ESAB (NYSE:ESAB) Sets New 52-Week Low – Should You Sell?

Shares of ESAB Corporation (NYSE:ESAB) reached a new 52-week low during mid-day trading on Thursday. The company traded as low as $63.29 and last traded at $63.6410, with a volume of 123460 shares changing hands. The stock had previously closed at $67.12.

Analysts Set New Price Targets

A number of research firms recently weighed in on ESAB. Weiss Ratings cut ESAB from a “hold (c)” rating to a “hold (c-)” rating in a report on Tuesday, August 11th. Stifel Nicolaus decreased their target price on ESAB from $141.00 to $137.00 and set a “buy” rating on the stock in a research report on Monday, July 20th. Roth Capital reissued a “buy” rating and issued a $133.00 target price (down from $151.00) on shares of ESAB in a report on Tuesday, September 15th. Oppenheimer cut their price target on ESAB from $140.00 to $135.00 and set an “outperform” rating for the company in a research note on Tuesday, July 21st. Finally, DA Davidson initiated coverage on shares of ESAB in a research report on Monday, June 15th. They set a “buy” rating and a $130.00 target price for the company. Seven analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $135.57.

ESAB Stock Performance

The company has a quick ratio of 1.22, a current ratio of 1.96 and a debt-to-equity ratio of 0.99. The stock has a fifty day moving average price of $76.51 and a two-hundred day moving average price of $88.31. The company has a market capitalization of $3.98 billion, a price-to-earnings ratio of 22.93, a PEG ratio of 1.13 and a beta of 1.19.

ESAB (NYSE:ESAB) last posted its quarterly earnings data on Thursday, August 6th. The company reported $1.33 EPS for the quarter, missing analysts’ consensus estimates of $1.37 by ($0.04). ESAB had a net margin of 5.75% and a return on equity of 14.48%. The company had revenue of $807.63 million for the quarter, compared to analyst estimates of $755.64 million. During the same period in the previous year, the business earned $1.36 EPS. The firm’s revenue was up 12.9% on a year-over-year basis. ESAB has set its FY 2026 guidance at 5.400-5.500 EPS. As a group, analysts forecast that ESAB Corporation will post 5.46 EPS for the current fiscal year.

ESAB Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, October 16th. Stockholders of record on Friday, October 2nd will be issued a dividend of $0.12 per share. The ex-dividend date is Friday, October 2nd. This represents a $0.48 dividend on an annualized basis and a dividend yield of 0.7%. ESAB’s payout ratio is 17.20%.

Insider Buying and Selling at ESAB

In other news, Director Rhonda L. Jordan sold 1,000 shares of the business’s stock in a transaction that occurred on Friday, August 7th. The shares were sold at an average price of $95.00, for a total value of $95,000.00. Following the completion of the transaction, the director owned 1,000 shares of the company’s stock, valued at $95,000. The trade was a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. 7.20% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the business. T. Rowe Price Investment Management Inc. grew its position in shares of ESAB by 0.6% in the fourth quarter. T. Rowe Price Investment Management Inc. now owns 8,006,238 shares of the company’s stock valued at $894,457,000 after purchasing an additional 45,841 shares during the period. BlackRock Inc. acquired a new stake in ESAB in the 2nd quarter worth about $524,533,000. Bessemer Group Inc. grew its holdings in ESAB by 16.3% in the 1st quarter. Bessemer Group Inc. now owns 1,225,702 shares of the company’s stock valued at $118,475,000 after buying an additional 171,926 shares during the period. Dimensional Fund Advisors LP grew its holdings in ESAB by 2.9% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,215,909 shares of the company’s stock valued at $117,500,000 after buying an additional 34,383 shares during the period. Finally, Bank of New York Mellon Corp increased its stake in shares of ESAB by 21.7% during the 1st quarter. Bank of New York Mellon Corp now owns 984,297 shares of the company’s stock valued at $95,142,000 after acquiring an additional 175,398 shares during the last quarter. 91.13% of the stock is currently owned by institutional investors and hedge funds.

ESAB Company Profile

ESAB Corporation (NYSE: ESAB) is a global provider of welding and cutting technologies. The company develops and manufactures equipment, consumable products and related solutions used to join, cut and protect metals in industrial, construction, infrastructure, transportation and other applications.

Its product portfolio includes welding systems, cutting machines, welding electrodes and wires, gas-control equipment, automation technologies, protective equipment and accessories. ESAB markets its products under brands that include ESAB, Victor, Tweco, Stoody and Thermal Dynamics, serving customers through direct sales, distributors and other channels.

The company traces its origins to 1904, when Swedish inventor Oscar Kjellberg developed a coated welding electrode.