Drilling Down Into MGP Ingredients, Inc. (MGPI)

MGP Ingredients, Inc. (NASDAQ:MGPI) is an interesting player in the Consumer Goods space, with a focus on Beverages – Wineries & Distillers. The stock has been active on the tape, currently trading at $44.23, up from yesterday’s close by -6.31%. Given the stock’s recent action, it seemed like a good time to take a closer look at the company’s recent data.

Fundamental Analysis

This company has been competing with others in the space and offers its own combination of interesting factors MGP Ingredients, Inc. (MGPI) currently trades with a market capitalization of $736.83M. That value represents a market adjusting for revenues that have been falling by -0.50% on a quarterly year/year basis as of the company’s last quarterly report.

The balance sheet health of any company plays a key role in its ability to meet its obligations and maintain the faith of its investment base. You can get a sense of how sustainable that is by a levered free cash flow of $-15.00M over the past twelve months. Generally speaking, earnings are expected to grow in coming quarters. Analysts are forecasting earnings of 0.39 on a per share basis this quarter. Perhaps, that suggests something about why 33.80% of the outstanding share supply is held by institutional investors.

Technical Analysis

It’s important to check the technicals to get a sense of how has been acting. Looking at the stock’s movement on the chart, MGP Ingredients, Inc. recorded a 52-week high of 53.22. It is now trading 6.01 off that level. The stock is trading 49.14 its 50-day moving average by 1.93. The stock carved out a 52-week low down at 19.91.

In recent action, MGP Ingredients, Inc. (MGPI) has made a move of -10.68% over the past month, which has come on Strong relative transaction volume. Over the trailing year, the stock is underperforming the S&P 500 by 100.32, and it’s gotten there by action that has been more volatile on a day-to-day basis than most other stocks on the exchange. In terms of the mechanics underlying that movement, traders will want to note that the stock is trading on a float of 12.23M with 13.73% sitting short, betting on future declines. That suggests something of the likelihood of a short squeeze in shares of MGPI.

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