Direct Line Insurance Group (LON:DLG) Shares Up 38.5% – Should You Buy?

Direct Line Insurance Group plc (LON:DLG)’s share price was up 38.5% during trading on Thursday . The company traded as high as GBX 220.60 ($2.81) and last traded at GBX 219.76 ($2.80). Approximately 426,037,250 shares traded hands during trading, an increase of 6,189% from the average daily volume of 6,774,301 shares. The stock had previously closed at GBX 158.70 ($2.02).

Analysts Set New Price Targets

Separately, Deutsche Bank Aktiengesellschaft restated a “buy” rating and set a GBX 240 ($3.06) target price on shares of Direct Line Insurance Group in a report on Thursday, September 5th.

Direct Line Insurance Group Stock Performance

The company has a quick ratio of 0.28, a current ratio of 0.57 and a debt-to-equity ratio of 20.04. The company has a market cap of £3.05 billion, a P/E ratio of 1,020.87, a P/E/G ratio of 2.42 and a beta of 0.42. The business has a fifty day moving average of GBX 173.51 and a 200 day moving average of GBX 186.22.

Direct Line Insurance Group Cuts Dividend

The firm also recently announced a dividend, which was paid on Friday, October 11th. Investors of record on Thursday, September 12th were issued a dividend of GBX 2 ($0.03) per share. The ex-dividend date was Thursday, September 12th. This represents a dividend yield of 1.04%. Direct Line Insurance Group’s dividend payout ratio is presently 2,608.70%.

Insider Activity at Direct Line Insurance Group

In other news, insider Carol Hagh purchased 10,000 shares of Direct Line Insurance Group stock in a transaction that occurred on Wednesday, September 4th. The shares were bought at an average cost of GBX 195 ($2.48) per share, with a total value of £19,500 ($24,837.60). Insiders acquired a total of 10,264 shares of company stock worth $1,995,053 over the last quarter. 0.85% of the stock is owned by corporate insiders.

Direct Line Insurance Group Company Profile

Direct Line Insurance Group plc engages in the provision of general insurance products and services in the United Kingdom. The company operates through Motor, Home, Rescue and Other Personal Lines, and Commercial segments. It offers motor, home, van, landlord, rescue, pet, tradesperson, business, creditor and select, and travel insurance products, as well as commercial insurance for small and medium-sized enterprises.