KEMET (KEM) Lifted to “Strong-Buy” at Zacks Investment Research
Zacks Investment Research upgraded shares of KEMET (NYSE:KEM) from a hold rating to a strong-buy rating in a report published on Wednesday. Zacks Investment Research currently has $25.00 price target on the electronics maker’s stock.
According to Zacks, “KEMET Corporation and its subsidiaries is the world’s largest manufacturer of solid tantalum capacitors and and one of the world’s largest manufacturer of multilayer ceramic capacitors. According to industry sources, tantalum and ceramic capacitors are the two fastest growing sectors of the United States capacitor industry. Capacitors are electronic components that store, filter and regulate electrical energy and current flow and are one of the essential passive components used on circuit boards. “
Several other brokerages have also recently commented on KEM. B. Riley raised their price target on shares of KEMET and gave the company a buy rating in a research report on Thursday, July 26th. ValuEngine cut shares of KEMET from a buy rating to a hold rating in a research report on Thursday, August 9th. Finally, Macquarie assumed coverage on shares of KEMET in a research report on Monday, October 8th. They issued an outperform rating for the company.
KEMET (NYSE:KEM) last issued its quarterly earnings results on Tuesday, October 30th. The electronics maker reported $0.87 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.60 by $0.27. KEMET had a net margin of 7.18% and a return on equity of 27.21%. The company had revenue of $349.20 million during the quarter, compared to analysts’ expectations of $335.56 million. During the same quarter last year, the company posted $0.45 EPS. The firm’s revenue was up 15.8% compared to the same quarter last year. Analysts expect that KEMET will post 3.16 EPS for the current fiscal year.
The company also recently disclosed a quarterly dividend, which will be paid on Monday, November 26th. Stockholders of record on Friday, November 16th will be issued a $0.05 dividend. The ex-dividend date is Thursday, November 15th. This represents a $0.20 dividend on an annualized basis and a dividend yield of 0.92%.
In other news, SVP Ronald James Assaf sold 3,333 shares of the firm’s stock in a transaction on Tuesday, September 4th. The shares were sold at an average price of $25.06, for a total value of $83,524.98. Following the sale, the senior vice president now directly owns 93,288 shares in the company, valued at approximately $2,337,797.28. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Per Olof Loof sold 10,000 shares of the firm’s stock in a transaction on Friday, August 24th. The shares were sold at an average price of $25.40, for a total transaction of $254,000.00. Following the completion of the sale, the chief executive officer now owns 888,992 shares in the company, valued at $22,580,396.80. The disclosure for this sale can be found here. Insiders sold a total of 19,999 shares of company stock worth $471,612 over the last 90 days. Company insiders own 2.95% of the company’s stock.
Institutional investors and hedge funds have recently made changes to their positions in the company. Meeder Asset Management Inc. raised its stake in KEMET by 2,554.3% during the 3rd quarter. Meeder Asset Management Inc. now owns 6,158 shares of the electronics maker’s stock worth $113,000 after acquiring an additional 5,926 shares in the last quarter. Kessler Investment Group LLC acquired a new stake in KEMET during the 2nd quarter worth $181,000. Prospera Financial Services Inc acquired a new stake in KEMET during the 2nd quarter worth $210,000. Cerebellum GP LLC acquired a new stake in KEMET during the 3rd quarter worth $172,000. Finally, Pinebridge Investments L.P. acquired a new stake in KEMET during the 2nd quarter worth $226,000. Institutional investors and hedge funds own 77.06% of the company’s stock.
KEMET Company Profile
KEMET Corporation manufactures and sells passive electronic components under the KEMET brand worldwide. The company operates in three segments: Solid Capacitors, Film and Electrolytic; and Electro-Magnetic, Sensors, and Actuators. It offers tantalum, aluminum polymer, and ceramic capacitors; film, paper, and wet aluminum electrolytic capacitors; electromagnetic interference filters; and electro-magnetic compatible materials and devices, piezo materials and actuators, and various types of sensors.
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