Clearfield (NASDAQ:CLFD) Shares Down 7% - Should You Sell?

Clearfield, Inc. (NASDAQ:CLFD - Get Free Report) dropped 7% on Wednesday . The stock traded as low as $35.92 and last traded at $35.92. Approximately 41,890 shares changed hands during mid-day trading, a decline of 73% from the average daily volume of 156,926 shares. The stock had previously closed at $38.61.

Analyst Ratings Changes

CLFD has been the topic of several research reports. Lake Street Capital upgraded Clearfield from a "hold" rating to a "buy" rating and raised their target price for the company from $31.00 to $47.00 in a research report on Friday, August 2nd. Roth Mkm reduced their price objective on Clearfield from $47.00 to $45.00 and set a "buy" rating on the stock in a research report on Friday, August 2nd. Needham & Company LLC reiterated a "buy" rating and set a $50.00 price objective on shares of Clearfield in a research report on Tuesday, September 24th. StockNews.com downgraded Clearfield from a "hold" rating to a "sell" rating in a research report on Wednesday. Finally, Northland Securities lifted their price objective on Clearfield from $40.00 to $45.00 and gave the stock an "outperform" rating in a research report on Friday, August 2nd. One equities research analyst has rated the stock with a sell rating and four have issued a buy rating to the company's stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $46.75.

Clearfield Price Performance

The company has a current ratio of 8.38, a quick ratio of 5.73 and a debt-to-equity ratio of 0.01. The firm has a market capitalization of $526.19 million, a PE ratio of -147.88 and a beta of 1.34. The company has a fifty day moving average price of $37.81 and a two-hundred day moving average price of $37.14.

Clearfield (NASDAQ:CLFD - Get Free Report) last issued its quarterly earnings results on Thursday, August 1st. The communications equipment provider reported ($0.04) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.34) by $0.30. The firm had revenue of $48.79 million for the quarter, compared to analysts' expectations of $42.13 million. Clearfield had a negative return on equity of 3.06% and a negative net margin of 5.26%. The firm's revenue for the quarter was down 20.4% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.33 EPS. Sell-side analysts forecast that Clearfield, Inc. will post -0.98 earnings per share for the current year.

Insider Activity at Clearfield

In other Clearfield news, Director Walter Louis Jones, Jr. bought 1,324 shares of the company's stock in a transaction on Wednesday, August 7th. The shares were bought at an average price of $37.77 per share, for a total transaction of $50,007.48. Following the transaction, the director now owns 6,061 shares of the company's stock, valued at approximately $228,923.97. This trade represents a 0.00 % increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. 16.00% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Clearfield

A number of institutional investors and hedge funds have recently modified their holdings of CLFD. BNP Paribas Financial Markets grew its holdings in shares of Clearfield by 187.4% in the 1st quarter. BNP Paribas Financial Markets now owns 11,330 shares of the communications equipment provider's stock worth $349,000 after acquiring an additional 7,388 shares during the period. Nordea Investment Management AB grew its holdings in shares of Clearfield by 172.9% in the 1st quarter. Nordea Investment Management AB now owns 113,904 shares of the communications equipment provider's stock worth $3,531,000 after acquiring an additional 72,164 shares during the period. Quantbot Technologies LP grew its holdings in shares of Clearfield by 57.3% in the 1st quarter. Quantbot Technologies LP now owns 11,998 shares of the communications equipment provider's stock worth $370,000 after acquiring an additional 4,371 shares during the period. Vanguard Group Inc. grew its holdings in shares of Clearfield by 1.4% in the 1st quarter. Vanguard Group Inc. now owns 1,012,432 shares of the communications equipment provider's stock worth $31,223,000 after acquiring an additional 14,307 shares during the period. Finally, Teton Advisors Inc. purchased a new stake in Clearfield in the 1st quarter valued at approximately $555,000. Institutional investors and hedge funds own 88.73% of the company's stock.

About Clearfield

Clearfield, Inc manufactures and sells various fiber connectivity products in the United States and internationally. The company offers FieldSmart, a series of panels, cabinets, wall boxes, and other enclosures; WaveSmart, an optical components integrated for signal coupling, splitting, termination, multiplexing, demultiplexing, and attenuation for integration within its fiber management platform; and active cabinet products.