Dun & Bradstreet (DNB) Rating Lowered to Sell at Zacks Investment Research

Dun & Bradstreet (NYSE:DNB) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued on Tuesday.

According to Zacks, “The Dun & Bradstreet Corporation reported mixed second-quarter 2018 results, wherein earnings missed the Zacks Consensus Estimate but revenues surpassed the same. The company continues to face intensifying competition. The company operates in a market that is highly fragmented and has low entry barriers. High debt level continues to bother D&B’s performance. Despite such headwinds, the company’s shares have outperformed the industry in the past year. Dun & Bradstreet continues to hold a dominant position in risk management, credit ratings, sales and marketing, e-business and supply-management solutions. We believe that the company’s high-margin business model positions it for long-term growth. Acquisitions continue to play an important role in D&B’s growth. D&B’s innovative product pipeline is a major positive. Partnerships with big players have helped D&B bring in more customers.”

Several other research firms have also issued reports on DNB. ValuEngine upgraded shares of Dun & Bradstreet from a “hold” rating to a “buy” rating in a report on Thursday, August 9th. Barclays reaffirmed an “equal weight” rating and issued a $145.00 price target (up from $140.00) on shares of Dun & Bradstreet in a research note on Friday, August 10th. Robert W. Baird lifted their price target on shares of Dun & Bradstreet from $135.00 to $145.00 and gave the company a “neutral” rating in a research note on Thursday, August 9th. Finally, Wells Fargo & Co lifted their price target on shares of Dun & Bradstreet from $113.00 to $120.00 and gave the company a “market perform” rating in a research note on Monday, June 25th. One analyst has rated the stock with a sell rating, six have assigned a hold rating and one has issued a buy rating to the stock. The company currently has an average rating of “Hold” and a consensus target price of $132.00.

DNB stock opened at $141.77 on Tuesday. The firm has a market capitalization of $5.27 billion, a P/E ratio of 19.26, a PEG ratio of 2.79 and a beta of 1.20. The company has a current ratio of 0.61, a quick ratio of 0.61 and a debt-to-equity ratio of -1.73. Dun & Bradstreet has a 12-month low of $105.42 and a 12-month high of $144.00.

Dun & Bradstreet (NYSE:DNB) last released its earnings results on Wednesday, August 8th. The business services provider reported $1.40 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.50 by ($0.10). The firm had revenue of $439.60 million during the quarter, compared to analyst estimates of $402.78 million. Dun & Bradstreet had a net margin of 13.08% and a negative return on equity of 34.95%. equities analysts anticipate that Dun & Bradstreet will post 8.47 earnings per share for the current fiscal year.

Institutional investors and hedge funds have recently bought and sold shares of the business. Cerebellum GP LLC bought a new stake in Dun & Bradstreet in the second quarter valued at $174,000. Cutler Group LP bought a new stake in Dun & Bradstreet in the second quarter valued at $196,000. Point72 Asia Hong Kong Ltd bought a new stake in shares of Dun & Bradstreet during the first quarter worth about $217,000. PEAK6 Investments L.P. increased its position in shares of Dun & Bradstreet by 148.8% during the second quarter. PEAK6 Investments L.P. now owns 1,991 shares of the business services provider’s stock worth $244,000 after acquiring an additional 6,074 shares in the last quarter. Finally, TLP Group LLC increased its position in shares of Dun & Bradstreet by 2,480.2% during the first quarter. TLP Group LLC now owns 2,090 shares of the business services provider’s stock worth $245,000 after acquiring an additional 2,009 shares in the last quarter. 89.92% of the stock is owned by hedge funds and other institutional investors.

Dun & Bradstreet Company Profile

The Dun & Bradstreet Corporation provides commercial data, analytics, and insight on businesses. The company operates through two segments, Americas and Non-Americas. It offers risk management solutions comprising trade credit solutions, such as The D&B Credit Suite, which includes D&B Credit and DNBi, subscription-based online applications that offer customers real time access to information, comprehensive monitoring, and portfolio analysis; various business information reports; and D&B Credibility solutions primarily for small businesses; Supplier Risk Manager, an online application that helps businesses mitigate supply chain risk; Compliance product suite that includes D&B Onboard and D&B Compliance Check, which helps customers comply with anti-money laundering and anti-bribery and corruption regulations through onboarding, screening, and monitoring of customers and third parties; and D&B Direct, an API that enables data integration inside enterprise applications, such as ERP, and enables master data management and toolkit.

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