Rathbones Group (LON:RAT) Authorizes Stock Buyback Plan

Rathbones Group (LON:RAT) declared that its Board of Directors has initiated a share buyback program on Wednesday, June 17th, RTT News reports. The company plans to buyback 0 outstanding shares. This buyback authorization allows the company to buy shares of its stock through open market purchases. Stock buyback programs are often an indication that the company’s leadership believes its stock is undervalued.

Rathbones Group Price Performance

Shares of LON RAT traded up GBX 10 during trading hours on Wednesday, hitting GBX 1,630. 1,207,734 shares of the stock were exchanged, compared to its average volume of 500,066. The company has a debt-to-equity ratio of 14.65, a quick ratio of 0.14 and a current ratio of 190.82. The company has a market cap of £1.69 billion, a PE ratio of 15.57, a price-to-earnings-growth ratio of -26.52 and a beta of 0.71. The company’s fifty day simple moving average is GBX 1,977.02 and its two-hundred day simple moving average is GBX 2,021.94. Rathbones Group has a 1-year low of GBX 1,582 and a 1-year high of GBX 2,500.

Analyst Ratings Changes

Separately, Jefferies Financial Group restated an “underperform” rating and set a GBX 1,780 target price on shares of Rathbones Group in a research report on Wednesday. Two investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company has an average rating of “Hold” and a consensus target price of GBX 2,007.50.

Insider Buying and Selling

In other news, insider Jonathan Sorrell  purchased 15,320 shares of Rathbones Group stock in a transaction that occurred on Tuesday, June 16th. The shares were acquired at an average price of GBX 1,630 per share, for a total transaction of £249,716. Also, insider Clive Bannister purchased 15,300 shares of Rathbones Group stock in a transaction that occurred on Tuesday, June 16th. The shares were purchased at an average price of GBX 1,638 per share, for a total transaction of £250,614. In the last 90 days, insiders have bought 31,136 shares of company stock worth $50,870,560. Corporate insiders own 1.41% of the company’s stock.

Rathbones Group News Summary

Here are the key news stories impacting Rathbones Group this week:

• Negative Sentiment: Rathbones has reportedly suspended or restricted onboarding and investment activity for some high-risk clients while it addresses issues identified in the FCA review, raising concerns about near-term revenue and growth. Rathbones shares slide on outcome of FCA engagement, review
• Negative Sentiment: Several headlines point to a potentially costly remedial program, with estimates suggesting a meaningful financial hit and possible disruption to assets and client flows. Rathbones ‘voluntarily’ halts some inflows as part of FCA review
• Negative Sentiment: Analyst commentary remained cautious, with Jefferies reaffirming an “underperform” rating and a GBX 1,780 target, reinforcing bearish sentiment around the stock. Broker view on Rathbones Group
• Positive Sentiment: Recent insider buying by senior executives, including chair Clive Bannister and CEO Jonathan Sorrell, may help signal internal confidence in the business despite the regulatory overhang. Rathbones chair and CEO increase holdings

Rathbones Group Company Profile

With roots dating back to 1742, Rathbones is one of the UK’s leading providers of investment and wealth management services for private clients (individuals and families), charities, trustees and professional partners. Rathbones’ purpose is to help more people invest their money well, so they can live well.

Rathbones has been trusted for generations to manage, preserve and grow clients’ wealth and services include discretionary investment management, fund management, tax planning, trust and company management, financial advice and banking services.