On a downside, ARRIS International plc (NASDAQ:ARRS) is likely to find some support, which begins at $30.86. On the upside, the stock will test short term resistance at around $31.04. The failure to get near-term support could push it to $30.74. Its 50 day simple moving average (SMA 50) price is $26.86 and its 200-day simple moving average (SMA 200) price is $26.25. The company’s stock currently has a total float of 161.9M shares. Its weekly volatility is hovering around 0.59% and felt 0.9% volatility in price over a month.
ARRS stock has been range bound between the range of $30.8 and $30.8 during the whole day. The stock finished Thursday at $30.98. The 0.39% uptrend helped its market value to reach at $5.37B. The price went up as high as $30.8 before retreating. Trading activity significantly weakened as the volume at ready counter decreased to 4,945,454 shares versus 10,266,851 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 2,160,732 shares. The stock is now 43.76% above against its bear-market low of $21.55 on October 24, 2018. It has retreated -0.26% since it’s 52-week high of $31.06 reached in November. Now the market price is up 5.59% on the year and up 20.59% YTD.
Separately, it has been reported that multiple insider activity took place at ARRIS International plc (ARRS). Director Woodle David A acquired 1,000 shares for $28,351 in transaction occurred on 2018/08/15. After making this transaction, the Director owns a direct stake of 23,830 shares, worth $878,314, as per the last closing price. On 2018/08/15 Woodle David A, Director at ARRS, purchased 1,000 shares at an average price of $23.84 per share. The new stake is valued at $878,314.
Director, Wilson Debora J had invested in 4,000 shares for $50,750 through a trade on 2018/08/14. Following this activity, the insider holds 97,400 shares worth $1,572,235 as of recent close. Wall Street’s most bullish ARRIS International plc (NASDAQ:ARRS) analysts are predicting the share price to blow past $32 per share during the next 12 months. The current median share price forecast by them is $31.75, suggesting that the stock could increase 2.49% in that time frame. The average price target of $31.58 calls for a nearly 1.94% increase in the stock price.
It had seen a negative analyst call from Raymond James, which downgraded the stock from Strong Buy to Outperform on October 15. Analysts at Wells Fargo, started covering the stock on July 12 with a Outperform rating. Analysts at Barclays, made their first call about the stock on March 22, recommending it is Equal Weight.
When looking at valuations, ARRIS International plc (ARRS) has a pricey P/E of 94.45x as compared to industry average of 17.33x. Moreover, it trades for 10.1 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 1.88x price/book and 0.8x price/sales. Compared to others, ARRIS International plc is in a different league with regards to profitability, having net margins of 1.2%. To put some perspective around this, the industry’s average net margin is 5.34%. ARRS’s ROE is 2.6%, which is also considerably worse than the industry’s ROE of 8.18%. It’s also very liquid in the near term, with a current ratio of 1.5. The stock has a debt/capital of 0.73.
Shares of ARRIS International plc (ARRS) have gained 11% since the company’s last earnings report. Over the past 12 fiscal quarters, ARRIS International plc (NASDAQ:ARRS) has topped consensus earnings estimates in 10 quarters (83%), missed earnings in 1 quarters (8%), whereas at 1 occasion EPS met analyst expectations. ARRS last reported earnings on November 08, 2018 when it released Sep-18 results that exceeded expectations. The company raked in $0.68 per share, -62.84% change on the same period last year. That was better than consensus for $0.67. Revenue for the recent quarter stood at $1.65 billion, down -5% on last year and below the $1.71 billion predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $1.73 billion to $1.91 billion, which should be compared with $1.9 billion generated last year. EPS is seen in a range of $0.62 to $0.87, against the $0.87 reported a year ago.