Diageo (NYSE:DEO) Shares Gap Up – Still a Buy?

Diageo plc (NYSE:DEO) shares gapped up prior to trading on Tuesday . The stock had previously closed at $81.67, but opened at $84.90. Diageo shares last traded at $84.4780, with a volume of 236,115 shares changing hands.

Analyst Ratings Changes

A number of brokerages have weighed in on DEO. Deutsche Bank Aktiengesellschaft upgraded shares of Diageo from a “hold” rating to a “buy” rating in a research report on Tuesday, March 31st. Weiss Ratings restated a “sell (d)” rating on shares of Diageo in a research note on Monday, April 20th. TD Cowen raised Diageo from a “hold” rating to a “buy” rating and upped their price target for the stock from $88.00 to $93.00 in a report on Thursday, June 25th. Loop Capital set a $99.00 price target on Diageo in a research report on Thursday, June 18th. Finally, Zacks Research upgraded Diageo from a “strong sell” rating to a “hold” rating in a research report on Monday, March 23rd. Six investment analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Diageo has an average rating of “Hold” and an average target price of $106.25.

Diageo Stock Performance

The company has a quick ratio of 0.71, a current ratio of 1.60 and a debt-to-equity ratio of 1.53. The company has a fifty day moving average of $81.82 and a 200-day moving average of $84.16.

Hedge Funds Weigh In On Diageo

Hedge funds and other institutional investors have recently made changes to their positions in the company. Brighton Jones LLC acquired a new stake in Diageo during the 4th quarter worth $202,000. Russell Investments Group Ltd. lifted its stake in shares of Diageo by 17.0% in the second quarter. Russell Investments Group Ltd. now owns 3,952 shares of the company’s stock worth $399,000 after buying an additional 574 shares in the last quarter. Invesco Ltd. boosted its position in Diageo by 5.3% during the second quarter. Invesco Ltd. now owns 212,004 shares of the company’s stock worth $21,379,000 after acquiring an additional 10,653 shares during the last quarter. EverSource Wealth Advisors LLC grew its stake in Diageo by 87.3% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,234 shares of the company’s stock valued at $124,000 after acquiring an additional 575 shares in the last quarter. Finally, Jump Financial LLC purchased a new stake in Diageo during the 2nd quarter valued at about $444,000. Hedge funds and other institutional investors own 8.97% of the company’s stock.

About Diageo

Diageo plc is a global producer, marketer and distributor of alcoholic beverages, headquartered in London, England. The company was created through the 1997 merger of Guinness plc and Grand Metropolitan plc and is publicly traded on multiple exchanges, including the New York Stock Exchange (NYSE: DEO) and the London Stock Exchange. Diageo operates a worldwide business, selling products in a broad range of markets across the Americas, Europe, Africa, Asia and Latin America.

Diageo’s core activities cover the production, marketing and sale of a diverse portfolio of spirits, beer and liqueurs.