Embraer (NYSE:ERJ) Reaches New 1-Year High Following Strong Earnings

Embraer S.A. (NYSE:ERJ)’s share price reached a new 52-week high on Friday after the company announced better than expected quarterly earnings. The stock traded as high as $48.40 and last traded at $47.51, with a volume of 6887154 shares changing hands. The stock had previously closed at $42.89.

The aerospace company reported $0.94 earnings per share for the quarter, beating the consensus estimate of $0.47 by $0.47. Embraer had a net margin of 8.24% and a return on equity of 11.61%.

Wall Street Analysts Forecast Growth

ERJ has been the subject of several analyst reports. UBS Group cut shares of Embraer from a “neutral” rating to a “sell” rating and increased their price target for the company from $29.00 to $32.00 in a research report on Tuesday, November 19th. Bank of America boosted their price target on shares of Embraer from $40.00 to $55.00 and gave the company a “buy” rating in a research report on Thursday, November 21st. StockNews.com lowered shares of Embraer from a “buy” rating to a “hold” rating in a report on Saturday, February 22nd. Finally, TD Cowen raised Embraer to a “strong-buy” rating in a research report on Thursday, December 19th. One equities research analyst has rated the stock with a sell rating, one has issued a hold rating, four have given a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat, Embraer currently has an average rating of “Moderate Buy” and a consensus price target of $40.50.

Hedge Funds Weigh In On Embraer

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Jones Financial Companies Lllp purchased a new position in Embraer during the fourth quarter valued at $28,000. SPX Gestao de Recursos Ltda purchased a new position in Embraer during the fourth quarter valued at $37,000. Colonial Trust Co SC purchased a new position in Embraer during the fourth quarter valued at $42,000. Lindbrook Capital LLC lifted its position in Embraer by 32.9% during the fourth quarter. Lindbrook Capital LLC now owns 1,572 shares of the aerospace company’s stock valued at $58,000 after buying an additional 389 shares during the period. Finally, Venturi Wealth Management LLC purchased a new position in Embraer during the fourth quarter valued at $71,000. Hedge funds and other institutional investors own 34.65% of the company’s stock.

Embraer Price Performance

The company has a quick ratio of 0.76, a current ratio of 1.56 and a debt-to-equity ratio of 0.74. The firm has a fifty day moving average price of $40.02 and a two-hundred day moving average price of $36.94. The stock has a market capitalization of $8.72 billion, a P/E ratio of 17.47 and a beta of 1.71.

Embraer Company Profile

Embraer SA designs, develops, manufactures, and sells aircraft and systems in North America, Latin America, the Asia Pacific, Brazil, Europe, and internationally. The company operates through Commercial Aviation; Defense & Security; Executive Aviation; Services & Support; and Other segments. The Commercial Aviation segment designs, develops, manufactures, and sells commercial jets, as well as leases aircraft.