Compass Group (LON:CPG) Reaches New 1-Year High – Still a Buy?

Compass Group PLC (LON:CPG)’s share price reached a new 52-week high during mid-day trading on Friday . The company traded as high as GBX 2,789 ($34.64) and last traded at GBX 2,784 ($34.58), with a volume of 5161919 shares changing hands. The stock had previously closed at GBX 2,762 ($34.30).

Wall Street Analysts Forecast Growth

Several equities research analysts have commented on the stock. Berenberg Bank raised their price target on shares of Compass Group from GBX 2,460 ($30.55) to GBX 2,900 ($36.02) and gave the company a “buy” rating in a research note on Friday, December 13th. Deutsche Bank Aktiengesellschaft raised their target price on Compass Group from GBX 2,500 ($31.05) to GBX 2,600 ($32.29) and gave the company a “hold” rating in a research report on Tuesday, December 10th. One research analyst has rated the stock with a hold rating and five have assigned a buy rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of GBX 2,675 ($33.22).

Compass Group Stock Up 0.9 %

The company has a debt-to-equity ratio of 89.31, a current ratio of 0.78 and a quick ratio of 0.86. The firm has a market capitalization of £47.36 billion, a P/E ratio of 3,665.79, a PEG ratio of 1.42 and a beta of 0.81. The firm’s fifty day moving average price is GBX 2,680.22 and its 200-day moving average price is GBX 2,494.28.

Compass Group Increases Dividend

The company also recently declared a dividend, which will be paid on Thursday, February 27th. Shareholders of record on Thursday, January 16th will be paid a dividend of $0.39 per share. This is a positive change from Compass Group’s previous dividend of $0.21. This represents a yield of 1.17%. The ex-dividend date is Thursday, January 16th. Compass Group’s dividend payout ratio (DPR) is presently 5,789.47%.

Insider Transactions at Compass Group

In related news, insider Dominic Blakemore sold 119,821 shares of the business’s stock in a transaction that occurred on Wednesday, November 27th. The shares were sold at an average price of GBX 2,692 ($33.43), for a total value of £3,225,581.32 ($4,005,938.05). Also, insider Palmer Brown bought 9,401 shares of the business’s stock in a transaction that occurred on Monday, December 16th. The shares were acquired at an average cost of GBX 2,656 ($32.99) per share, with a total value of £249,690.56 ($310,097.57). Company insiders own 0.15% of the company’s stock.

Compass Group Company Profile

Compass Group PLC is a world leading food service company, which generated annual revenues of £31.3 billion in the year to 30 September 2023. It serves meals to millions of people in c. 35 countries and employs and engages with c. 550,000 people. The Company specialises in providing food and a range of targeted support services across the core sectors of Business & Industry, Healthcare & Senior Living, Education, Sports & Leisure and Defence, Offshore & Remote, with an established brand portfolio.