Grafton Group (LON:GFTU) to Buyback 0 Outstanding Shares

Grafton Group (LON:GFTU) declared that its board has authorized a stock buyback program on Tuesday, June 30th, RTT News reports. The company plans to buyback 0 outstanding shares. This buyback authorization allows the company to purchase shares of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s management believes its stock is undervalued.

Grafton Group Stock Up 0.8%

LON:GFTU traded up GBX 7.14 during trading hours on Tuesday, reaching GBX 907.14. 4,995,946 shares of the stock were exchanged, compared to its average volume of 6,662,056. The firm has a 50 day moving average of GBX 863.15 and a 200 day moving average of GBX 910.12. The company has a debt-to-equity ratio of 37.55, a current ratio of 2.11 and a quick ratio of 1.56. The stock has a market cap of £2.10 billion, a PE ratio of 9.91, a PEG ratio of 1.58 and a beta of 1.08. Grafton Group has a twelve month low of GBX 788.60 and a twelve month high of GBX 1,028.20.

Wall Street Analyst Weigh In

Several brokerages have issued reports on GFTU. Deutsche Bank Aktiengesellschaft restated a “buy” rating and issued a GBX 1,275 price target on shares of Grafton Group in a report on Monday, May 18th. Berenberg Bank decreased their price objective on Grafton Group from GBX 1,100 to GBX 1,000 and set a “buy” rating for the company in a research report on Monday, May 18th. Stifel Nicolaus reissued a “buy” rating and set a GBX 1,175 target price on shares of Grafton Group in a research note on Thursday, March 19th. Finally, Citigroup dropped their price objective on shares of Grafton Group from £115 to £110 and set a “buy” rating on the stock in a report on Friday, June 19th. Six investment analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, the stock has an average rating of “Buy” and an average target price of GBX 2,795.

Insider Buying and Selling

In other Grafton Group news, insider Eric Born acquired 1,182 shares of Grafton Group stock in a transaction dated Wednesday, April 8th. The stock was bought at an average cost of GBX 915 per share, for a total transaction of £10,815.30. 9.33% of the stock is owned by company insiders.

About Grafton Group

Grafton Group plc engages in the distribution, retailing, and manufacturing businesses in Ireland, the Netherlands, Finland, and the United Kingdom. Its Distribution segment distributes building materials, paint, tools, ironmongery, fixings, and accessories, workwear and PPE, and spare parts; materials and plant for mechanical services, heating, plumbing, and air movement; and trade, DIY, and self-build markets with building materials, timber, doors and floors, plumbing and heating, bathrooms, and landscaping products under the Selco, Leyland SDM, Chadwicks, MacBlair, Isero, Polvo, Gunters en Meuser, TG Lynes, and IKH brands.