Diageo (NYSE:DEO) Shares Gap Down – Here’s Why

Diageo plc (NYSE:DEO)’s stock price gapped down before the market opened on Friday . The stock had previously closed at $126.12, but opened at $122.72. Diageo shares last traded at $122.01, with a volume of 135,214 shares.

Wall Street Analysts Forecast Growth

A number of equities research analysts have weighed in on the company. Bank of America upgraded Diageo from a “neutral” rating to a “buy” rating in a research report on Thursday, September 12th. UBS Group upgraded Diageo from a “sell” rating to a “buy” rating in a report on Wednesday, December 11th. Finally, Jefferies Financial Group raised Diageo from a “hold” rating to a “buy” rating in a research note on Thursday, December 5th. Two research analysts have rated the stock with a sell rating, two have given a hold rating and four have assigned a buy rating to the company. According to MarketBeat.com, Diageo currently has an average rating of “Hold”.

Diageo Price Performance

The company has a current ratio of 1.53, a quick ratio of 0.55 and a debt-to-equity ratio of 1.62. The company has a market cap of $67.67 billion, a price-to-earnings ratio of 17.63, a P/E/G ratio of 3.59 and a beta of 0.69. The business has a 50-day moving average price of $123.74 and a 200 day moving average price of $128.57.

Institutional Trading of Diageo

Several institutional investors and hedge funds have recently bought and sold shares of DEO. Bank of Montreal Can boosted its holdings in shares of Diageo by 1,034.5% in the second quarter. Bank of Montreal Can now owns 799,652 shares of the company’s stock worth $104,443,000 after buying an additional 729,166 shares during the period. Natixis Advisors LLC lifted its position in shares of Diageo by 105.7% in the 3rd quarter. Natixis Advisors LLC now owns 949,411 shares of the company’s stock valued at $133,240,000 after acquiring an additional 487,904 shares in the last quarter. FMR LLC boosted its stake in Diageo by 9.1% in the 3rd quarter. FMR LLC now owns 5,242,065 shares of the company’s stock worth $735,671,000 after purchasing an additional 437,646 shares during the period. Hsbc Holdings PLC grew its position in Diageo by 416.0% during the 2nd quarter. Hsbc Holdings PLC now owns 521,920 shares of the company’s stock worth $65,939,000 after purchasing an additional 420,778 shares in the last quarter. Finally, Raymond James & Associates raised its stake in Diageo by 52.3% during the 3rd quarter. Raymond James & Associates now owns 853,640 shares of the company’s stock valued at $119,800,000 after purchasing an additional 293,017 shares during the period. Institutional investors and hedge funds own 8.97% of the company’s stock.

Diageo Company Profile

Diageo plc, together with its subsidiaries, engages in the production, marketing, and sale of alcoholic beverages. The company offers scotch, gin, vodka, rum, raki, liqueur, wine, tequila, Chinese white spirits, cachaça, and brandy, as well as beer, including cider and flavored malt beverages. It also provides Chinese, Canadian, Irish, American, and Indian-Made Foreign Liquor whiskies, as well as flavored malt beverages, ready to drink, and non-alcoholic products.