GSK (NYSE:GSK) Shares Gap Down - Should You Sell?

GSK plc (NYSE:GSK - Get Free Report)'s stock price gapped down before the market opened on Wednesday . The stock had previously closed at $40.39, but opened at $39.55. GSK shares last traded at $39.67, with a volume of 456,924 shares traded.

Wall Street Analyst Weigh In

A number of research firms have commented on GSK. StockNews.com upgraded GSK from a "buy" rating to a "strong-buy" rating in a research report on Friday, February 7th. Morgan Stanley started coverage on GSK in a research note on Wednesday, February 12th. They issued an "equal weight" rating on the stock. Seven analysts have rated the stock with a hold rating and four have assigned a strong buy rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $43.25.

GSK Stock Down 0.5 %

The company has a quick ratio of 0.52, a current ratio of 0.78 and a debt-to-equity ratio of 1.12. The firm has a 50 day moving average of $36.66 and a 200 day moving average of $36.87. The firm has a market cap of $81.18 billion, a price-to-earnings ratio of 24.67, a PEG ratio of 1.12 and a beta of 0.58.

GSK (NYSE:GSK - Get Free Report) last released its quarterly earnings data on Wednesday, February 5th. The pharmaceutical company reported $0.59 earnings per share for the quarter, beating the consensus estimate of $0.44 by $0.15. GSK had a net margin of 8.13% and a return on equity of 48.59%. As a group, sell-side analysts predict that GSK plc will post 4.14 earnings per share for the current year.

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GSK Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, April 10th. Stockholders of record on Friday, February 21st will be given a dividend of $0.3932 per share. This represents a $1.57 dividend on an annualized basis and a dividend yield of 4.01%. The ex-dividend date is Friday, February 21st. This is a boost from GSK's previous quarterly dividend of $0.39. GSK's dividend payout ratio is 98.74%.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the company. United Bank grew its position in GSK by 7.3% in the 3rd quarter. United Bank now owns 25,785 shares of the pharmaceutical company's stock valued at $1,054,000 after purchasing an additional 1,760 shares during the period. Thrivent Financial for Lutherans lifted its stake in shares of GSK by 3.4% in the third quarter. Thrivent Financial for Lutherans now owns 53,348 shares of the pharmaceutical company's stock valued at $2,181,000 after buying an additional 1,737 shares in the last quarter. Charles Schwab Investment Management Inc. grew its holdings in shares of GSK by 13.7% during the third quarter. Charles Schwab Investment Management Inc. now owns 121,603 shares of the pharmaceutical company's stock valued at $4,971,000 after buying an additional 14,687 shares during the last quarter. Raymond James Trust N.A. increased its position in shares of GSK by 6.9% during the third quarter. Raymond James Trust N.A. now owns 45,948 shares of the pharmaceutical company's stock worth $1,878,000 after acquiring an additional 2,969 shares in the last quarter. Finally, Nwam LLC acquired a new stake in shares of GSK in the 3rd quarter worth about $625,000. 15.74% of the stock is owned by institutional investors and hedge funds.

About GSK

GSK plc, together with its subsidiaries, engages in the research, development, and manufacture of vaccines, and specialty and general medicines to prevent and treat disease in the United Kingdom, the United States, and internationally. It operates through two segments, Commercial Operations and Total R&D.