Stanley Black & Decker, Inc. (NYSE:SWK) Cut to Hold at Zacks Investment Research
Zacks Investment Research lowered shares of Stanley Black & Decker, Inc. (NYSE:SWK) from a buy rating to a hold rating in a report published on Monday morning.
According to Zacks, “Over the last three months, shares of Stanley Black & Decker outperformed the industry it belongs to. In second-quarter 2017, the company's earnings and sales beat their respective estimates by 2.6% and 1.9%. Impressed with its results and anticipating benefits from higher organic revenue growth, operational excellence and acquired assets, the company raised its earnings forecast to $7.18-$7.38 per share from $7.08-$7.28. In the long term, we believe the company has solid growth potential, backed by the strategy of shifting its business portfolio toward favored growth markets through organic and inorganic means. However, in the near term, the company is exposed to headwinds like increasing expenses, huge debt level and active competition in all businesses. For 2017, the company expects commodity inflation and forex headwinds to negatively impact earnings by $0.50-$0.55 per share.”
Several other brokerages have also commented on SWK. FBR & Co reiterated an outperform rating on shares of Stanley Black & Decker in a research report on Tuesday, July 11th. Wolfe Research began coverage on Stanley Black & Decker in a research report on Tuesday, July 11th. They set an outperform rating and a $160.00 price objective on the stock. BidaskClub lowered Stanley Black & Decker from a buy rating to a hold rating in a research report on Tuesday, July 25th. MKM Partners began coverage on Stanley Black & Decker in a research report on Friday, July 7th. They set a buy rating and a $166.00 price objective on the stock. Finally, UBS AG reiterated a buy rating and set a $160.00 price objective (up from $150.00) on shares of Stanley Black & Decker in a research report on Tuesday, July 25th. Five research analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the stock. The company presently has a consensus rating of Buy and an average price target of $153.69.
Shares of Stanley Black & Decker (NYSE:SWK) traded up 0.14% during mid-day trading on Monday, hitting $141.82. The stock had a trading volume of 596,896 shares. The firm has a 50 day moving average price of $143.05 and a 200-day moving average price of $134.16. The stock has a market cap of $21.72 billion, a P/E ratio of 18.16 and a beta of 1.10. Stanley Black & Decker has a 12 month low of $111.89 and a 12 month high of $148.32.
Stanley Black & Decker (NYSE:SWK) last announced its quarterly earnings data on Monday, July 24th. The industrial products company reported $2.01 EPS for the quarter, beating the consensus estimate of $1.96 by $0.05. The firm had revenue of $3.23 billion for the quarter, compared to analyst estimates of $3.18 billion. Stanley Black & Decker had a return on equity of 15.36% and a net margin of 9.92%. The company’s revenue was up 10.1% on a year-over-year basis. During the same period in the prior year, the company earned $1.84 EPS. On average, equities research analysts forecast that Stanley Black & Decker will post $7.30 EPS for the current year.
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The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 19th. Investors of record on Friday, September 1st will be given a dividend of $0.63 per share. This represents a $2.52 annualized dividend and a yield of 1.78%. This is a positive change from Stanley Black & Decker’s previous quarterly dividend of $0.58. The ex-dividend date of this dividend is Wednesday, August 30th. Stanley Black & Decker’s dividend payout ratio (DPR) is presently 29.74%.
In other Stanley Black & Decker news, SVP Jaime A. Ramirez sold 10,440 shares of the stock in a transaction that occurred on Friday, June 9th. The stock was sold at an average price of $139.56, for a total value of $1,457,006.40. Following the completion of the sale, the senior vice president now owns 41,541 shares in the company, valued at approximately $5,797,461.96. The transaction was disclosed in a document filed with the SEC, which is available at this link. Company insiders own 1.15% of the company’s stock.
A number of large investors have recently added to or reduced their stakes in the company. State of Wisconsin Investment Board boosted its stake in Stanley Black & Decker by 3.7% in the second quarter. State of Wisconsin Investment Board now owns 224,555 shares of the industrial products company’s stock valued at $31,602,000 after buying an additional 8,040 shares during the period. LMR Partners LLP acquired a new stake in Stanley Black & Decker during the second quarter valued at $2,231,000. Dupont Capital Management Corp boosted its stake in Stanley Black & Decker by 3.3% in the second quarter. Dupont Capital Management Corp now owns 11,878 shares of the industrial products company’s stock valued at $1,672,000 after buying an additional 378 shares during the period. Advisors Asset Management Inc. boosted its stake in Stanley Black & Decker by 9.1% in the second quarter. Advisors Asset Management Inc. now owns 15,443 shares of the industrial products company’s stock valued at $2,173,000 after buying an additional 1,282 shares during the period. Finally, Nippon Life Global Investors Americas Inc. boosted its stake in Stanley Black & Decker by 15.2% in the second quarter. Nippon Life Global Investors Americas Inc. now owns 68,420 shares of the industrial products company’s stock valued at $9,629,000 after buying an additional 9,040 shares during the period. Institutional investors and hedge funds own 83.77% of the company’s stock.
Stanley Black & Decker Company Profile
Stanley Black & Decker, Inc is a global provider of hand tools, power tools and related accessories, mechanical access solutions, such as automatic doors and commercial locking systems, electronic security and monitoring systems, healthcare solutions, engineered fastening systems, and products and services for various industrial applications.
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