Gain Capital (NYSE:GCAP) Lowered to “Strong Sell” at Zacks Investment Research

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Zacks Investment Research lowered shares of Gain Capital (NYSE:GCAP) from a hold rating to a strong sell rating in a research note published on Thursday morning, Zacks.com reports.

According to Zacks, “institutional foreign exchange, trading and related services providing direct access to the global OTC foreign exchange markets, where participants trade directly with one another. Its trading platforms provide information and analytical tools that allow customers to identify, analyze and execute their trading strategies. GAIN also offers retail customers located outside the United States access to other global markets on an OTC basis, including the spot gold and silver markets, as well as equity indices and commodities. Its forex trading activities are regulated in the US by the Commodity Futures Trading Commission and the National Futures Association, in the UK by the Financial Services Authority, in Japan by the Financial Services Agency, in Hong Kong by the Securities and Futures Commission and in Australia by the Australian Securities and Investments Commission. GAIN Capital Holdings, Inc is based in Bedminster, New Jersey. “

Other equities analysts also recently issued reports about the company. ValuEngine raised ZTE CORP/ADR from a hold rating to a buy rating in a research report on Monday, April 15th. TheStreet downgraded Worthington Industries from a b- rating to a c+ rating in a research report on Monday, June 10th.

Shares of GCAP opened at $4.05 on Thursday. The company has a quick ratio of 1.29, a current ratio of 1.29 and a debt-to-equity ratio of 0.50. The firm’s fifty day simple moving average is $4.01. Gain Capital has a 12 month low of $3.75 and a 12 month high of $7.90.

Gain Capital (NYSE:GCAP) last released its earnings results on Thursday, April 25th. The financial services provider reported ($0.76) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.72) by ($0.04). Gain Capital had a net margin of 16.24% and a negative return on equity of 4.73%. The firm had revenue of $38.40 million during the quarter, compared to analyst estimates of $39.26 million. During the same period in the previous year, the company earned $0.36 earnings per share. Gain Capital’s revenue was down 61.0% on a year-over-year basis. Analysts forecast that Gain Capital will post -0.68 earnings per share for the current year.

The company also recently announced a quarterly dividend, which was paid on Friday, June 28th. Investors of record on Monday, June 24th were given a $0.06 dividend. This represents a $0.24 annualized dividend and a dividend yield of 5.93%. The ex-dividend date of this dividend was Friday, June 21st. Gain Capital’s payout ratio is 35.82%.

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. BlackRock Inc. increased its position in shares of Gain Capital by 2.8% in the 4th quarter. BlackRock Inc. now owns 1,797,696 shares of the financial services provider’s stock valued at $11,074,000 after acquiring an additional 49,581 shares during the period. Weber Alan W grew its position in Gain Capital by 3.0% during the 1st quarter. Weber Alan W now owns 1,206,673 shares of the financial services provider’s stock worth $7,578,000 after purchasing an additional 35,000 shares during the period. Signia Capital Management LLC grew its position in Gain Capital by 2.2% during the 1st quarter. Signia Capital Management LLC now owns 427,678 shares of the financial services provider’s stock worth $2,685,000 after purchasing an additional 9,215 shares during the period. Robotti Robert grew its position in Gain Capital by 1,374.6% during the 4th quarter. Robotti Robert now owns 368,650 shares of the financial services provider’s stock worth $2,271,000 after purchasing an additional 343,650 shares during the period. Finally, Geode Capital Management LLC grew its position in Gain Capital by 18.1% during the 4th quarter. Geode Capital Management LLC now owns 280,453 shares of the financial services provider’s stock worth $1,727,000 after purchasing an additional 42,995 shares during the period. 54.90% of the stock is currently owned by hedge funds and other institutional investors.

About Gain Capital

GAIN Capital Holdings, Inc, together with its subsidiary, provides trading services and solutions to retail, institutional, and futures service customers worldwide. The company operates in two segments, Retail and Futures. It specializes in over-the-counter (OTC) and exchange-traded markets. The company offers access to a range of financial products, including spot foreign exchange (forex) and precious metals trading; and spread bets and contracts for differences on currencies, commodities, indices, individual equities, bonds, options, and interest rate products, as well as OTC options on forex.

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