Pennon Group (LON:PNN) Shares Down 2.5% – Should You Sell?

Pennon Group Plc (LON:PNN)’s share price was down 2.5% during trading on Tuesday. The company traded as low as GBX 337 and last traded at GBX 337. 1,713,508 shares traded hands during mid-day trading, a decline of 87% from the average daily volume of 13,405,366 shares. The stock had previously closed at GBX 345.60.

Analysts Set New Price Targets

A number of research analysts have recently issued reports on PNN shares. Deutsche Bank Aktiengesellschaft downgraded Pennon Group to a “hold” rating and lowered their price target for the company from GBX 550 to GBX 380 in a report on Monday, October 12th. Royal Bank Of Canada reiterated an “outperform” rating and issued a GBX 575 price objective on shares of Pennon Group in a report on Tuesday, August 25th. Finally, Jefferies Financial Group reiterated a “buy” rating and issued a GBX 380 price objective on shares of Pennon Group in a report on Wednesday, October 14th. Four research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, Pennon Group currently has an average rating of “Moderate Buy” and a consensus price target of GBX 1,353.33.

Pennon Group Price Performance

The firm has a fifty day moving average price of GBX 396.77 and a two-hundred day moving average price of GBX 485.85. The stock has a market capitalization of £2.33 billion, a P/E ratio of 19.30, a PEG ratio of 8.20 and a beta of 0.55. The company has a debt-to-equity ratio of 347.81, a quick ratio of 1.53 and a current ratio of 1.51.

Pennon Group Company Profile

At the top end of the FTSE 250, Pennon is an infrastructure group, focused on the UK water market is one of only three listed water companies in the UK. Operating in a stable regulatory environment with a positive outlook, we are focused on long-term sustainable growth, through disciplined capital allocation, organic and acquisitive. Our 25-year rolling licence provides predictable index-linked growth and visibility over future revenues. We provide clean and wastewater services through our businesses across the Great South West.