Valmont Industries (NYSE:VMI) Shares Gap Down – Should You Sell?

Valmont Industries, Inc. (NYSE:VMI) gapped down before the market opened on Friday . The stock had previously closed at $326.58, but opened at $305.17. Valmont Industries shares last traded at $301.24, with a volume of 46,735 shares changing hands.

Analyst Ratings Changes

A number of equities analysts recently weighed in on the company. DA Davidson cut Valmont Industries from a “buy” rating to a “neutral” rating and set a $380.00 price objective on the stock. in a report on Wednesday, February 19th. StockNews.com cut Valmont Industries from a “strong-buy” rating to a “buy” rating in a research note on Wednesday. William Blair cut Valmont Industries from an “outperform” rating to a “market perform” rating in a research note on Friday. Finally, Stifel Nicolaus boosted their target price on Valmont Industries from $387.00 to $425.00 and gave the stock a “buy” rating in a report on Wednesday, February 19th.

Valmont Industries Stock Performance

The stock has a market capitalization of $5.73 billion, a P/E ratio of 16.63 and a beta of 0.98. The company has a quick ratio of 1.55, a current ratio of 2.07 and a debt-to-equity ratio of 0.47. The business has a fifty day moving average price of $332.20 and a 200-day moving average price of $319.07.

Valmont Industries (NYSE:VMI) last posted its earnings results on Tuesday, February 18th. The industrial products company reported $3.84 earnings per share for the quarter, beating analysts’ consensus estimates of $3.63 by $0.21. The company had revenue of $1.04 billion for the quarter, compared to the consensus estimate of $1.01 billion. Valmont Industries had a return on equity of 23.15% and a net margin of 8.55%. During the same quarter in the prior year, the company earned $3.18 earnings per share. On average, sell-side analysts expect that Valmont Industries, Inc. will post 18.07 EPS for the current year.

Valmont Industries Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, April 15th. Shareholders of record on Friday, March 28th will be issued a dividend of $0.68 per share. The ex-dividend date of this dividend is Friday, March 28th. This represents a $2.72 annualized dividend and a yield of 0.95%. This is an increase from Valmont Industries’s previous quarterly dividend of $0.60. Valmont Industries’s payout ratio is currently 15.83%.

Hedge Funds Weigh In On Valmont Industries

Large investors have recently added to or reduced their stakes in the company. Sunbelt Securities Inc. bought a new stake in Valmont Industries in the third quarter worth $35,000. Aster Capital Management DIFC Ltd lifted its stake in Valmont Industries by 175.7% in the fourth quarter. Aster Capital Management DIFC Ltd now owns 193 shares of the industrial products company’s stock worth $59,000 after acquiring an additional 123 shares during the period. Point72 Asset Management L.P. purchased a new stake in Valmont Industries in the third quarter worth about $58,000. Quarry LP lifted its stake in Valmont Industries by 395.1% in the fourth quarter. Quarry LP now owns 203 shares of the industrial products company’s stock worth $62,000 after acquiring an additional 162 shares during the period. Finally, Avior Wealth Management LLC raised its holdings in Valmont Industries by 35.9% in the fourth quarter. Avior Wealth Management LLC now owns 212 shares of the industrial products company’s stock worth $65,000 after purchasing an additional 56 shares in the last quarter. Hedge funds and other institutional investors own 87.84% of the company’s stock.

Valmont Industries Company Profile

Valmont Industries, Inc operates as manufacturer of products and services for infrastructure and agriculture markets in the United States, Australia, Brazil, and internationally. It operates through two segments, Infrastructure and Agriculture. The company manufactures and distributes steel, pre-stressed concrete, composite structures for electrical transmission, substation, and distribution applications; and designs, engineers, and manufactures metal, steel, wood, aluminum, and composite poles and structures for lighting and transportation applications.