Do Nielsen Holdings plc (NYSE: NLSN) Fit In A Value Investing Philosophy?


The WindAcre Partnership LLC recently announced the acquisition of new stake in Nielsen Holdings plc (NYSE:NLSN). The institutional investor has increased its shareholding in the Industrials company by 67.67% to 28.32 million shares with purchase of 11.43 million shares. This fresh investment now brings its stake to 7.94% valued currently at $420.79 million. In addition, Clarkston Capital Partners LLC raised its holdings by 5.13 million to 17.83 million shares.

With over 2.32 million Nielsen Holdings plc (NLSN) shares trading Thursday and a closing price of $14.45 on the day, the dollar volume was approximately $33.58 million. The shares have shown a negative weekly performance of -4.62% and its price on 07/30/20 lost nearly -1.03%. Currently, there are 356.39M common shares owned by the public and among those 352.03M shares have been available to trade.

The analysts have set the share’s price value over the next 12 months at a high of $28.00 and a low of $9.00 should the stock experience a downside. Incidentally, analysts’ outlook for the Nielsen Holdings plc stock is 2.50 for the next 12 months. The average price target is 18.68% above its last price level and an upside to the estimated low will see the stock lose -60.56% over that period. But an upside of 48.39% will see the stock hit the forecast high price target while mean target price for the stock is $18.00.

Insiders at the company have transacted a total of 108 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 91 of these insider trades were purchases, accounting for 1,222,688 shares. Insider sales of the common stock occurred on 17 occasions, with total insider shares sold totaling 162,758 shares.

The top 3 mutual fund holders in Nielsen Holdings plc are Fidelity Balanced Fund, Vanguard Total Stock Market Index, and Vanguard 500 Index Fund. Fidelity Balanced Fund owns 11.77 million shares of the company’s stock, all valued at over $174.94 million. The company sold 25100.0 shares recently to bring their total holdings to about 3.30% of the shares outstanding. Vanguard Total Stock Market Index sold 83967.0 shares to see its total holdings shrink to 10.19 million shares valued at over $151.38 million and representing 2.86% of the shares outstanding. Vanguard 500 Index Fund bought 0.12 million shares to bring its total holdings to over 7.4 million shares at a value of $109.92 million. Vanguard 500 Index Fund now owns shares totaling to 2.08% of the shares outstanding.

Shares of Nielsen Holdings plc (NYSE: NLSN) opened at $14.43, down -$0.17 from a prior closing price of $14.60. However, the script later closed the day at $14.45, down -1.03%. The company’s stock has a 5-day price change of -4.62% and -1.90% over the past three months. NLSN shares are trading -28.82% year to date (YTD), with the 12-month market performance down to -37.61% lower. It has a 12-month low price of $11.62 and touched a high of $24.10 over the same period. Currently, 2.32 million shares have been traded, compared to an average intraday trading volume of 3.51 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by -2.99%, -2.83%, and -16.40% respectively.

Institutional ownership of Nielsen Holdings plc (NYSE: NLSN) 356.39M shares outstanding. Mutual fund holders own 50.93%, while other institutional holders and individual stakeholders account for 56.00% and 15.08% respectively.

It has a market capitalization of $5.23B and a beta (3y monthly) value of 1.22. The earnings-per-share (ttm) stands at -$1.34. Price movements for the stock have been influenced by the stock’s volatility, which stands at 2.59% over the week and 2.99% over the month.

Analysts forecast that Nielsen Holdings plc (NLSN) will achieve an EPS of $0.32 for the current quarter, $0.41 for the next quarter and $1.63 for 2021. The lowest estimate earnings-per-share for the quarter is $0.25 while analysts give the company a high EPS estimate of $0.42. Comparatively, EPS for the current quarter was $0.53 a year ago. Earnings per share for the fiscal year are expected to increase by 55.90%, and 7.84% over the next financial year. EPS should grow at an annualized rate of -3.63% over the next five years, compared to -25.90% over the past 5-year period.

Looking at the support for the NLSN, a number of firms have released research notes about the stock. Robert W. Baird stated their Neutral rating for the stock in a research note on February 28, 2020, with the firm’s price target at $20. Barclays coverage for the Nielsen Holdings plc (NLSN) stock in a research note released on December 17, 2019 offered a Underweight rating with a price target of $20. Credit Suisse was of a view on March 28, 2019 that the stock is Neutral, while Credit Suisse gave the stock Neutral rating on December 07, 2018, issuing a price target of $29. Goldman on their part issued Neutral rating on August 23, 2018.


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