Are These Stocks Nearing A Big Breakout? – Lannett Company Inc. (LCI), China Xiangtai Food Co. Ltd. (PLIN)

Lannett Company Inc. (NYSE: LCI) shares are -41.50% down in the year-to-date (YTD) period and have moved -14.71% or -$0.89 lower in the latest trading session. However, stock’s trailing 12-month performance remains nearly +5.52% lower. Comparatively, the stock is -50.10% down YTD and -32.55% over the trailing 3-month period. If we look at the shorter duration, its week performance is -13.13% and -15.96% over the month.

Analyst Recommendations

On August 20, 2018, ROTH Capital recommended the LCI stock is a Neutral, while earlier, SunTrust had Initiated the stock as a Hold on March 20, 2019. 5 analysts offering the recommendations for the stock have a consensus rating of 3.00 to suggest that the LCI stock is a “Hold. 0 of the 5 analysts rate the stock as a “Sell”, while 0 has rated it as “Underweight”. 0 recommend buying, with 0 rating it as an Overweight.

The stock currently trades at $5.16 and analysts tracking its performance over the next 12 months have a consensus estimate price target of $9.75. The forecasts give the Lannett Company Inc. stock a price target range of $8.00 on the higher side while at least one analyst think the stock could plunge to a low of $6.00. The two limits represent an upside potential of 35.5% or 14.0%.

Earnings Forecast

Analysts estimate the earnings to increase 6.90% in the current quarter to $0.28, up from the $0.22 reported in the same quarter a year ago. For the current year, earnings should grow to an average of $1.19, up 3.80% from $1.07 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between $0.32 and $0.32. Wall Street estimates earnings per share to be at an average of $1.43 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 25 over the last 12 months, while SEC filings reveal that there have been 26 insider sales over the same period. Insiders have purchases 526,360 shares while those sold by company executives and officers stand at 159,145. The last 3 months have seen insiders trade a total of 440,324 and 16,719 in purchases and sales respectively.

Taveira Paul, a Director at the company, sold 30,000 shares worth $0.22 million at $7.22 per share on May 19. The Director had earlier sold another 37,220 LCI shares valued at $0.27 million on May 19. The shares were sold at $7.37 per share. Crew Timothy C (Chief Executive Officer) bought 3,000 shares at $7.57 per share on May 12 for a total of $22710.0 while Crew Timothy C, (Chief Executive Officer) bought 2,000 shares on Nov 11 for $17980.0 with each share fetching $8.99.

China Xiangtai Food Co. Ltd. (NASDAQ:PLIN), on the other hand, is trading around $1.12 with a market cap of $26.76M and analyst research firms have a positive stance on its shares.

The company’s free cash flow for the quarter was -$2.72 million.

Major holders

Insiders own 60.20% of the company shares, while shares held by institutions stand at 0.45% with a share float percentage of 9.80M. Investors are also buoyed by the number of investors in a company, with China Xiangtai Food Co. Ltd. having a total of 5 institutions that hold shares in the company. The top two institutional holders are Virtu Financial LLC with over 19959.0 shares worth more than $25946.0. As of Jun 29, 2020, Virtu Financial LLC held 0.09% of shares outstanding.

The other major institutional holder is HRT Financial LLC, with the investment firm holding over 18271.0 shares as of Jun 29, 2020. The firm’s total holdings are worth over $23752.0 and represent 0.08% of shares outstanding.