Now Is A Suitable Moment For A Long-Term Purchase Of NCR Corporation (NYSE: NCR)


SSgA Funds Management, Inc. recently announced the acquisition of new stake in NCR Corporation (NYSE:NCR). The institutional investor has increased its shareholding in the Technology company by 6.68% to 4.96 million shares with purchase of 0.31 million shares. This fresh investment now brings its stake to 3.88% valued currently at $85.87 million. In addition, River Road Asset Management LLC raised its holdings by 0.95 million to 3.75 million shares. And Macquarie Investment Management B. has lifted its position by 41.75% or 0.97 million shares – to 3.3 million shares.

With over 1.22 million NCR Corporation (NCR) shares trading Thursday and a closing price of $18.73 on the day, the dollar volume was approximately $22.76 million. The shares have shown a positive weekly performance of 1.52% and its price on 07/30/20 lost nearly -1.68%. Currently, there are 128.00M common shares owned by the public and among those 126.18M shares have been available to trade.

The analysts have set the share’s price value over the next 12 months at a high of $32.00 and a low of $18.00 should the stock experience a downside. Incidentally, analysts’ outlook for the NCR Corporation stock is 2.10 for the next 12 months. The average price target is 29.0% above its last price level and an upside to the estimated low will see the stock lose -4.06% over that period. But an upside of 41.47% will see the stock hit the forecast high price target while mean target price for the stock is $25.00.

Insiders at the company have transacted a total of 118 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 60 of these insider trades were purchases, accounting for 10,349,863 shares. Insider sales of the common stock occurred on 58 occasions, with total insider shares sold totaling 9,740,943 shares.

The top 3 mutual fund holders in NCR Corporation are Wells Fargo Special Mid Cap Value, Vanguard Total Stock Market Index, and iShares Core S&P Mid Cap ETF. Wells Fargo Special Mid Cap Value owns 5.76 million shares of the company’s stock, all valued at over $99.8 million. The company bought an additional 0.16 million shares recently to bring their total holdings to about 4.51% of the shares outstanding. Vanguard Total Stock Market Index sold 33310.0 shares to see its total holdings shrink to 3.62 million shares valued at over $62.63 million and representing 2.83% of the shares outstanding. iShares Core S&P Mid Cap ETF now owns shares totaling to 2.69% of the shares outstanding.

Shares of NCR Corporation (NYSE: NCR) opened at $18.65, down -$0.4 from a prior closing price of $19.05. However, the script later closed the day at $18.73, down -1.68%. The company’s stock has a 5-day price change of 1.52% and -8.72% over the past three months. NCR shares are trading -46.73% year to date (YTD), with the 12-month market performance down to -44.60% lower. It has a 12-month low price of $10.55 and touched a high of $35.87 over the same period. Currently, 1.22 million shares have been traded, compared to an average intraday trading volume of 1.42 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 7.77%, 3.04%, and -25.50% respectively.

Institutional ownership of NCR Corporation (NYSE: NCR) shares accounts for 93.80% of the company’s 128.00M shares outstanding. Mutual fund holders own 38.99%, while other institutional holders and individual stakeholders account for 52.10% and 11.85% respectively.

It has a market capitalization of $2.47B and a beta (3y monthly) value of 1.70. The stock’s trailing 12-month PE ratio is 5.40, while the earnings-per-share (ttm) stands at $3.47. The company has a PEG of 1.35 and a Quick Ratio of 1.30 with the debt-to-equity ratio at 4.32. Price movements for the stock have been influenced by the stock’s volatility, which stands at 5.61% over the week and 4.96% over the month.

Analysts forecast that NCR Corporation (NCR) will achieve an EPS of $0.37 for the current quarter, $0.66 for the next quarter and $2.28 for 2021. The lowest estimate earnings-per-share for the quarter is $0.3 while analysts give the company a high EPS estimate of $0.48. Comparatively, EPS for the current quarter was $0.73 a year ago. Earnings per share for the fiscal year are expected to increase by 956.20%, and 45.95% over the next financial year. EPS should shrink at an annualized rate of 4.00% over the next five years, compared to 26.80% over the past 5-year period.

If you are looking to buy this stock, then you may note that the average analyst recommendation by 9 brokerage firm advisors rate NCR Corporation (NCR) as a “Moderate Buy” at a consensus score of 2.10. Specifically, 6 Wall Street analysts polled rate the stock as a buy, while 3 of the 9 advise that investors “hold,” and 0 rated it as a “Sell.”

Looking at the support for the NCR, a number of firms have released research notes about the stock. Oppenheimer stated their Outperform rating for the stock in a research note on March 18, 2020, with the firm’s price target at $20. Standpoint Research coverage for the NCR Corporation (NCR) stock in a research note released on December 23, 2019 offered a Accumulate rating with a price target of. Wells Fargo was of a view on September 18, 2019 that the stock is Outperform, while JP Morgan gave the stock Neutral rating on March 25, 2019, issuing a price target of $32. DA Davidson on their part issued Buy rating on January 09, 2019.


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