business built on the principles and foundations laid by the giants of the industry.

With over 200 brands sold in 180 countries, our portfolio has remarkable breadth. From centuries-old names to exciting new entrants, and global giants to local legends, we’re building the very best brands out there, and with over 30,000 talented people based in over 135 countries, we’re a truly global company. With such diversity, we’re able to truly represent our broad consumer base and think differently about the future.

To maintain our position as leaders in the alcoholic beverage market, we always invest in the future and are mindful of the impact we have.