Zayo Group (ZAYO) Price Target Cut to $34.00 by Analysts at Wells Fargo & Co

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Zayo Group (NYSE:ZAYO) had its price objective lowered by research analysts at Wells Fargo & Co from $42.00 to $34.00 in a report released on Thursday, The Fly reports. The firm presently has an “outperform” rating on the technology company’s stock. Wells Fargo & Co’s target price would indicate a potential upside of 48.86% from the company’s previous close.

ZAYO has been the topic of a number of other reports. TheStreet downgraded shares of Zayo Group from a “b-” rating to a “c+” rating in a report on Tuesday, October 23rd. Jefferies Financial Group initiated coverage on shares of Zayo Group in a research note on Tuesday, September 4th. They issued a “buy” rating and a $49.00 target price on the stock. William Blair reaffirmed an “outperform” rating on shares of Zayo Group in a research note on Thursday, August 23rd. ValuEngine downgraded shares of Zayo Group from a “buy” rating to a “hold” rating in a research note on Thursday, August 23rd. Finally, Zacks Investment Research downgraded shares of Zayo Group from a “hold” rating to a “sell” rating in a research note on Thursday, August 16th. Two investment analysts have rated the stock with a sell rating, two have given a hold rating and fourteen have issued a buy rating to the company’s stock. The company has a consensus rating of “Buy” and an average price target of $39.50.

Shares of Zayo Group stock traded up $0.28 on Thursday, reaching $22.84. The stock had a trading volume of 378,604 shares, compared to its average volume of 3,500,713. Zayo Group has a 1 year low of $22.00 and a 1 year high of $39.66. The company has a market cap of $7.42 billion, a price-to-earnings ratio of 37.47, a PEG ratio of 11.28 and a beta of 0.64. The company has a current ratio of 1.02, a quick ratio of 1.02 and a debt-to-equity ratio of 3.90.

Zayo Group (NYSE:ZAYO) last announced its quarterly earnings results on Wednesday, November 7th. The technology company reported $0.09 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.12 by ($0.03). Zayo Group had a return on equity of 9.97% and a net margin of 3.91%. The firm had revenue of $641.10 million during the quarter, compared to analysts’ expectations of $647.21 million. During the same period in the previous year, the company posted $0.09 earnings per share. The company’s quarterly revenue was down .3% compared to the same quarter last year. On average, sell-side analysts predict that Zayo Group will post 0.53 earnings per share for the current year.

In other Zayo Group news, Director Richard W. Connor sold 1,038 shares of Zayo Group stock in a transaction that occurred on Tuesday, October 2nd. The shares were sold at an average price of $33.95, for a total transaction of $35,240.10. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CEO Daniel Caruso sold 337,079 shares of Zayo Group stock in a transaction that occurred on Tuesday, October 30th. The stock was sold at an average price of $29.67, for a total transaction of $10,001,133.93. Following the transaction, the chief executive officer now directly owns 471,851 shares in the company, valued at $13,999,819.17. The disclosure for this sale can be found here. Insiders have sold 609,250 shares of company stock worth $20,215,335 over the last three months. Insiders own 4.50% of the company’s stock.

Several hedge funds have recently bought and sold shares of ZAYO. Canada Pension Plan Investment Board grew its holdings in shares of Zayo Group by 60.6% in the second quarter. Canada Pension Plan Investment Board now owns 7,871,578 shares of the technology company’s stock worth $287,155,000 after purchasing an additional 2,971,505 shares during the last quarter. Hunt Lane Capital LP bought a new position in shares of Zayo Group in the second quarter worth approximately $63,110,000. BlackRock Inc. grew its holdings in shares of Zayo Group by 11.8% in the second quarter. BlackRock Inc. now owns 13,288,927 shares of the technology company’s stock worth $484,781,000 after purchasing an additional 1,401,301 shares during the last quarter. Morgan Stanley grew its holdings in shares of Zayo Group by 141.2% in the second quarter. Morgan Stanley now owns 1,837,250 shares of the technology company’s stock worth $67,025,000 after purchasing an additional 1,075,453 shares during the last quarter. Finally, Senator Investment Group LP grew its holdings in shares of Zayo Group by 11.3% in the second quarter. Senator Investment Group LP now owns 10,000,000 shares of the technology company’s stock worth $364,800,000 after purchasing an additional 1,015,000 shares during the last quarter. 94.97% of the stock is currently owned by hedge funds and other institutional investors.

Zayo Group Company Profile

Zayo Group Holdings, Inc, through its subsidiaries, provides bandwidth infrastructure solutions for the communications industry in the United States, Canada, and Europe. The company operates in six segments: Fiber Solutions, Transport, Enterprise Networks, Zayo Colocation (zColo), Allstream, and Other.

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