Goodbody Stockbrokers Ltd, who speacilize in equities research analysis have reduced their target price for Ladbrokes PLC shares from 140 pence ($2.33) to 115 pence ($1.91) in a research note released to investors on Tuesday. The company has a “sell” rating on the stock. Goodbody Stockbrokers Ltd’s target price points at a significant drop of 18.73% from the betting operators current price.
Ladbrokes have been in the spotlight from other analysts - FinnCap cut their price target on their shares from 160 pence ($2.66) to 130 pence ($2.16) in their research note two weeks ago. They are not as bearish and now have a “hold” rating on the stock. Separately, analysts from Investec have cut their price target from 160 pence ($2.66) to 130 pence ($2.16). Finally and most importantly Goldman Sachs cut their price target, which was already quite low, from 125 pence ($2.08) to 112 pence ($1.86). They’ve also changed to a “sell” rating. Overall only three analysts have given a buy rating, ten are with a hold and now there are nine advising investors to sell. The consensus still remains at “Hold” with an average target of 146.20 pence ($2.43).
On Tuesday Ladbrokes opened at 139.40 day. Recently they declared a dividend of 4.6 pence ($0.08) per share but this wasn’t enough for investors and shareholders to be more optimistic about the future. This represented a yield of 2.97%.
Recent curbs to the expansion of betting shops in the UK has taken its toll on the prospects of the company, despite its continuing online growth in a highly competitive market.