Barnes & Noble, Inc. (BKS) Price Watch: Sellers Picking Up Steam!

Wall Street’s most bullish Barnes & Noble, Inc. (NYSE:BKS) analysts are predicting the share price to blow past $7 per share during the next 12 months. The current median share price forecast by them is $6.5, suggesting that the stock could increase 18.18% in that time frame. The average price target of $6.5 calls for a nearly 18.18% increase in the stock price.

Barnes & Noble, Inc. (NYSE:BKS) dropped -0.54% in recent trade and currently has a stock-market value of $387.37M. The shares finished at $5.5, after trading as low as $5.48 earlier in the session. It hit an intraday high Thursday at $5.65. Trading activity significantly weakened as the volume at ready counter decreased to 1,617,269 shares versus 1,651,280 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 1,610,486 shares. The stock is now 23.6% above against its bear-market low of $4.45 on September 06, 2018. It has retreated -42% since it’s 52-week high of $7.81 reached in January. Now the market price is up 15.79% on the year and down -22.43% YTD.

BKS stock’s 50 day simple moving average (SMA 50) price is $6.23 and its 200-day simple moving average (SMA 200) price is $6.17. The company’s stock currently has a total float of 55.02M shares. Its weekly volatility is hovering around 4.85% and felt 4.16% volatility in price over a month. On the upside, the share price will test short term resistance at around $5.61. On a downside, the stock is likely to find some support, which begins at $5.44. The failure to get near-term support could push it to $5.37.

It had seen a positive analyst call from Craig Hallum, which upgraded the stock from Hold to Buy on December 17. Analysts at Gabelli & Co, shed their negative views on September 07 by lifting it fromHold to Buy. Analysts at Sidoti, made their first call about the stock on August 18, recommending it is Neutral. Gabelli & Co analysts came out with bearish views on August 17 when the call was made. They think the stock is now Hold compared to to their prior call for Buy.

When looking at valuations, Barnes & Noble, Inc. (BKS) has a pricey P/E of 2750x as compared to industry average of 43.75x. Moreover, it trades for 18.64 times the next 12 months of expected earnings. Also, it is trading at rather inexpensive levels at just over 0.85x price/book and 0.11x price/sales. BKS’s ROE is 0.3%, which is also considerably worse than the industry’s ROE of 12.24%. It’s also very liquid in the near term, with a current ratio of 1.1. The stock has a debt/capital of 0.27.

Shares of BKS have dropped -5.5% since the company’s most recent earnings report. Over the past 7 fiscal quarters, Barnes & Noble, Inc. (NYSE:BKS) has topped consensus earnings estimates in 1 quarters (8%), missed earnings in 5 quarters (41%), whereas at 1 occasion EPS met analyst expectations. BKS last reported earnings that receded expectations. The company raked in $0.91 per share, -94.73% change on the same period last year. That was worse than consensus for $1.1. Revenue for the recent quarter stood at $1.23 billion, down 0% on last year and below the $1.24 billion predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $777.11 million to $785.6 million, which should be compared with $0 generated last year. EPS is seen in a range of -$0.2 to -$0.19, against the -$0.15 reported a year ago.