Icahn Enterprises (NASDAQ:IEP) Shares Gap Down – Here’s Why

Icahn Enterprises L.P. (NASDAQ:IEP) gapped down prior to trading on Monday . The stock had previously closed at $8.11, but opened at $7.62. Icahn Enterprises shares last traded at $7.60, with a volume of 434,819 shares trading hands.

Analysts Set New Price Targets

IEP has been the subject of several analyst reports. Weiss Ratings reissued a “sell (e+)” rating on shares of Icahn Enterprises in a research note on Monday, December 29th. Wall Street Zen cut Icahn Enterprises from a “buy” rating to a “hold” rating in a research note on Saturday, February 28th. One investment analyst has rated the stock with a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of “Reduce”.

Icahn Enterprises Trading Down 5.8%

The company has a debt-to-equity ratio of 1.93, a quick ratio of 4.17 and a current ratio of 4.17. The company’s 50-day moving average price is $7.89 and its 200-day moving average price is $8.07. The firm has a market capitalization of $4.87 billion, a PE ratio of -12.73 and a beta of 0.81.

Icahn Enterprises (NASDAQ:IEP) last posted its quarterly earnings results on Wednesday, February 25th. The conglomerate reported $0.00 earnings per share for the quarter, missing analysts’ consensus estimates of $0.17 by ($0.17). The business had revenue of $2.70 billion during the quarter, compared to analyst estimates of $2.46 billion. Icahn Enterprises had a negative net margin of 2.98% and a negative return on equity of 8.22%. On average, sell-side analysts expect that Icahn Enterprises L.P. will post -0.55 earnings per share for the current year.

Icahn Enterprises Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, April 15th. Stockholders of record on Monday, March 9th will be given a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a dividend yield of 26.2%. The ex-dividend date of this dividend is Monday, March 9th. Icahn Enterprises’s dividend payout ratio (DPR) is -333.33%.

Hedge Funds Weigh In On Icahn Enterprises

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Icahn Carl C increased its stake in Icahn Enterprises by 5.9% in the fourth quarter. Icahn Carl C now owns 549,400,539 shares of the conglomerate’s stock valued at $4,147,974,000 after purchasing an additional 30,467,595 shares during the last quarter. First Trust Advisors LP boosted its holdings in shares of Icahn Enterprises by 22.1% in the 2nd quarter. First Trust Advisors LP now owns 884,514 shares of the conglomerate’s stock valued at $7,116,000 after buying an additional 160,183 shares in the last quarter. Geode Capital Management LLC boosted its holdings in shares of Icahn Enterprises by 6.6% in the 4th quarter. Geode Capital Management LLC now owns 544,737 shares of the conglomerate’s stock valued at $4,113,000 after buying an additional 33,537 shares in the last quarter. Jump Financial LLC purchased a new position in shares of Icahn Enterprises in the 4th quarter valued at $1,353,000. Finally, Invesco Ltd. acquired a new stake in Icahn Enterprises during the 4th quarter worth $1,074,000. 87.09% of the stock is owned by institutional investors and hedge funds.

About Icahn Enterprises

Icahn Enterprises L.P. (NASDAQ: IEP) is a diversified holding company based in New York City. Controlled by veteran investor Carl C. Icahn, the partnership makes strategic investments and owns wholly or partially controlled subsidiaries across a broad range of industries. With a flexible capital structure, Icahn Enterprises seeks to generate long-term value through active ownership, asset optimization and operational improvements.

The company reports its activities through five principal business segments.