J D Wetherspoon Stock Surpasses 200-Day Moving Average Amid Analyst Ratings

J D Wetherspoon plc’s stock price crossed above its 200-day moving average during trading on Friday, indicating a potential shift in market sentiment. The stock, which has a 200-day moving average of GBX 704.56, peaked at GBX 705 before settling at GBX 686.50 with a trading volume of 560,819 shares.

Analyst Ratings Reflect Cautious Outlook

Recent evaluations from financial analysts reveal a cautious outlook for J D Wetherspoon. Shore Capital reaffirmed a “hold” rating in a report dated November 5, while Peel Hunt also maintained a “hold” rating, setting a price target of GBX 700. Currently, two analysts have rated the stock as a hold, and one has assigned a sell rating. According to data from MarketBeat, the consensus rating for the stock is “Reduce,” with a consensus price target of GBX 595.

J D Wetherspoon’s recent quarterly earnings report, announced on October 3, 2023, showed an earnings per share (EPS) of GBX 50.80. The company reported a net margin of 2.40% and a return on equity of 12.66%. Analysts project that J D Wetherspoon will post an EPS of approximately 52.85 for the current year, reflecting ongoing uncertainty in the hospitality sector.

Insider Transactions Highlight Confidence

In notable insider activity, Harry Morley acquired 7,500 shares of J D Wetherspoon stock on October 8, 2023, at an average price of GBX 624 per share. This transaction totaled £46,800 and suggests confidence in the company’s future. Over the past three months, insiders have purchased a total of 7,616 shares valued at approximately £4.76 million, indicating a significant investment from corporate insiders, who collectively own 28.39% of the company’s stock.

J D Wetherspoon operates pubs and hotels across the UK and Ireland, focusing on providing quality food and drinks at competitive prices. The company prides itself on maintaining its establishments in excellent condition while offering a welcoming atmosphere for customers.

As the stock continues to navigate market fluctuations, investors will be watching closely for any updates on the company’s performance and strategic direction.