Clarivate (NYSE:CLVT) Sets New 1-Year Low Following Weak Earnings

Clarivate Plc (NYSE:CLVT)’s stock price hit a new 52-week low on Wednesday after the company announced weaker than expected quarterly earnings. The company traded as low as $4.22 and last traded at $4.77, with a volume of 2078288 shares. The stock had previously closed at $4.83.

The company reported $0.19 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.20 by ($0.01). Clarivate had a negative net margin of 50.00% and a positive return on equity of 9.69%.

Clarivate announced that its board has approved a stock buyback program on Monday, December 16th that authorizes the company to repurchase $500.00 million in outstanding shares. This repurchase authorization authorizes the company to reacquire up to 12.8% of its stock through open market purchases. Stock repurchase programs are often an indication that the company’s management believes its stock is undervalued.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on the company. Royal Bank of Canada cut their price objective on Clarivate from $7.00 to $6.00 and set a “sector perform” rating for the company in a research report on Thursday, November 7th. Barclays cut their price target on shares of Clarivate from $5.00 to $4.00 and set an “underweight” rating for the company in a report on Thursday, November 7th. Finally, William Blair lowered shares of Clarivate from an “outperform” rating to a “market perform” rating in a research report on Wednesday, November 6th. One investment analyst has rated the stock with a sell rating, three have issued a hold rating and two have assigned a buy rating to the company. Based on data from MarketBeat.com, Clarivate presently has an average rating of “Hold” and an average price target of $7.10.

Insider Transactions at Clarivate

In related news, Director Michael J. Angelakis acquired 765,000 shares of the business’s stock in a transaction dated Friday, November 22nd. The shares were acquired at an average price of $5.19 per share, with a total value of $3,970,350.00. Following the completion of the transaction, the director now owns 3,465,000 shares of the company’s stock, valued at $17,983,350. The trade was a 28.33 % increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Corporate insiders own 23.14% of the company’s stock.

Institutional Investors Weigh In On Clarivate

Large investors have recently bought and sold shares of the stock. Clarkston Capital Partners LLC grew its position in shares of Clarivate by 8.1% during the fourth quarter. Clarkston Capital Partners LLC now owns 70,733,831 shares of the company’s stock worth $359,328,000 after buying an additional 5,319,535 shares in the last quarter. Price T Rowe Associates Inc. MD lifted its stake in Clarivate by 53.6% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 27,776,892 shares of the company’s stock worth $141,107,000 after acquiring an additional 9,691,104 shares during the last quarter. Thompson Siegel & Walmsley LLC grew its holdings in Clarivate by 14.4% during the 4th quarter. Thompson Siegel & Walmsley LLC now owns 10,498,588 shares of the company’s stock worth $53,333,000 after acquiring an additional 1,323,329 shares in the last quarter. Perpetual Ltd raised its holdings in shares of Clarivate by 24.6% in the 4th quarter. Perpetual Ltd now owns 9,192,680 shares of the company’s stock valued at $46,699,000 after purchasing an additional 1,816,936 shares in the last quarter. Finally, Vanguard Group Inc. lifted its position in shares of Clarivate by 6.6% during the 4th quarter. Vanguard Group Inc. now owns 8,750,858 shares of the company’s stock worth $44,454,000 after purchasing an additional 538,907 shares during the last quarter. Hedge funds and other institutional investors own 85.72% of the company’s stock.

Clarivate Trading Down 0.9 %

The stock has a market cap of $3.40 billion, a price-to-earnings ratio of -2.40 and a beta of 1.17. The business’s 50 day moving average is $5.15 and its 200 day moving average is $5.82. The company has a debt-to-equity ratio of 0.84, a current ratio of 0.88 and a quick ratio of 0.88.

Clarivate Company Profile

Clarivate Plc operates as an information services provider in the Americas, the Middle East, Africa, Europe, and the Asia Pacific. It operates through three segments: Academia & Government, Life Sciences & Healthcare, and Intellectual Property. The company offers Web of Science and InCites, that analyzes and explores the academic research landscape and manages research information; ProQuest One and Ebook Central that provides comprehensive content collections to institutions in a cost-effective manner; and Alma and Polaris, that manages academic resources and services, connect users, and support research publications.