Shell (NYSE:SHEL) Stock Price Crosses Below 50 Day Moving Average – Should You Sell?

Shell PLC Unsponsored ADR (NYSE:SHEL)’s stock price crossed below its 50-day moving average during trading on Friday. The stock has a 50-day moving average of $99.09 and traded as low as $98.31. Shell shares last traded at $99.0340, with a volume of 6,449,569 shares changing hands.

Analysts Set New Price Targets

Several research analysts have recently weighed in on the stock. Mizuho set a $103.00 price objective on shares of Shell in a report on Monday, October 12th. UBS Group reiterated a “neutral” rating on shares of Shell in a research report on Friday, October 30th. Barclays restated an “overweight” rating on shares of Shell in a research note on Monday, October 5th. Erste Group Bank raised Shell from a “hold” rating to a “buy” rating in a report on Thursday, August 27th. Finally, Jefferies Financial Group reiterated a “buy” rating on shares of Shell in a report on Thursday, October 29th. Two investment analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and eight have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $107.08.

Shell Stock Performance

The company has a market cap of $283.71 billion, a price-to-earnings ratio of 8.60, a P/E/G ratio of 0.89 and a beta of 0.07. The stock’s 50 day moving average price is $99.09 and its 200 day moving average price is $88.88. The company has a current ratio of 1.38, a quick ratio of 1.09 and a debt-to-equity ratio of 0.34.

Shell (NYSE:SHEL) last issued its quarterly earnings results on Thursday, October 29th. The energy company reported $3.86 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.60 by $0.26. The business had revenue of $92.85 billion for the quarter, compared to the consensus estimate of $93.25 billion. Shell had a net margin of 9.96% and a return on equity of 16.86%. On average, analysts expect that Shell PLC Unsponsored ADR will post 12.29 EPS for the current fiscal year.

Shell declared that its Board of Directors has authorized a stock buyback program on Thursday, October 29th that authorizes the company to buy back $5 billion in shares. This buyback authorization authorizes the energy company to buy up to 1.7% of its stock through open market purchases. Stock buyback programs are usually an indication that the company’s board believes its stock is undervalued.

Institutional Trading of Shell

Large investors have recently added to or reduced their stakes in the business. Livelsberger Financial Advisory bought a new stake in shares of Shell during the 3rd quarter valued at $33,000. Pension & Wealth Management Advisors Inc. purchased a new stake in shares of Shell in the third quarter worth about $35,000. DecisionPoint Financial LLC lifted its stake in shares of Shell by 73.3% during the third quarter. DecisionPoint Financial LLC now owns 376 shares of the energy company’s stock worth $36,000 after buying an additional 159 shares during the period. Latitude Advisors LLC acquired a new position in Shell during the third quarter worth $38,000. Finally, Continuum Advisory LLC purchased a new stake in shares of Shell in the 2nd quarter worth about $34,000. 28.60% of the stock is currently owned by institutional investors and hedge funds.

About Shell

Shell plc is a global energy company engaged in the exploration and production of oil and natural gas, natural gas liquefaction and marketing, and the refining and sale of fuels and other products. Its businesses also include chemicals, power and energy solutions, including lower-carbon offerings such as biofuels, hydrogen and electric-vehicle charging.

The company serves customers and operates across regions worldwide. Its products and services reach consumers, businesses and industrial customers through activities such as fuel retailing, natural gas supply, chemicals production and energy trading.

Shell traces its history to the 1907 merger of Royal Dutch Petroleum and the U.K.’s Shell Transport and Trading Company.