The Andersons Inc. (ANDE) Downgraded to Strong Sell at Zacks Investment Research
According to Zacks, “Andersons’ third-quarter 2016 earnings reversed its prior-year quarter’s loss but missed the Zacks Consensus Estimate by a wide margin of 74%. The Plant Nutrient segment continues to be affected by producer and dealer reluctance to buy in an falling price environment. Low crop prices, added domestic nitrogen capacity and lower farm profitability create price uncertainty, which has resulted in reluctance to buy ahead. These conditions are expected to persist in the fourth quarter. In the Rail Group, utilization levels have continued to soften. The segment will continue to be impacted by weak rail car demand in the near-term, as North American traffic continues to be down and the low GDP-growth environment affects overall traffic volumes and rail car demand. Further, utilization and lease rates are anticipated to be mildly softer in the fourth quarter. Anderson’s estimates have gone down of late reflecting these headwinds.”
Separately, Buckingham Research upgraded shares of The Andersons from a neutral rating to a buy rating and increased their target price for the stock from $40.00 to $42.00 in a research report on Monday, September 26th. One investment analyst has rated the stock with a sell rating, one has issued a hold rating and three have assigned a buy rating to the company’s stock. The stock presently has an average rating of Hold and an average target price of $42.67.
Shares of The Andersons (NASDAQ:ANDE) traded down 0.13% during mid-day trading on Tuesday, hitting $38.95. 20,552 shares of the company were exchanged. The Andersons has a 12-month low of $23.25 and a 12-month high of $39.65. The company’s 50-day moving average price is $37.20 and its 200-day moving average price is $35.64. The firm’s market capitalization is $1.10 billion.
The Andersons (NASDAQ:ANDE) last announced its earnings results on Monday, November 7th. The company reported $0.06 earnings per share (EPS) for the quarter, missing the Zacks’ consensus estimate of $0.18 by $0.12. The Andersons had a positive return on equity of 0.83% and a negative net margin of 1.14%. The business had revenue of $859.60 million for the quarter, compared to analyst estimates of $966.51 million. During the same quarter in the previous year, the company earned ($0.04) EPS. The business’s revenue for the quarter was down 5.4% on a year-over-year basis. Equities research analysts predict that The Andersons will post $0.66 earnings per share for the current fiscal year.
The company also recently declared a quarterly dividend, which was paid on Monday, October 24th. Stockholders of record on Monday, October 3rd were issued a dividend of $0.155 per share. This represents a $0.62 dividend on an annualized basis and a dividend yield of 1.59%. The ex-dividend date of this dividend was Thursday, September 29th. The Andersons’s dividend payout ratio (DPR) is presently -38.04%.
In related news, insider William J. Wolf sold 2,000 shares of the stock in a transaction that occurred on Friday, November 18th. The shares were sold at an average price of $38.18, for a total value of $76,360.00. Following the completion of the transaction, the insider now owns 37,058 shares of the company’s stock, valued at approximately $1,414,874.44. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, Director Jacqueline F. Woods sold 2,395 shares of the stock in a transaction that occurred on Tuesday, November 15th. The shares were sold at an average price of $36.01, for a total transaction of $86,243.95. Following the completion of the transaction, the director now directly owns 16,073 shares of the company’s stock, valued at approximately $578,788.73. The disclosure for this sale can be found here. Insiders own 5.90% of the company’s stock.
A number of institutional investors have recently modified their holdings of ANDE. Kleinwort Benson Investors Dublin Ltd bought a new position in shares of The Andersons during the second quarter valued at approximately $696,000. Swiss National Bank increased its position in shares of The Andersons by 1.9% in the second quarter. Swiss National Bank now owns 43,950 shares of the company’s stock valued at $1,562,000 after buying an additional 800 shares during the last quarter. Quantitative Investment Management LLC bought a new position in shares of The Andersons during the second quarter valued at approximately $366,000. First Midwest Bank Trust Division increased its position in shares of The Andersons by 44.8% in the second quarter. First Midwest Bank Trust Division now owns 17,488 shares of the company’s stock valued at $622,000 after buying an additional 5,409 shares during the last quarter. Finally, Bank of Montreal Can bought a new position in shares of The Andersons during the second quarter valued at approximately $7,165,000. 72.68% of the stock is owned by institutional investors and hedge funds.
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The Andersons Company Profile The Andersons, Inc is a diversified company. The Company conducts business across North America in the grain, ethanol, plant nutrient and rail sectors. The Company also produces turf and cob products, and has a consumer retailing presence. The Company operates through five segments: Grain, Ethanol, Rail, Plant Nutrient and Retail.
The Andersons Company Profile
The Andersons, Inc is a diversified company. The Company conducts business across North America in the grain, ethanol, plant nutrient and rail sectors. The Company also produces turf and cob products, and has a consumer retailing presence. The Company operates through five segments: Grain, Ethanol, Rail, Plant Nutrient and Retail.
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