Snap-On (NYSE:SNA) Reaches New 12-Month High – Here’s Why

Snap-On Incorporated (NYSE:SNA)’s stock price reached a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $420.17 and last traded at $419.6530, with a volume of 44588 shares trading hands. The stock had previously closed at $407.42.

Analyst Upgrades and Downgrades

SNA has been the subject of a number of research analyst reports. Barclays assumed coverage on Snap-On in a research note on Thursday, May 28th. They set an “overweight” rating and a $420.00 price target for the company. Robert W. Baird set a $415.00 target price on Snap-On in a report on Friday, July 24th. Roth Capital restated a “buy” rating and set a $461.00 target price (up from $409.00) on shares of Snap-On in a research note on Friday, July 24th. Finally, Weiss Ratings reiterated a “buy (b)” rating on shares of Snap-On in a research note on Friday, July 17th. Five investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $418.20.

Snap-On Trading Down 1.0%

The firm has a market capitalization of $21.48 billion, a PE ratio of 21.17, a P/E/G ratio of 2.95 and a beta of 0.73. The company’s fifty day simple moving average is $392.69 and its 200-day simple moving average is $379.77. The company has a debt-to-equity ratio of 0.15, a current ratio of 3.43 and a quick ratio of 2.64.

Snap-On (NYSE:SNA) last announced its quarterly earnings data on Thursday, July 23rd. The company reported $4.96 earnings per share for the quarter, beating analysts’ consensus estimates of $4.95 by $0.01. The company had revenue of $1.24 billion for the quarter, compared to analyst estimates of $1.22 billion. Snap-On had a return on equity of 17.07% and a net margin of 21.25%.The firm’s revenue for the quarter was up 4.7% on a year-over-year basis. During the same quarter last year, the firm posted $4.72 EPS. As a group, sell-side analysts expect that Snap-On Incorporated will post 19.7 earnings per share for the current fiscal year.

Snap-On declared that its board has approved a stock repurchase program on Thursday, April 30th that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the company to buy up to 2.5% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s leadership believes its shares are undervalued.

Insider Activity at Snap-On

In related news, SVP Timothy L. Chambers sold 9,111 shares of the business’s stock in a transaction dated Tuesday, July 28th. The shares were sold at an average price of $419.36, for a total value of $3,820,788.96. Following the sale, the senior vice president directly owned 21,223 shares in the company, valued at approximately $8,900,077.28. The trade was a 30.04% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Jesus Arregui sold 4,251 shares of the stock in a transaction dated Wednesday, June 10th. The stock was sold at an average price of $383.92, for a total transaction of $1,632,043.92. Following the transaction, the senior vice president directly owned 4,439 shares of the company’s stock, valued at approximately $1,704,220.88. This trade represents a 48.92% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 46,617 shares of company stock valued at $17,987,869 over the last ninety days. Corporate insiders own 3.80% of the company’s stock.

Hedge Funds Weigh In On Snap-On

Large investors have recently made changes to their positions in the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in Snap-On by 15.5% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 8,850 shares of the company’s stock worth $2,983,000 after purchasing an additional 1,185 shares in the last quarter. Woodline Partners LP lifted its stake in Snap-On by 40.4% during the 1st quarter. Woodline Partners LP now owns 4,426 shares of the company’s stock worth $1,492,000 after acquiring an additional 1,273 shares in the last quarter. EverSource Wealth Advisors LLC boosted its holdings in Snap-On by 100.9% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 464 shares of the company’s stock valued at $144,000 after acquiring an additional 233 shares during the period. Gamco Investors INC. ET AL increased its stake in Snap-On by 32.9% during the second quarter. Gamco Investors INC. ET AL now owns 1,752 shares of the company’s stock worth $545,000 after purchasing an additional 434 shares during the period. Finally, Natixis lifted its position in shares of Snap-On by 136.8% during the second quarter. Natixis now owns 3,048 shares of the company’s stock worth $948,000 after purchasing an additional 1,761 shares in the last quarter. 84.88% of the stock is currently owned by institutional investors and hedge funds.

Snap-On Company Profile

Snap‑On Incorporated (NYSE: SNA) is a designer, manufacturer and marketer of tools, diagnostic equipment, repair information and shop equipment for professional users. The company’s product range includes hand and power tools, tool storage and cabinets, diagnostic scan tools and software, shop equipment such as lifts and tire changers, and specialized specialty tools for automotive, aviation, marine and industrial applications. Snap‑On also offers information and workflow solutions that combine diagnostic data, repair procedures and parts information to support professional technicians.

Founded in 1920 and headquartered in Kenosha, Wisconsin, Snap‑On has established a long history in the professional tools market.