Sabre (SABR) Trading Up 6.1% After Better-Than-Expected Earnings

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Sabre Corp (NASDAQ:SABR) was up 6.1% on Tuesday following a better than expected earnings announcement. The company traded as high as $24.28 and last traded at $24.26. Approximately 4,801,100 shares were traded during mid-day trading, an increase of 96% from the average daily volume of 2,451,891 shares. The stock had previously closed at $22.86.

The information technology services provider reported $0.39 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $0.35 by $0.04. Sabre had a net margin of 9.41% and a return on equity of 47.59%. The firm had revenue of $970.28 million during the quarter, compared to analysts’ expectations of $944.97 million. During the same quarter last year, the company posted $0.31 earnings per share. The firm’s revenue was up 7.7% compared to the same quarter last year.

Several research analysts recently issued reports on SABR shares. BidaskClub cut shares of Sabre from a “hold” rating to a “sell” rating in a report on Saturday, October 6th. Zacks Investment Research cut shares of Sabre from a “strong-buy” rating to a “hold” rating in a report on Tuesday, August 7th. Morgan Stanley raised their target price on shares of Sabre from $25.00 to $26.00 and gave the stock an “equal weight” rating in a report on Wednesday, August 1st. Cowen set a $30.00 target price on shares of Sabre and gave the stock a “buy” rating in a report on Thursday, July 19th. Finally, ValuEngine raised shares of Sabre from a “hold” rating to a “buy” rating in a report on Thursday, July 19th. One investment analyst has rated the stock with a sell rating, four have assigned a hold rating and six have assigned a buy rating to the company. Sabre currently has an average rating of “Hold” and a consensus price target of $27.57.

In other Sabre news, major shareholder Lake Group L.L.C. Silver sold 6,155,616 shares of Sabre stock in a transaction on Friday, August 10th. The shares were sold at an average price of $24.72, for a total value of $152,166,827.52. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Group Holdings (Sbs) Advis Tpg sold 10,186,246 shares of Sabre stock in a transaction on Friday, August 10th. The shares were sold at an average price of $24.72, for a total transaction of $251,804,001.12. The disclosure for this sale can be found here. Insiders sold 16,427,216 shares of company stock valued at $406,162,833 in the last ninety days. 0.67% of the stock is owned by corporate insiders.

A number of institutional investors and hedge funds have recently added to or reduced their stakes in SABR. First Hawaiian Bank purchased a new position in Sabre in the third quarter valued at $122,000. Russell Investments Group Ltd. purchased a new position in Sabre in the second quarter valued at $156,000. Cerebellum GP LLC purchased a new position in Sabre in the third quarter valued at $185,000. Wilbanks Smith & Thomas Asset Management LLC purchased a new position in Sabre in the second quarter valued at $209,000. Finally, Janney Montgomery Scott LLC purchased a new position in Sabre in the second quarter valued at $217,000.

The company has a current ratio of 1.09, a quick ratio of 1.09 and a debt-to-equity ratio of 3.83. The firm has a market cap of $6.36 billion, a price-to-earnings ratio of 18.66, a price-to-earnings-growth ratio of 2.46 and a beta of 0.67.

About Sabre (NASDAQ:SABR)

Sabre Corporation, through its subsidiary, Sabre Holdings Corporation, provides technology solutions to the travel and tourism industry worldwide. It operates through two segments, Travel Network, and Airline and Hospitality Solutions. The Travel Network segment operates as a business-to-business travel marketplace that offers travel content, such as inventory, prices, and availability from a range of travel suppliers, including airlines, hotels, car rental brands, rail carriers, cruise lines, and tour operators with a network of travel buyers comprising online and offline travel agencies, travel management companies, and corporate travel departments.

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