Linamar (TSE:LNR) Trading Up 10% After Analyst Upgrade

Linamar Co. (TSE:LNR)’s stock price rose 10% on Thursday after TD Securities raised their price target on the stock from C$86.00 to C$97.00. TD Securities currently has a buy rating on the stock. Linamar traded as high as C$73.84 and last traded at C$72.39. Approximately 83,190 shares changed hands during mid-day trading, an increase of 1% from the average daily volume of 82,115 shares. The stock had previously closed at C$65.79.

A number of other research firms also recently issued reports on LNR. BMO Capital Markets raised their target price on Linamar from C$80.00 to C$90.00 in a research report on Thursday. Scotiabank boosted their price target on shares of Linamar from C$85.00 to C$90.00 in a research report on Thursday. CIBC raised their price objective on shares of Linamar from C$90.00 to C$92.00 in a report on Thursday. Finally, Raymond James lifted their price objective on shares of Linamar from C$70.00 to C$74.00 in a research note on Thursday. One research analyst has rated the stock with a hold rating and four have given a buy rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of C$88.60.

Insider Buying and Selling

In other Linamar news, Senior Officer Michael Willard Russell bought 586 shares of Linamar stock in a transaction that occurred on Monday, March 18th. The stock was acquired at an average cost of C$69.93 per share, for a total transaction of C$40,978.98. Following the completion of the transaction, the insider now directly owns 586 shares in the company, valued at C$40,978.98. 35.92% of the stock is currently owned by insiders.

Linamar Stock Performance

The company has a debt-to-equity ratio of 33.30, a current ratio of 1.59 and a quick ratio of 0.75. The stock has a market cap of C$4.33 billion, a P/E ratio of 8.60, a price-to-earnings-growth ratio of 1.12 and a beta of 1.45. The company has a 50 day simple moving average of C$68.02 and a 200-day simple moving average of C$64.54.

Linamar (TSE:LNR) last issued its earnings results on Wednesday, March 6th. The company reported C$1.98 earnings per share (EPS) for the quarter, topping the consensus estimate of C$1.75 by C$0.23. The business had revenue of C$2.45 billion during the quarter, compared to analyst estimates of C$2.40 billion. Linamar had a return on equity of 9.93% and a net margin of 5.17%. On average, equities analysts expect that Linamar Co. will post 10.0864553 earnings per share for the current fiscal year.

Linamar Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, April 15th. Shareholders of record on Thursday, March 28th were paid a $0.25 dividend. The ex-dividend date was Wednesday, March 27th. This is an increase from Linamar’s previous quarterly dividend of $0.22. This represents a $1.00 annualized dividend and a yield of 1.42%. Linamar’s payout ratio is currently 12.24%.

Linamar Company Profile

Linamar Corporation, together with its subsidiaries, produces engineered products in Canada, Europe, the Asia Pacific, and rest of North America. It operates through two segments, Mobility and Industrial. The Mobility segment focuses on light metal casting, forging, machining, and assembly for electrified and powered vehicle markets.