Stock Buyback Plan Approved by J Sainsbury (LON:SBRY) Board of Directors

J Sainsbury (LON:SBRY) announced that its Board of Directors has authorized a share repurchase program on Friday, October 23rd, RTT News reports. The company plans to repurchase £100 million in shares. This repurchase authorization authorizes the grocer to buy up to 1.3% of its stock through open market purchases. Share repurchase programs are often an indication that the company’s board believes its stock is undervalued.

J Sainsbury Price Performance

J Sainsbury stock traded up GBX 3.90 during midday trading on Monday, hitting GBX 353.10. The company’s stock had a trading volume of 1,384,014,375 shares, compared to its average volume of 31,096,709. The company has a quick ratio of 0.53, a current ratio of 0.59 and a debt-to-equity ratio of 115.36. The stock’s 50-day moving average price is GBX 337.52 and its 200-day moving average price is GBX 333.35. J Sainsbury has a 12 month low of GBX 293.70 and a 12 month high of GBX 380.30. The company has a market capitalization of £7.69 billion, a PE ratio of 20.89, a price-to-earnings-growth ratio of 0.42 and a beta of 1.00.

J Sainsbury (LON:SBRY) last posted its quarterly earnings data on Thursday, October 22nd. The grocer reported GBX 9.50 earnings per share for the quarter. J Sainsbury had a net margin of 1.15% and a return on equity of 6.39%. Analysts anticipate that J Sainsbury will post 25.72 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on the stock. Citigroup increased their price objective on shares of J Sainsbury from GBX 330 to GBX 346 and gave the company a “neutral” rating in a report on Friday, August 7th. Jefferies Financial Group reissued a “hold” rating and set a GBX 310 target price on shares of J Sainsbury in a report on Wednesday, July 1st. Deutsche Bank Aktiengesellschaft restated a “buy” rating and issued a GBX 390 target price on shares of J Sainsbury in a research report on Friday. Royal Bank Of Canada reaffirmed an “outperform” rating and set a GBX 375 price target on shares of J Sainsbury in a research note on Thursday, July 2nd. Finally, Shore Capital Group reaffirmed a “house stock” rating on shares of J Sainsbury in a research note on Friday, July 31st. Four equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat.com, J Sainsbury currently has an average rating of “Moderate Buy” and a consensus price target of GBX 360.17.

Insider Buying and Selling

In related news, insider Simon Roberts sold 346,154 shares of the stock in a transaction that occurred on Tuesday, August 18th. The shares were sold at an average price of GBX 333, for a total transaction of £1,152,692.82. Also, insider Katie Bickerstaffe bought 5,732 shares of J Sainsbury stock in a transaction that occurred on Thursday, October 22nd. The shares were acquired at an average price of GBX 347 per share, with a total value of £19,890.04. 0.47% of the stock is owned by insiders.

J Sainsbury Company Profile

J Sainsbury plc is one of the UK’s leading food, general merchandise and clothing retailers.

Offering delicious, great quality food at competitive prices has been at the heart of what we do since we opened our first store in 1869. Today, inspiring and delighting our customers with tasty food remains our priority. Our purpose is that driven by our passion for food, together we serve and help every customer.

Our focus on great value food and convenient shopping, whether in-store or online is supported by our brands – Argos, Habitat, Tu, Nectar and Sainsbury’s Bank.