Fairfax Financial (OTCMKTS:FRFHF) Share Price Crosses Below 50 Day Moving Average – Time to Sell?

Shares of Fairfax Financial Holdings Ltd. (OTCMKTS:FRFHF) passed below its 50-day moving average during trading on Monday . The stock has a 50-day moving average of $1,664.82 and traded as low as $1,613.72. Fairfax Financial shares last traded at $1,625.00, with a volume of 4,997 shares changing hands.

Wall Street Analysts Forecast Growth

Separately, Zacks Research cut shares of Fairfax Financial from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, June 3rd. Three analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy”.

Fairfax Financial Price Performance

The firm has a market cap of $34.66 billion, a price-to-earnings ratio of 8.03 and a beta of 0.49. The company has a current ratio of 3.66, a quick ratio of 3.66 and a debt-to-equity ratio of 0.46. The company has a 50 day moving average of $1,664.82 and a 200 day moving average of $1,717.31.

Fairfax Financial (OTCMKTS:FRFHF) last issued its quarterly earnings data on Thursday, April 30th. The financial services provider reported $31.11 EPS for the quarter, missing the consensus estimate of $36.17 by ($5.06). The business had revenue of $7.82 billion for the quarter, compared to analyst estimates of $8.62 billion. Fairfax Financial had a return on equity of 15.05% and a net margin of 14.16%. Equities research analysts predict that Fairfax Financial Holdings Ltd. will post 184.47 EPS for the current fiscal year.

About Fairfax Financial

Fairfax Financial (OTCMKTS:FRFHF) is a Toronto-based financial holding company primarily engaged in property and casualty insurance, reinsurance and investment management. The company underwrites a broad range of commercial and personal insurance products, operates specialty and run-off reinsurance businesses, and manages a diversified investment portfolio largely funded by insurance float. Fairfax conducts its insurance operations through a network of subsidiaries and affiliated companies that provide local underwriting and claims services across multiple markets.

On the insurance side, Fairfax writes a mix of short-tail and long-tail coverages across specialty lines, commercial casualty, property and other niche markets, while its reinsurance activities include treaty and facultative solutions for cedants and intermediaries.