Ermenegildo Zegna (NYSE:ZGN) Shares Gap Up – Still a Buy?

Ermenegildo Zegna N.V. (NYSE:ZGN) shares gapped up prior to trading on Tuesday . The stock had previously closed at $13.48, but opened at $14.00. Ermenegildo Zegna shares last traded at $13.52, with a volume of 409,934 shares traded.

Analyst Ratings Changes

Several research firms have recently weighed in on ZGN. Weiss Ratings restated a “hold (c)” rating on shares of Ermenegildo Zegna in a report on Monday, April 20th. Wall Street Zen downgraded shares of Ermenegildo Zegna from a “buy” rating to a “hold” rating in a research report on Sunday, June 21st. The Goldman Sachs Group lowered shares of Ermenegildo Zegna from a “buy” rating to a “neutral” rating and boosted their target price for the stock from $13.30 to $14.00 in a report on Wednesday, June 17th. JPMorgan Chase & Co. raised their price target on shares of Ermenegildo Zegna from $12.50 to $14.00 and gave the company an “overweight” rating in a research note on Tuesday, June 30th. Finally, TD Cowen raised shares of Ermenegildo Zegna from a “hold” rating to a “buy” rating and boosted their price objective for the stock from $13.00 to $15.00 in a research note on Wednesday, May 20th. Five research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $13.01.

Ermenegildo Zegna Stock Performance

The company has a debt-to-equity ratio of 0.15, a current ratio of 1.59 and a quick ratio of 0.91. The stock’s 50-day moving average price is $13.45 and its 200-day moving average price is $11.57.

Ermenegildo Zegna Cuts Dividend

The company also recently declared an annual dividend, which will be paid on Wednesday, July 29th. Shareholders of record on Monday, July 6th will be given a dividend of $0.12 per share. The ex-dividend date of this dividend is Monday, July 6th. This represents a yield of 102.0%.

Insiders Place Their Bets

In other Ermenegildo Zegna news, Director Alessandro Sartori sold 6,505 shares of the business’s stock in a transaction that occurred on Friday, May 8th. The stock was sold at an average price of $13.12, for a total value of $85,345.60. Following the transaction, the director directly owned 142,237 shares of the company’s stock, valued at approximately $1,866,149.44. The trade was a 4.37% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Gian Franco Santhia sold 5,768 shares of Ermenegildo Zegna stock in a transaction on Friday, May 8th. The shares were sold at an average price of $13.12, for a total transaction of $75,676.16. Following the completion of the sale, the chief financial officer owned 44,448 shares of the company’s stock, valued at $583,157.76. This represents a 11.49% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders sold 31,378 shares of company stock worth $411,679. Company insiders own 1.20% of the company’s stock.

Hedge Funds Weigh In On Ermenegildo Zegna

Institutional investors have recently made changes to their positions in the stock. Millennium Management LLC raised its stake in shares of Ermenegildo Zegna by 182.8% in the first quarter. Millennium Management LLC now owns 1,149,055 shares of the company’s stock worth $8,503,000 after purchasing an additional 742,680 shares during the last quarter. Goldman Sachs Group Inc. raised its position in Ermenegildo Zegna by 22.7% in the 1st quarter. Goldman Sachs Group Inc. now owns 134,503 shares of the company’s stock valued at $995,000 after buying an additional 24,862 shares during the last quarter. Jane Street Group LLC bought a new position in Ermenegildo Zegna during the 1st quarter valued at $1,161,000. Geode Capital Management LLC purchased a new position in Ermenegildo Zegna during the 2nd quarter worth $6,245,000. Finally, JPMorgan Chase & Co. grew its stake in shares of Ermenegildo Zegna by 59,691.8% in the 2nd quarter. JPMorgan Chase & Co. now owns 29,298 shares of the company’s stock worth $250,000 after acquiring an additional 29,249 shares in the last quarter. Institutional investors and hedge funds own 12.91% of the company’s stock.

Ermenegildo Zegna Company Profile

Ermenegildo Zegna is a global luxury fashion house specializing in men’s tailored clothing, casualwear, accessories, footwear and fragrances. With a focus on high-quality fabrics and craftsmanship, the company manages the entire value chain from wool sourcing and textile production to garment design, manufacturing and retail distribution.

Founded in 1910 by Ermenegildo Zegna in Trivero, Italy, the company began as a textile mill dedicated to producing fine wool fabrics. Over the decades it expanded into ready-to-wear clothing and built a reputation for sartorial excellence.