Dunelm Group (LON:DNLM) Shares Climb 7.9% – Should You Buy?

Dunelm Group plc (LON:DNLM)’s stock price was up 7.9% on Thursday. The stock traded as high as GBX 883.60 and last traded at GBX 864.50. 24,720,576 shares changed hands during trading, an increase of 1,106% from the average daily volume of 2,050,301 shares. The stock had previously closed at GBX 801.

Analyst Ratings Changes

A number of equities analysts have weighed in on the stock. Deutsche Bank Aktiengesellschaft dropped their price target on shares of Dunelm Group from GBX 1,050 to GBX 1,000 and set a “buy” rating for the company in a research report on Wednesday, September 9th. Berenberg Bank restated a “buy” rating and set a GBX 1,200 price objective on shares of Dunelm Group in a research report on Wednesday, September 9th. Canaccord Genuity Group lowered their target price on shares of Dunelm Group from GBX 1,240 to GBX 1,185 and set a “buy” rating on the stock in a research note on Thursday, September 10th. Shore Capital Group restated a “buy” rating and set a GBX 1,000 target price on shares of Dunelm Group in a research note on Friday, September 18th. Finally, Jefferies Financial Group reaffirmed a “buy” rating and issued a GBX 1,030 target price on shares of Dunelm Group in a report on Thursday. Eight research analysts have rated the stock with a Buy rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of GBX 1,106.11.

Dunelm Group Stock Performance

The company has a debt-to-equity ratio of 258.52, a quick ratio of 0.16 and a current ratio of 1.02. The business’s fifty day simple moving average is GBX 824.82 and its 200-day simple moving average is GBX 810.38. The firm has a market capitalization of £1.74 billion, a PE ratio of 11.26, a price-to-earnings-growth ratio of -10.32 and a beta of 1.03.

Dunelm Group (LON:DNLM) last released its earnings results on Tuesday, September 8th. The company reported GBX 77 EPS for the quarter. Dunelm Group had a net margin of 8.52% and a return on equity of 99.65%. As a group, equities research analysts expect that Dunelm Group plc will post 77.10 EPS for the current year.

Insider Activity at Dunelm Group

In related news, insider Ian Bull purchased 2,500 shares of Dunelm Group stock in a transaction on Wednesday, September 9th. The shares were bought at an average cost of GBX 748 per share, for a total transaction of £18,700. Also, insider Ajay Kavan purchased 3,302 shares of the firm’s stock in a transaction on Monday, September 14th. The stock was bought at an average price of GBX 753 per share, for a total transaction of £24,864.06. Insiders bought a total of 18,302 shares of company stock valued at $13,633,906 in the last ninety days. Corporate insiders own 34.22% of the company’s stock.

About Dunelm Group

Dunelm is the UK’s market leader in homewares with a purpose ‘to help create the joy of truly feeling at home, now and for generations to come’. Its specialist customer proposition offers value, quality, choice and style across an extensive range of c.70,000 products, spanning multiple homewares and furniture categories and including services such as Made to Measure window treatments.

The business was founded in 1979 by the Adderley family, beginning as a curtains stall on Leicester market before expanding its store footprint.