W.W. Grainger (NYSE:GWW) Shares Gap Down Following Weak Earnings

Shares of W.W. Grainger, Inc. (NYSE:GWW) gapped down before the market opened on Friday following a weaker than expected earnings announcement. The stock had previously closed at $1,126.07, but opened at $1,062.20. W.W. Grainger shares last traded at $1,034.28, with a volume of 49,558 shares changing hands.

The industrial products company reported $9.71 EPS for the quarter, missing the consensus estimate of $9.75 by ($0.04). W.W. Grainger had a return on equity of 51.78% and a net margin of 10.80%. During the same quarter last year, the firm posted $8.33 EPS.

W.W. Grainger Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Saturday, March 1st. Shareholders of record on Monday, February 10th will be paid a $2.05 dividend. This represents a $8.20 dividend on an annualized basis and a yield of 0.77%. The ex-dividend date of this dividend is Monday, February 10th. W.W. Grainger’s dividend payout ratio is presently 22.23%.

Analyst Ratings Changes

A number of research analysts have recently commented on the company. StockNews.com cut W.W. Grainger from a “buy” rating to a “hold” rating in a research note on Thursday, December 19th. Royal Bank of Canada boosted their price objective on shares of W.W. Grainger from $1,018.00 to $1,125.00 and gave the stock a “sector perform” rating in a research report on Friday, November 1st. Baird R W raised shares of W.W. Grainger from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, October 16th. Loop Capital boosted their price target on shares of W.W. Grainger from $900.00 to $1,100.00 and gave the company a “hold” rating in a research report on Monday, October 21st. Finally, Bank of America started coverage on W.W. Grainger in a report on Monday, October 7th. They set an “underperform” rating and a $925.00 price objective on the stock. One investment analyst has rated the stock with a sell rating, ten have assigned a hold rating, two have given a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus target price of $1,140.56.

Insider Buying and Selling at W.W. Grainger

In other W.W. Grainger news, VP Paige K. Robbins sold 9,577 shares of the business’s stock in a transaction on Tuesday, November 5th. The shares were sold at an average price of $1,117.84, for a total value of $10,705,553.68. Following the transaction, the vice president now directly owns 4,379 shares of the company’s stock, valued at approximately $4,895,021.36. The trade was a 68.62 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, VP Laurie R. Thomson sold 125 shares of the firm’s stock in a transaction on Wednesday, November 13th. The stock was sold at an average price of $1,206.03, for a total transaction of $150,753.75. Following the completion of the sale, the vice president now owns 675 shares of the company’s stock, valued at $814,070.25. This trade represents a 15.63 % decrease in their position. The disclosure for this sale can be found here. 9.50% of the stock is owned by company insiders.

Hedge Funds Weigh In On W.W. Grainger

Several institutional investors and hedge funds have recently added to or reduced their stakes in GWW. Wilmington Savings Fund Society FSB acquired a new position in W.W. Grainger during the third quarter worth $848,000. Trust Co. of Toledo NA OH boosted its position in shares of W.W. Grainger by 313.3% during the 4th quarter. Trust Co. of Toledo NA OH now owns 1,521 shares of the industrial products company’s stock worth $1,603,000 after purchasing an additional 1,153 shares in the last quarter. Toronto Dominion Bank grew its stake in shares of W.W. Grainger by 72.6% during the 3rd quarter. Toronto Dominion Bank now owns 22,045 shares of the industrial products company’s stock worth $22,901,000 after purchasing an additional 9,270 shares during the period. Clark & Stuart Inc purchased a new position in shares of W.W. Grainger in the 4th quarter valued at about $1,741,000. Finally, Empowered Funds LLC lifted its stake in shares of W.W. Grainger by 27.0% in the third quarter. Empowered Funds LLC now owns 2,226 shares of the industrial products company’s stock valued at $2,312,000 after purchasing an additional 473 shares during the period. Institutional investors and hedge funds own 80.70% of the company’s stock.

W.W. Grainger Trading Down 5.5 %

The company has a quick ratio of 1.68, a current ratio of 2.59 and a debt-to-equity ratio of 0.59. The business’s fifty day moving average is $1,118.60 and its 200 day moving average is $1,064.73. The stock has a market cap of $51.84 billion, a PE ratio of 28.85, a P/E/G ratio of 2.86 and a beta of 1.18.

W.W. Grainger Company Profile

W.W. Grainger, Inc, together with its subsidiaries, distributes maintenance, repair, and operating products and services primarily in North America, Japan, the United Kingdom, and internationally. The company operates through two segments, High-Touch Solutions N.A. and Endless Assortment. The company provides safety, security, material handling and storage equipment, pumps and plumbing equipment, cleaning and maintenance, and metalworking and hand tools.