Motorcar Parts of America, Inc. (NASDAQ:MPAA) is a big mover this session as the company shares are trading 7.15% or 1.32 points lower from last closing price of $18.47, reaching $17.15 at last check. So what’s going on with MPAA shares anyway? The price has dropped in 3 of the last 5 days and is down -10.12% over the past week. It will be exciting to see whether the stock manages to continue decreasing or take a minor break for the next few days. The move came on solid volume too with far more shares changing hands than in a normal session. Trading activity as of this writing strengthened by 126,893 shares, and in total 217293 shares valued at $3.727 million were seen changing hands compared with 90400 shares valued at $1.67 million recorded at the previous session. You should take into consideration that a greater volume on lower prices causes the situation where nobody wants to continue with their long position and wants to exit from the MPAA stock.
Motorcar Parts of America, Inc. (MPAA) shares have notched a 3-month decline of about -10.12%, but has still advanced 11% year to date. By comparison, the stock sank -13.69% over the past 12 months, while it slipped -8.47% over the 1 month. The company’s market cap is around $347.44M, with its short interest ratio standing at 35.77%.
In the current trading session for MPAA, the stock witnessed two major price actions, it rose to a high of $18.48 and was down as much as $16.18 at one point. The high recorded is very low when compared to their 52-week high which is $12.09. The 52-week high is now at -37.15 distance from current price. Their recent low of $27.19 represents a 41.36% recovery. This data is quite important for investors who look to benefit from the recent rise of the company’s stock. The price target currently for MPAA is $29, this is above the recent high that the stock attained. Taking a look at the overall sentimental views of financial analysts, the trading pattern of this stock recently is very clear.
The stock of Motorcar Parts of America, Inc. earned $0.12 per share in the trailing 12 months and has a P/E ratio of 142.92. You can compare it with that of similar companies in its industry to get a sense of whether the stock you’re looking to purchase is overvalued or undervalued. Its current price to earnings ratio is higher than the ones recorded by the industry which is 18.1 and higher compared to the sector’s average of 19.34. When the P/E ratio is low let’s say below 1.0, then the stock price is considered a good value. MPAA also has P/S multiple of 0.69. This is smaller versus the 12 month P/S ratios of other companies in the same indutry. The peer average price to sales ratio is 1.52x.
The company recorded an interesting insider sale transaction by the Director on Mar 04, 2019. A Securities and Exchanges Commission filings show that Scott Joseph Adelson sold a total of 623 MPAA shares that day for a sum of around $13,226. Motorcar Parts of America, Inc. (MPAA) insiders have acquired 75,000 shares in the stock within the past three months. In total, individual insiders traded 75,000 shares in the business, which makes up 69.426% of 108,029 shares that were traded over a year. In the past 12 months, insiders have purchased 79,125 shares while the seller parted with 28,904 shares.
MPAA‘s last price was down -15.54% as compared to the average trading price of 50 days recorded at $20.31 while enlarging the period to 200 trading days, the average closing price was $19.84. At present, there are 18.81 million in the total number of common shares owned by the public and among those 18.51 million shares have been available to trade. The percentage of shares being held by the company management was 1.5% while institutions stake was 0%. The company has generated positive returns on equity over the last 12 months (1.5%). It managed to keep its gross profit margin at 20.1% over the past 12 months.
When assessing the full upside of the MPAA stock, there is another set of technicals that should be looked into and considered. Its -9.58% decline from moving average of $18.97 has brought about a negative sentiment when calculated over the last 20 days. The market has allocated a beta of 1.52 to the stock. With the beta been greater than one, this implies that the company shares are theoretically more volatile than the market, something that the traders definitely are keeping an eye on.
Most of the analysts surveyed by Thomson/First Call think quite highly of Motorcar Parts of America, Inc. — 1 analysts rate the stock as a buy with another 0 rating it strong buy. There are 2 analysts who maintain a hold rating for the stock, with 0 giving it a sell rating. Analysts arrived at a 12-month price target of $26.5 on shares of Motorcar Parts of America, Inc. (NASDAQ:MPAA), which corresponds to 54.70% upside potential than its current market price of $17.15 and implies potential despite the recent drop in the price. However, their current target price has fallen from $26.5 a month ago and is down handily from the consensus target of $26.5 a quarter ago.
In the last five years, the EPS of the company has been roughly 1.8%. Though the percentage looks disappointing, extra tailwinds are emerging as looking out over a next 5-year period, with analysts estimating that their earnings will increase annually by 25%. The revenue of the company has risen at an average annualized rate of about 15 over the last five years. The company recently recorded an increase of 20.6%, but this figure is rather attractive.
Let’s briefly check the hedge fund interest towards MPAA stock. Equitable Trust Co. added position in the company after it grew 6.7% or 64,377 shares of its common stock. The hedge fund now owns 68,690 shares worth $1,178,034, SEC documents show. Private Capital Management LLC shored up assets in the stock as 1599653 shares have been purchased, increasing its stake by 0.7% to 1,610,851 shares which are currently valued at $27,626,095. In addition, Hotchkis & Wiley Capital Management LLC recently reported that it now owns 207,431 shares making a total of $3,557,442 based on the recent price. This refelects a change of 12.8% in their ownership.