Softcat (LON:SCT) Stock Price Crosses Above 200 Day Moving Average – Should You Sell?

Softcat plc (LON:SCT) crossed above its 200-day moving average during trading on Wednesday. The stock has a 200-day moving average of GBX 1,612.16 and traded as high as GBX 1,635. Softcat shares last traded at GBX 1,614, with a volume of 39,728,984 shares trading hands.

Analysts Set New Price Targets

Several research firms recently weighed in on SCT. Berenberg Bank reaffirmed a “buy” rating and issued a GBX 2,400 price objective on shares of Softcat in a report on Friday, October 16th. JPMorgan Chase & Co. upped their price target on shares of Softcat from GBX 1,950 to GBX 2,300 and gave the stock an “overweight” rating in a research note on Monday, September 7th. Jefferies Financial Group reaffirmed a “hold” rating and set a GBX 1,700 price target on shares of Softcat in a research note on Wednesday, October 14th. Finally, Deutsche Bank Aktiengesellschaft downgraded Softcat to a “hold” rating and boosted their price objective for the stock from GBX 1,800 to GBX 2,140 in a research note on Wednesday, August 26th. Four analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat.com, Softcat has a consensus rating of “Moderate Buy” and a consensus price target of GBX 2,104.17.

Softcat Price Performance

The company has a market cap of £3.50 billion, a price-to-earnings ratio of 23.24, a P/E/G ratio of 11.51 and a beta of 0.60. The company has a current ratio of 1.39, a quick ratio of 1.38 and a debt-to-equity ratio of 10.41. The business has a 50-day moving average price of GBX 1,837.88 and a 200 day moving average price of GBX 1,612.16.

Softcat (LON:SCT) last issued its earnings results on Wednesday, October 14th. The company reported GBX 75.80 earnings per share (EPS) for the quarter. Softcat had a return on equity of 46.24% and a net margin of 7.61%. As a group, research analysts expect that Softcat plc will post 60.72 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, insider Robyn Perriss purchased 1,058 shares of the company’s stock in a transaction that occurred on Friday, October 16th. The shares were purchased at an average price of GBX 1,890 per share, with a total value of £19,996.20. Also, insider Mayank Prakash purchased 2,645 shares of the company’s stock in a transaction that occurred on Friday, October 16th. The stock was bought at an average cost of GBX 1,890 per share, for a total transaction of £49,990.50. Insiders have acquired a total of 12,816 shares of company stock worth $24,246,219 over the last three months. Company insiders own 2.91% of the company’s stock.

Softcat Company Profile

Softcat plc operates as a value-added IT reseller and IT infrastructure solutions provider in the United Kingdom. The company advices, procures, designs, implements, and manages technology, such as software licensing, workplace technology, networking, security, and cloud and datacenter for businesses and public sector organizations. It also offers public cloud, collaboration, connectivity, data centre and private cloud, devices, and financial solution services. In addition, the company provides IT asset management, lifecycle solutions, modern management, security, software licensing, supply chain operation, and virtual desktop and application.