MEG Energy (TSE:MEG) Sets New 12-Month Low – Should You Sell?

MEG Energy Corp. (TSE:MEG)’s share price hit a new 52-week low during mid-day trading on Monday . The company traded as low as C$22.02 and last traded at C$22.35, with a volume of 174620 shares traded. The stock had previously closed at C$22.18.

Analyst Ratings Changes

Several equities research analysts have recently commented on MEG shares. Royal Bank of Canada decreased their price target on MEG Energy from C$34.00 to C$33.00 in a research report on Wednesday, November 27th. ATB Capital dropped their target price on shares of MEG Energy from C$37.00 to C$35.00 in a research report on Wednesday, November 27th. TD Securities upped their price target on shares of MEG Energy from C$35.00 to C$36.00 and gave the company a “buy” rating in a research report on Wednesday, November 6th. Scotiabank raised shares of MEG Energy from a “sector perform” rating to an “outperform” rating and set a C$35.00 price objective for the company in a research note on Wednesday, September 25th. Finally, BMO Capital Markets reduced their target price on MEG Energy from C$37.00 to C$34.00 in a report on Friday, October 4th. Five research analysts have rated the stock with a hold rating and five have assigned a buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of C$32.45.

MEG Energy Stock Performance

The company has a quick ratio of 1.17, a current ratio of 1.54 and a debt-to-equity ratio of 26.35. The stock has a market cap of C$6.24 billion, a P/E ratio of 11.03, a price-to-earnings-growth ratio of 0.17 and a beta of 2.89. The firm’s 50-day moving average is C$25.18 and its two-hundred day moving average is C$26.54.

MEG Energy (TSE:MEG) last released its quarterly earnings data on Tuesday, November 5th. The company reported C$0.62 earnings per share (EPS) for the quarter, missing the consensus estimate of C$0.63 by C($0.01). The business had revenue of C$1.27 billion during the quarter, compared to analyst estimates of C$1.33 billion. MEG Energy had a net margin of 10.43% and a return on equity of 12.99%. As a group, research analysts expect that MEG Energy Corp. will post 2.2734628 EPS for the current year.

MEG Energy Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, January 15th. Shareholders of record on Wednesday, January 15th will be issued a dividend of $0.10 per share. The ex-dividend date of this dividend is Monday, December 16th. This represents a $0.40 annualized dividend and a yield of 1.73%. MEG Energy’s dividend payout ratio (DPR) is presently 19.05%.

Insider Activity

In related news, Director Robert Ross Rooney purchased 8,500 shares of MEG Energy stock in a transaction on Wednesday, December 18th. The stock was purchased at an average cost of C$23.06 per share, with a total value of C$195,993.00. Also, Director Kimberley Elizabeth Lynch Proctor purchased 3,500 shares of the business’s stock in a transaction on Thursday, November 28th. The stock was purchased at an average cost of C$25.06 per share, with a total value of C$87,713.85. Insiders have bought a total of 12,805 shares of company stock valued at $303,669 over the last 90 days. 0.33% of the stock is currently owned by company insiders.

About MEG Energy

MEG Energy Corp., an energy company, focuses on sustainable in situ thermal oil production in its Christina Lake Project in the southern Athabasca oil region of Alberta, Canada. The company develops oil recovery projects that utilize steam-assisted gravity drainage extraction methods to improve the recovery of oil, as well as lower carbon emissions.