AMETEK, Inc. (AME) Downgraded to Hold at Zacks Investment Research
AMETEK, Inc. (NYSE:AME) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a report issued on Friday.
According to Zacks, “AMETEK is a leading manufacturer of electronic appliances and electromechanical devices. Over the last one year, the stock has underperformed the Zacks Electronic Test Equipment industry. The company’s first-quarter 2017 results surpassed the Zacks Consensus Estimate on revenues and earnings. The company continues to reap the benefits from the execution of its four core growth strategies of operational excellence, global market expansion, investments in product development and strategic acquisitions. This, in combination with a strong portfolio of differentiated businesses, is expected to help the company post better results, going forward. However, weakness in its balance sheet, integration issues and an overly high goodwill associated with an aggressive acquisition strategy are concerns. Foreign exchange headwinds remain.”
AME has been the topic of a number of other reports. Royal Bank of Canada raised their price target on shares of AMETEK from $57.00 to $60.00 and gave the company an “outperform” rating in a research report on Wednesday, February 8th. Atlantic Securities upgraded shares of AMETEK from a “neutral” rating to an “overweight” rating and raised their price objective for the stock from $48.00 to $62.00 in a report on Wednesday, February 15th. BMO Capital Markets restated a “buy” rating and set a $65.00 price objective on shares of AMETEK in a report on Monday, March 27th. Morgan Stanley raised their price objective on shares of AMETEK from $57.00 to $62.00 and gave the stock an “equal weight” rating in a report on Monday, May 8th. Finally, Jefferies Group LLC restated a “buy” rating and set a $66.00 price objective (up previously from $63.00) on shares of AMETEK in a report on Wednesday, May 3rd. Two research analysts have rated the stock with a hold rating and nine have given a buy rating to the stock. The company currently has a consensus rating of “Buy” and an average price target of $59.50.
Shares of AMETEK (NYSE:AME) opened at 60.06 on Friday. The company has a market capitalization of $13.82 billion, a PE ratio of 27.07 and a beta of 1.11. AMETEK has a 52-week low of $43.28 and a 52-week high of $60.69. The company has a 50-day moving average of $56.88 and a 200 day moving average of $52.36.
AMETEK (NYSE:AME) last posted its quarterly earnings results on Tuesday, May 2nd. The technology company reported $0.60 EPS for the quarter, topping analysts’ consensus estimates of $0.57 by $0.03. The business had revenue of $1.01 billion during the quarter, compared to analysts’ expectations of $961.36 million. AMETEK had a net margin of 13.34% and a return on equity of 16.19%. The business’s quarterly revenue was up 6.7% on a year-over-year basis. During the same period last year, the company posted $0.57 earnings per share. Analysts predict that AMETEK will post $2.47 earnings per share for the current year.
The company also recently disclosed a quarterly dividend, which will be paid on Friday, June 30th. Investors of record on Friday, June 16th will be paid a dividend of $0.09 per share. This represents a $0.36 annualized dividend and a yield of 0.60%. AMETEK’s dividend payout ratio is currently 16.44%.
In related news, Director Dennis K. Williams sold 7,582 shares of the business’s stock in a transaction that occurred on Wednesday, February 22nd. The shares were sold at an average price of $55.07, for a total transaction of $417,540.74. Following the completion of the transaction, the director now owns 29,079 shares of the company’s stock, valued at $1,601,380.53. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. Also, insider Timothy N. Jones sold 10,000 shares of the business’s stock in a transaction that occurred on Wednesday, March 29th. The shares were sold at an average price of $54.20, for a total transaction of $542,000.00. Following the transaction, the insider now directly owns 44,139 shares of the company’s stock, valued at approximately $2,392,333.80. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 70,066 shares of company stock valued at $4,044,239. 2.00% of the stock is owned by corporate insiders.
A number of large investors have recently made changes to their positions in AME. Benjamin F. Edwards & Company Inc. raised its stake in shares of AMETEK by 0.6% in the first quarter. Benjamin F. Edwards & Company Inc. now owns 3,229 shares of the technology company’s stock valued at $175,000 after buying an additional 19 shares during the last quarter. OppenheimerFunds Inc. raised its stake in shares of AMETEK by 0.3% in the first quarter. OppenheimerFunds Inc. now owns 8,735 shares of the technology company’s stock valued at $472,000 after buying an additional 30 shares during the last quarter. First Manhattan Co. raised its stake in shares of AMETEK by 0.5% in the first quarter. First Manhattan Co. now owns 6,946 shares of the technology company’s stock valued at $331,000 after buying an additional 36 shares during the last quarter. Cadence Capital Management LLC raised its stake in shares of AMETEK by 0.6% in the first quarter. Cadence Capital Management LLC now owns 6,898 shares of the technology company’s stock valued at $373,000 after buying an additional 41 shares during the last quarter. Finally, Morgan Dempsey Capital Management LLC raised its stake in shares of AMETEK by 1.7% in the first quarter. Morgan Dempsey Capital Management LLC now owns 3,464 shares of the technology company’s stock valued at $187,000 after buying an additional 59 shares during the last quarter. Institutional investors and hedge funds own 89.39% of the company’s stock.
AMETEK Company Profile
AMETEK, Inc is a manufacturer of electronic instruments and electromechanical devices with operations in North America, Europe, Asia and South America. The Company operates through two segments: Electronic Instruments (EIG) and Electromechanical (EMG). EIG designs and manufactures instruments for the process, power and industrial and aerospace markets.
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