Alamo Group (NYSE:ALG) Hits New 1-Year Low – Here’s Why

Alamo Group, Inc. (NYSE:ALG)’s share price reached a new 52-week low during mid-day trading on Monday . The stock traded as low as $145.76 and last traded at $148.74, with a volume of 947 shares. The stock had previously closed at $151.98.

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on ALG shares. William Blair started coverage on shares of Alamo Group in a report on Monday, March 16th. They issued an “outperform” rating for the company. Zacks Research raised shares of Alamo Group from a “strong sell” rating to a “hold” rating in a report on Tuesday, May 5th. Weiss Ratings reissued a “hold (c)” rating on shares of Alamo Group in a report on Friday, March 27th. Finally, DA Davidson reduced their target price on shares of Alamo Group from $190.00 to $188.00 and set a “neutral” rating for the company in a report on Monday, May 11th. One investment analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $224.00.

Alamo Group Stock Down 1.0%

The company has a current ratio of 4.32, a quick ratio of 2.45 and a debt-to-equity ratio of 0.23. The firm has a market capitalization of $1.82 billion, a P/E ratio of 17.90, a P/E/G ratio of 0.89 and a beta of 1.17. The company has a 50 day simple moving average of $167.15 and a two-hundred day simple moving average of $177.21.

Alamo Group (NYSE:ALG) last posted its quarterly earnings results on Monday, May 4th. The industrial products company reported $2.56 earnings per share for the quarter, topping the consensus estimate of $2.20 by $0.36. Alamo Group had a return on equity of 9.71% and a net margin of 6.21%.The business had revenue of $417.15 million during the quarter, compared to the consensus estimate of $398.02 million. On average, equities analysts predict that Alamo Group, Inc. will post 10.61 EPS for the current fiscal year.

Alamo Group Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, April 29th. Shareholders of record on Wednesday, April 15th were paid a $0.34 dividend. This represents a $1.36 annualized dividend and a yield of 0.9%. The ex-dividend date was Wednesday, April 15th. Alamo Group’s dividend payout ratio is presently 16.27%.

Insiders Place Their Bets

In other news, Director Nina C. Grooms sold 499 shares of the stock in a transaction that occurred on Wednesday, March 11th. The stock was sold at an average price of $175.19, for a total transaction of $87,419.81. Following the completion of the transaction, the director directly owned 2,844 shares in the company, valued at approximately $498,240.36. This represents a 14.93% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Edward Rizzuti sold 600 shares of the stock in a transaction that occurred on Tuesday, March 24th. The shares were sold at an average price of $170.93, for a total value of $102,558.00. Following the transaction, the executive vice president owned 10,857 shares of the company’s stock, valued at $1,855,787.01. This represents a 5.24% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 1.06% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Vanguard Group Inc. boosted its position in shares of Alamo Group by 1.6% during the 4th quarter. Vanguard Group Inc. now owns 798,234 shares of the industrial products company’s stock valued at $134,000,000 after acquiring an additional 12,499 shares during the last quarter. Allspring Global Investments Holdings LLC boosted its position in shares of Alamo Group by 9.4% during the 4th quarter. Allspring Global Investments Holdings LLC now owns 666,327 shares of the industrial products company’s stock valued at $113,562,000 after acquiring an additional 57,456 shares during the last quarter. Dimensional Fund Advisors LP boosted its position in shares of Alamo Group by 5.5% during the 1st quarter. Dimensional Fund Advisors LP now owns 527,399 shares of the industrial products company’s stock valued at $87,006,000 after acquiring an additional 27,597 shares during the last quarter. First Trust Advisors LP boosted its position in shares of Alamo Group by 5.4% during the 1st quarter. First Trust Advisors LP now owns 469,289 shares of the industrial products company’s stock valued at $77,419,000 after acquiring an additional 24,184 shares during the last quarter. Finally, Victory Capital Management Inc. boosted its position in shares of Alamo Group by 7.4% during the 4th quarter. Victory Capital Management Inc. now owns 462,758 shares of the industrial products company’s stock valued at $77,683,000 after acquiring an additional 31,860 shares during the last quarter. 92.36% of the stock is currently owned by institutional investors.

Alamo Group Company Profile

Alamo Group, Inc engages in the design, manufacture and marketing of equipment for vegetation management, roadside maintenance, agricultural harvesting and industrial applications. The company offers a broad portfolio of products, including boom mowers, flail mowers, rotary cutters, snow removal equipment, slurry seal machines, railcar movers and tow tractors. These offerings are distributed under a variety of brand names and through a network of independent dealerships and distributors, meeting the needs of municipalities, highway departments, agricultural producers and industrial operators.

The company operates through two primary segments: Agricultural and Industrial.