Ermenegildo Zegna (NYSE:ZGN) Stock Price Up 6.6% – Should You Buy?

Shares of Ermenegildo Zegna N.V. (NYSE:ZGN) rose 6.6% during mid-day trading on Thursday . The company traded as high as $14.32 and last traded at $14.33. 1,153,955 shares traded hands during mid-day trading, an increase of 24% from the average session volume of 927,290 shares. The stock had previously closed at $13.44.

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on the company. TD Cowen raised Ermenegildo Zegna from a “hold” rating to a “buy” rating and boosted their price target for the stock from $13.00 to $15.00 in a research report on Wednesday, May 20th. Wall Street Zen raised shares of Ermenegildo Zegna from a “hold” rating to a “buy” rating in a research report on Sunday, July 12th. UBS Group reiterated a “buy” rating and set a $14.50 price objective on shares of Ermenegildo Zegna in a research note on Friday, May 1st. JPMorgan Chase & Co. boosted their target price on shares of Ermenegildo Zegna from $12.50 to $14.00 and gave the stock an “overweight” rating in a research report on Tuesday, June 30th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Ermenegildo Zegna in a research note on Monday, April 20th. Five analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $13.01.

Ermenegildo Zegna Stock Performance

The company has a debt-to-equity ratio of 0.15, a quick ratio of 0.91 and a current ratio of 1.59. The stock has a 50-day moving average price of $13.67 and a 200-day moving average price of $11.75.

Ermenegildo Zegna Cuts Dividend

The firm also recently disclosed an annual dividend, which will be paid on Wednesday, July 29th. Shareholders of record on Monday, July 6th will be paid a dividend of $0.12 per share. This represents a yield of 102.0%. The ex-dividend date is Monday, July 6th.

Insiders Place Their Bets

In other Ermenegildo Zegna news, CFO Gian Franco Santhia sold 5,768 shares of Ermenegildo Zegna stock in a transaction that occurred on Friday, May 8th. The stock was sold at an average price of $13.12, for a total transaction of $75,676.16. Following the sale, the chief financial officer directly owned 44,448 shares in the company, valued at $583,157.76. The trade was a 11.49% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Gianluca Ambrogio Tagliabue sold 19,105 shares of the stock in a transaction that occurred on Friday, May 8th. The shares were sold at an average price of $13.12, for a total value of $250,657.60. Following the transaction, the chief executive officer owned 167,720 shares of the company’s stock, valued at approximately $2,200,486.40. This trade represents a 10.23% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 31,378 shares of company stock worth $411,679 in the last three months. 1.20% of the stock is owned by insiders.

Institutional Trading of Ermenegildo Zegna

Several institutional investors have recently added to or reduced their stakes in the stock. Millennium Management LLC grew its holdings in Ermenegildo Zegna by 182.8% during the 1st quarter. Millennium Management LLC now owns 1,149,055 shares of the company’s stock worth $8,503,000 after acquiring an additional 742,680 shares in the last quarter. Goldman Sachs Group Inc. lifted its position in shares of Ermenegildo Zegna by 22.7% during the first quarter. Goldman Sachs Group Inc. now owns 134,503 shares of the company’s stock worth $995,000 after purchasing an additional 24,862 shares during the last quarter. Jane Street Group LLC bought a new position in shares of Ermenegildo Zegna during the first quarter worth about $1,161,000. Geode Capital Management LLC bought a new stake in Ermenegildo Zegna in the second quarter valued at about $6,245,000. Finally, JPMorgan Chase & Co. increased its holdings in Ermenegildo Zegna by 59,691.8% in the second quarter. JPMorgan Chase & Co. now owns 29,298 shares of the company’s stock valued at $250,000 after buying an additional 29,249 shares during the last quarter. 12.91% of the stock is owned by institutional investors and hedge funds.

Ermenegildo Zegna Company Profile

Ermenegildo Zegna is a global luxury fashion house specializing in men’s tailored clothing, casualwear, accessories, footwear and fragrances. With a focus on high-quality fabrics and craftsmanship, the company manages the entire value chain from wool sourcing and textile production to garment design, manufacturing and retail distribution.

Founded in 1910 by Ermenegildo Zegna in Trivero, Italy, the company began as a textile mill dedicated to producing fine wool fabrics. Over the decades it expanded into ready-to-wear clothing and built a reputation for sartorial excellence.