Parsons (NYSE:PSN) Reaches New 12-Month Low – Here’s Why

Parsons Corporation (NYSE:PSN) hit a new 52-week low during mid-day trading on Monday . The company traded as low as $48.58 and last traded at $49.7610, with a volume of 108825 shares changing hands. The stock had previously closed at $49.18.

Analysts Set New Price Targets

PSN has been the subject of a number of recent analyst reports. Zacks Research upgraded shares of Parsons from a “strong sell” rating to a “hold” rating in a research report on Monday, April 13th. Weiss Ratings restated a “hold (c)” rating on shares of Parsons in a research report on Friday, March 27th. Barclays dropped their price objective on shares of Parsons from $78.00 to $70.00 and set an “overweight” rating for the company in a report on Tuesday, March 31st. UBS Group cut their target price on shares of Parsons from $104.00 to $95.00 and set a “buy” rating for the company in a research note on Thursday, February 12th. Finally, Citigroup decreased their price target on Parsons from $70.00 to $65.00 and set a “buy” rating on the stock in a research report on Thursday, April 30th. Nine investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat, Parsons currently has a consensus rating of “Moderate Buy” and a consensus target price of $78.17.

Parsons Price Performance

The stock has a fifty day moving average of $54.81 and a 200-day moving average of $65.85. The company has a quick ratio of 1.75, a current ratio of 1.75 and a debt-to-equity ratio of 0.55. The firm has a market capitalization of $5.39 billion, a P/E ratio of 24.12, a PEG ratio of 1.55 and a beta of 0.60.

Parsons (NYSE:PSN) last released its quarterly earnings results on Wednesday, April 29th. The company reported $0.79 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.70 by $0.09. Parsons had a return on equity of 11.52% and a net margin of 3.62%.The business had revenue of $1.49 billion during the quarter, compared to analysts’ expectations of $1.50 billion. During the same period in the previous year, the business posted $0.60 earnings per share. The firm’s revenue for the quarter was down 4.1% compared to the same quarter last year. Equities analysts predict that Parsons Corporation will post 2.94 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CEO Carey A. Smith bought 12,500 shares of Parsons stock in a transaction dated Friday, May 8th. The shares were bought at an average cost of $49.97 per share, for a total transaction of $624,625.00. Following the completion of the transaction, the chief executive officer owned 575,376 shares of the company’s stock, valued at approximately $28,751,538.72. This trade represents a 2.22% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, Director Mark Keith Holdsworth bought 10,000 shares of Parsons stock in a transaction dated Tuesday, May 12th. The shares were bought at an average price of $51.27 per share, for a total transaction of $512,700.00. Following the completion of the transaction, the director directly owned 39,918 shares of the company’s stock, valued at $2,046,595.86. This represents a 33.42% increase in their position. The SEC filing for this purchase provides additional information. 1.31% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Parsons

Large investors have recently modified their holdings of the stock. Aster Capital Management DIFC Ltd acquired a new position in shares of Parsons during the fourth quarter worth approximately $25,000. Danske Bank A S acquired a new position in shares of Parsons during the fourth quarter worth approximately $31,000. Los Angeles Capital Management LLC acquired a new position in shares of Parsons during the fourth quarter worth approximately $32,000. Annis Gardner Whiting Capital Advisors LLC acquired a new position in Parsons in the third quarter valued at approximately $40,000. Finally, ST Germain D J Co. Inc. acquired a new position in Parsons in the fourth quarter valued at approximately $41,000. 98.02% of the stock is currently owned by institutional investors and hedge funds.

About Parsons

Parsons Corporation (NYSE: PSN) is a technology-driven engineering, construction, technical and professional services firm. The company delivers end-to-end solutions that span feasibility studies, design and engineering, construction management, system integration and ongoing operations support. Parsons serves both government and commercial clients and focuses on critical infrastructure, defense, security, intelligence and environmental programs.

Core services include program and construction management for transportation systems, water and environmental infrastructure, cybersecurity and advanced systems integration.