ESAB Corporation (NYSE:ESAB) Receives Average Recommendation of “Moderate Buy” from Analysts

Shares of ESAB Corporation (NYSE:ESAB) have been given a consensus recommendation of “Moderate Buy” by the ten brokerages that are presently covering the company, Marketbeat.com reports. Two investment analysts have rated the stock with a hold recommendation and eight have given a buy recommendation to the company. The average 1-year price target among brokers that have issued a report on the stock in the last year is $138.3750.

A number of research firms recently weighed in on ESAB. Jefferies Financial Group reiterated a “buy” rating and set a $130.00 price target (down from $150.00) on shares of ESAB in a research note on Tuesday, March 31st. JPMorgan Chase & Co. reduced their price target on shares of ESAB from $148.00 to $135.00 and set an “overweight” rating on the stock in a research report on Friday, April 10th. Oppenheimer reiterated an “outperform” rating and set a $140.00 price target on shares of ESAB in a research report on Tuesday, April 14th. Weiss Ratings downgraded shares of ESAB from a “hold (c+)” rating to a “hold (c)” rating in a research report on Monday, April 27th. Finally, Wall Street Zen downgraded shares of ESAB from a “buy” rating to a “hold” rating in a research report on Saturday, March 21st.

ESAB Price Performance

Shares of ESAB opened at $100.41 on Tuesday. The business’s 50-day moving average is $95.95 and its 200-day moving average is $107.56. ESAB has a fifty-two week low of $82.18 and a fifty-two week high of $137.42. The company has a market capitalization of $6.11 billion, a price-to-earnings ratio of 29.71, a P/E/G ratio of 1.84 and a beta of 1.19. The company has a debt-to-equity ratio of 0.91, a current ratio of 2.97 and a quick ratio of 2.26.

ESAB (NYSE:ESAB) last announced its quarterly earnings results on Thursday, May 7th. The company reported $1.31 EPS for the quarter, missing the consensus estimate of $1.32 by ($0.01). The company had revenue of $745.60 million for the quarter, compared to analyst estimates of $706.74 million. ESAB had a net margin of 7.11% and a return on equity of 15.04%. The company’s revenue for the quarter was up 10.0% on a year-over-year basis. During the same quarter last year, the business earned $1.25 EPS. Equities research analysts expect that ESAB will post 5.82 EPS for the current fiscal year.

ESAB Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, July 17th. Shareholders of record on Friday, July 3rd will be issued a dividend of $0.12 per share. The ex-dividend date of this dividend is Thursday, July 2nd. This represents a $0.48 annualized dividend and a yield of 0.5%. This is a positive change from ESAB’s previous quarterly dividend of $0.10. ESAB’s dividend payout ratio (DPR) is currently 11.83%.

Institutional Trading of ESAB

A number of hedge funds have recently modified their holdings of the company. FNY Investment Advisers LLC acquired a new stake in ESAB during the 3rd quarter worth $30,000. Los Angeles Capital Management LLC acquired a new stake in ESAB during the 4th quarter worth $33,000. Northwestern Mutual Wealth Management Co. raised its holdings in ESAB by 109.4% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 333 shares of the company’s stock worth $40,000 after buying an additional 174 shares during the period. Smartleaf Asset Management LLC raised its holdings in ESAB by 259.4% during the 4th quarter. Smartleaf Asset Management LLC now owns 381 shares of the company’s stock worth $43,000 after buying an additional 275 shares during the period. Finally, Global Retirement Partners LLC raised its holdings in ESAB by 3,023.1% during the 4th quarter. Global Retirement Partners LLC now owns 406 shares of the company’s stock worth $45,000 after buying an additional 393 shares during the period. 91.13% of the stock is currently owned by institutional investors and hedge funds.

ESAB Company Profile

ESAB Corporation is a global leader in welding, cutting and gas control technologies, offering a comprehensive portfolio of equipment, consumables and automation solutions. The company’s products include welding power sources, cutting machines, torches, electrodes, filler metals and gas regulating equipment designed to meet the needs of diverse industries. ESAB serves sectors such as construction, shipbuilding, automotive, energy, infrastructure and manufacturing, providing both standard and customized solutions to enhance productivity and quality in metal fabrication and processing.

Founded in 1904 by Swedish inventor Oscar Kjellberg, ESAB pioneered the development of coated welding electrodes, laying the groundwork for modern welding practices.