Burford Capital’s (BUR) Neutral Rating Reaffirmed at Wedbush

Wedbush restated their neutral rating on shares of Burford Capital (NYSE:BUR) in a research note released on Monday, Marketbeat reports. They currently have a $4.75 price target on the stock, down from their prior price target of $6.00.

A number of other research firms have also recently commented on BUR. Zacks Research cut shares of Burford Capital from a “hold” rating to a “strong sell” rating in a report on Monday, March 2nd. Weiss Ratings reissued a “sell (d+)” rating on shares of Burford Capital in a report on Friday. Bank of America initiated coverage on Burford Capital in a research note on Wednesday, February 18th. They issued a “buy” rating on the stock. Finally, Wall Street Zen cut Burford Capital from a “hold” rating to a “sell” rating in a research report on Sunday, December 21st. Three investment analysts have rated the stock with a Buy rating and two have assigned a Sell rating to the company. According to MarketBeat, Burford Capital has an average rating of “Hold” and a consensus price target of $12.00.

Burford Capital Price Performance

BUR opened at $4.05 on Monday. Burford Capital has a fifty-two week low of $3.59 and a fifty-two week high of $15.10. The firm has a 50-day moving average of $8.69 and a 200 day moving average of $9.61. The company has a debt-to-equity ratio of 0.68, a quick ratio of 10.93 and a current ratio of 10.93. The firm has a market cap of $885.45 million, a P/E ratio of 14.98, a PEG ratio of 0.11 and a beta of 0.66.

Burford Capital (NYSE:BUR) last announced its quarterly earnings data on Thursday, February 26th. The company reported ($0.17) EPS for the quarter, missing the consensus estimate of $0.37 by ($0.54). Burford Capital had a return on equity of 1.97% and a net margin of 15.14%.The company had revenue of $48.78 million during the quarter, compared to the consensus estimate of $168.30 million. On average, research analysts expect that Burford Capital will post 1.28 EPS for the current year.

Burford Capital Announces Dividend

The firm also recently declared a dividend, which will be paid on Friday, June 12th. Stockholders of record on Friday, May 22nd will be given a $0.0625 dividend. The ex-dividend date of this dividend is Friday, May 22nd. This represents a dividend yield of 147.0%. Burford Capital’s payout ratio is 44.44%.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of BUR. Vident Advisory LLC raised its holdings in Burford Capital by 4.8% during the 3rd quarter. Vident Advisory LLC now owns 33,158 shares of the company’s stock valued at $397,000 after acquiring an additional 1,514 shares during the period. Principal Financial Group Inc. boosted its holdings in shares of Burford Capital by 11.4% in the third quarter. Principal Financial Group Inc. now owns 15,003 shares of the company’s stock worth $179,000 after acquiring an additional 1,538 shares during the period. GWN Securities Inc. boosted its holdings in shares of Burford Capital by 15.3% in the fourth quarter. GWN Securities Inc. now owns 12,697 shares of the company’s stock worth $113,000 after acquiring an additional 1,687 shares during the period. Allegheny Financial Group grew its position in shares of Burford Capital by 17.7% in the fourth quarter. Allegheny Financial Group now owns 14,787 shares of the company’s stock valued at $132,000 after purchasing an additional 2,227 shares in the last quarter. Finally, ProShare Advisors LLC grew its position in shares of Burford Capital by 6.9% in the fourth quarter. ProShare Advisors LLC now owns 36,783 shares of the company’s stock valued at $328,000 after purchasing an additional 2,371 shares in the last quarter.

Burford Capital News Roundup

Here are the key news stories impacting Burford Capital this week:

• Positive Sentiment: Wedbush cut its price target from $13 to $6 but retained an “outperform” rating, signaling the firm still sees meaningful upside versus current levels. Read More.
• Neutral Sentiment: Burford issued a further statement on the Second Circuit decision, reiterating its view and answering investor questions — the company is communicating but outcome uncertainty remains. Read More.
• Neutral Sentiment: Broker comment roundup mentions Burford among other UK/energy/real-estate names; these broker notes may generate trading but contain mixed views. Read More.
• Negative Sentiment: The US Court of Appeals for the Second Circuit overturned the YPF judgment that underpinned a major Burford asset, removing a previously recognized recoverable value and triggering the market reaction. Read More.
• Negative Sentiment: Berenberg and other brokers cut target prices after the court reversal, reflecting lower recoverable case value and higher uncertainty for listed litigation funders. Read More.
• Negative Sentiment: Market reaction: Burford shares fell sharply (reports cite a >40% drop on Friday), and the stock hit a new 52-week low as investors reprice litigation assets and tail risk. Read More.
• Negative Sentiment: Additional market note: LSE/market updates and commentary confirm the appeals-court reversal as the proximate cause of the sell-off and analyst revisions. Read More.

Burford Capital Company Profile

Burford Capital (NYSE: BUR) is a leading global finance firm that specializes in litigation and arbitration funding, risk management, and asset recovery. The company provides capital to law firms and corporate clients to finance legal fees and associated costs in commercial disputes. In exchange for funding, Burford shares in any awards or settlements, enabling clients to pursue meritorious claims without bearing upfront legal expenses.

Founded in 2009 by Christopher Bogart, Burford was among the first firms to establish a dedicated litigation finance business.