Equity research analysts have provided views on where they believe Roadrunner Transportation Systems, Inc (NYSE:RRTS) will be trading in the future. According to Thomson Reuters, analysts are projecting a consensus target price of $9.25 on company shares. Sell-side analysts tap into their vast knowledge of the company to help gauge future stock movement. Because of the various techniques used, analysts may come up with very different stock target estimates.
In order to arrive at a price target, analysts and investors alike use various metrics to determine where the stock might be headed. One of the most common is the Price to Earnings Ratio or P/E Ratio. This is calculated by taking the current share price and dividing it by the forecasted earnings per share. As of writing, Roadrunner Transportation Syste has a price to earnings ratio of 15.72. Taking a step further, investors can also look to a firm’s price to earnings growth or PEG ratio. The PEG ratio represents the ratio of the price to earnings to the expected future growth rate of the company. A company with a PEG ratio greater than one might be considered overvalued using this metric alone. On the other hand if a firm has a PEG below one could be considered undervalued. A PEG that is close to one, is often considered fair value. The stock has a current PEG of -2.84.
Some other technicals to consider would be the moving averages of the company. In comparing the current price level of the equity to their moving averages, the shares are trading $1.81 off of the 50-day average of $8.36 and $2.09 away from the 200-day moving average of $8.08.
Another important factor to consider when evaluating a stock’s current and future value are the 52 week high and low levels. As of the most recent bid at the time of writing, Roadrunner Transportation Syste shares are trading -25.60% away from the 52-week high mark of 13.67 and +59.15% off the 52-week bottom of 6.39.