Glencore (LON:GLEN) Trading Down 5% Following Analyst Downgrade

Glencore plc (LON:GLEN) shares were down 5% during mid-day trading on Wednesday after Berenberg Bank lowered their price target on the stock from GBX 400 to GBX 380. Berenberg Bank currently has a buy rating on the stock. Glencore traded as low as GBX 237.88 ($3.16) and last traded at GBX 250.65 ($3.33). Approximately 114,973,375 shares traded hands during trading, an increase of 141% from the average daily volume of 47,658,914 shares. The stock had previously closed at GBX 263.90 ($3.51).

Several other brokerages have also issued reports on GLEN. Morgan Stanley upgraded Glencore to an “overweight” rating and set a GBX 470 ($6.24) price objective for the company in a research report on Tuesday, February 18th. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and set a GBX 480 ($6.38) price objective on shares of Glencore in a research report on Thursday, February 20th. Finally, Royal Bank of Canada reduced their target price on shares of Glencore from GBX 480 ($6.38) to GBX 440 ($5.85) and set an “outperform” rating for the company in a research note on Thursday, February 20th. Five research analysts have rated the stock with a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Buy” and a consensus target price of GBX 454 ($6.03).

Insider Activity

In other news, insider Martin J. Gilbert purchased 5,000 shares of Glencore stock in a transaction dated Friday, April 4th. The shares were bought at an average cost of GBX 233 ($3.10) per share, for a total transaction of £11,650 ($15,477.61). Also, insider Liz Hewitt acquired 50,000 shares of the firm’s stock in a transaction that occurred on Friday, March 21st. The stock was bought at an average price of GBX 302 ($4.01) per share, with a total value of £151,000 ($200,611.13). In the last three months, insiders purchased 70,000 shares of company stock worth $20,540,000. 10.35% of the stock is currently owned by company insiders.

Glencore Stock Up 0.0 %

The company has a market capitalization of £37.30 billion, a P/E ratio of -68.48, a PEG ratio of 0.43 and a beta of 1.21. The stock has a 50 day moving average price of GBX 283.54 and a 200 day moving average price of GBX 341.92. The company has a debt-to-equity ratio of 77.14, a quick ratio of 0.32 and a current ratio of 1.30.

Glencore Cuts Dividend

The business also recently declared a dividend, which will be paid on Friday, September 19th. Stockholders of record on Thursday, August 28th will be paid a dividend of $0.05 per share. The ex-dividend date is Thursday, August 28th. This represents a dividend yield of 1.21%. Glencore’s payout ratio is currently -280.06%.

About Glencore

Glencore is one of the world’s largest global diversified natural resource companies and a major producer and marketer of more than 60 commodities that advance everyday life. Through a network of assets, customers and suppliers that spans the globe, we produce, process, recycle, source, market and distribute the commodities that support decarbonisation while meeting the energy needs of today.