Drax Group (LON:DRX) Stock Passes Below 200-Day Moving Average – Time to Sell?

Drax Group plc (LON:DRX)’s share price crossed below its 200-day moving average during trading on Monday . The stock has a 200-day moving average of GBX 852.28 and traded as low as GBX 737. Drax Group shares last traded at GBX 757, with a volume of 1,441,121 shares trading hands.

Wall Street Analysts Forecast Growth

Several equities research analysts have commented on the stock. Citigroup cut their price target on shares of Drax Group from GBX 9,230 to GBX 8,160 and set a “neutral” rating on the stock in a research report on Friday, June 5th. Royal Bank Of Canada restated an “outperform” rating and issued a GBX 1,000 price objective on shares of Drax Group in a report on Wednesday, May 6th. Finally, Jefferies Financial Group reaffirmed a “buy” rating and issued a GBX 1,120 target price on shares of Drax Group in a research report on Tuesday, June 2nd. Three equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of GBX 2,820.

Drax Group Price Performance

The company has a debt-to-equity ratio of 62.90, a current ratio of 1.07 and a quick ratio of 0.32. The company’s 50-day simple moving average is GBX 823.76 and its 200-day simple moving average is GBX 852.16. The stock has a market capitalization of £2.53 billion, a P/E ratio of 37.28, a price-to-earnings-growth ratio of 0.10 and a beta of 0.63.

About Drax Group

Drax Group plc, together with its subsidiaries, engages in renewable power generation in the United Kingdom. It operates through three segments: Pellet Production, Generation, and Customers. The Pellet Production segment produces and sells biomass pellets. The Generation segment provides renewable, dispatchable power, and system support services to the electricity grid. The Customers segment supplies electricity and gas to non-domestic customers. The company owns and operates Drax Power Station located in Selby, North Yorkshire; Cruachan Power Station, a pumped storage hydro station, with an installed capacity of 440 megawatts (MW) located in Argyll and Bute; and Lanark and Galloway hydro-electric power stations with an installed capacity of 126 MW located in southwest Scotland.