Bunzl (LON:BNZL) Trading Down 24.4% – Here’s Why

Bunzl plc (LON:BNZL)’s share price was down 24.4% during mid-day trading on Wednesday . The company traded as low as GBX 2,218 ($29.43) and last traded at GBX 2,327.73 ($30.88). Approximately 5,287,830 shares traded hands during trading, an increase of 115% from the average daily volume of 2,465,146 shares. The stock had previously closed at GBX 3,078 ($40.84).

Analysts Set New Price Targets

A number of brokerages recently commented on BNZL. Shore Capital restated a “buy” rating on shares of Bunzl in a research report on Monday, March 31st. Citigroup upgraded Bunzl to a “buy” rating in a report on Monday, January 13th. One research analyst has rated the stock with a sell rating, two have issued a hold rating and three have given a buy rating to the stock. According to MarketBeat.com, Bunzl presently has a consensus rating of “Hold” and a consensus price target of GBX 3,375 ($44.78).

Bunzl Trading Up 0.4 %

The company has a debt-to-equity ratio of 123.00, a current ratio of 1.15 and a quick ratio of 0.73. The business’s 50-day simple moving average is GBX 3,071.17 and its two-hundred day simple moving average is GBX 3,319.24. The stock has a market capitalization of £7.52 billion, a price-to-earnings ratio of 15.89, a PEG ratio of 5.40 and a beta of 0.45.

Bunzl (LON:BNZL) last announced its quarterly earnings results on Monday, March 3rd. The company reported GBX 194.30 ($2.58) earnings per share for the quarter. Bunzl had a net margin of 4.20% and a return on equity of 16.82%. On average, research analysts anticipate that Bunzl plc will post 213.3413462 earnings per share for the current fiscal year.

Bunzl Increases Dividend

The company also recently declared a dividend, which will be paid on Wednesday, July 2nd. Investors of record on Thursday, May 22nd will be paid a GBX 53.80 ($0.71) dividend. This represents a yield of 1.8%. This is an increase from Bunzl’s previous dividend of $20.10. The ex-dividend date is Thursday, May 22nd. Bunzl’s dividend payout ratio (DPR) is 48.39%.

Insider Activity

In related news, insider Frank van Zanten bought 4,000 shares of the company’s stock in a transaction on Thursday, March 6th. The shares were purchased at an average cost of GBX 3,037 ($40.29) per share, with a total value of £121,480 ($161,178.19). Also, insider Richard Howes purchased 8,479 shares of the stock in a transaction dated Wednesday, April 16th. The shares were purchased at an average price of GBX 2,338 ($31.02) per share, with a total value of £198,239.02 ($263,021.12). Company insiders own 0.84% of the company’s stock.

About Bunzl

Bunzl plc operates as a distribution and services company in the North America, Continental Europe, the United Kingdom, Ireland, and internationally. The company offers food packaging, films, labels, cleaning and hygiene supplies, and personal protection equipment to grocery stores, supermarkets, and convenience stores.