MSC Industrial Direct (NYSE:MSM) Shares Gap Down on Disappointing Earnings

MSC Industrial Direct Company, Inc. (NYSE:MSM) shares gapped down before the market opened on Wednesday following a dissappointing earnings announcement. The stock had previously closed at $92.27, but opened at $88.58. MSC Industrial Direct shares last traded at $90.6820, with a volume of 118,589 shares trading hands.

The industrial products company reported $0.82 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.84 by ($0.02). MSC Industrial Direct had a return on equity of 15.73% and a net margin of 5.37%.The business had revenue of $917.77 million during the quarter, compared to the consensus estimate of $931.69 million. During the same period in the prior year, the business earned $0.72 EPS. The business’s revenue was up 2.9% on a year-over-year basis.

MSC Industrial Direct Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, April 22nd. Investors of record on Wednesday, April 8th will be issued a $0.87 dividend. The ex-dividend date of this dividend is Wednesday, April 8th. This represents a $3.48 annualized dividend and a dividend yield of 3.9%. MSC Industrial Direct’s dividend payout ratio (DPR) is 95.08%.

Wall Street Analyst Weigh In

A number of research firms recently issued reports on MSM. Jefferies Financial Group restated a “hold” rating and set a $85.00 price objective on shares of MSC Industrial Direct in a research note on Thursday, January 8th. Wall Street Zen cut MSC Industrial Direct from a “buy” rating to a “hold” rating in a research note on Saturday, January 31st. iA Financial set a $95.00 price target on shares of MSC Industrial Direct in a report on Friday, February 6th. Zacks Research lowered shares of MSC Industrial Direct from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, December 3rd. Finally, Robert W. Baird set a $94.00 price objective on shares of MSC Industrial Direct in a report on Thursday, January 8th. Nine investment analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, MSC Industrial Direct has a consensus rating of “Hold” and an average target price of $90.50.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Quent Capital LLC acquired a new position in shares of MSC Industrial Direct during the third quarter valued at approximately $31,000. Hantz Financial Services Inc. lifted its position in MSC Industrial Direct by 257.4% in the third quarter. Hantz Financial Services Inc. now owns 361 shares of the industrial products company’s stock worth $33,000 after purchasing an additional 260 shares during the period. Quarry LP boosted its stake in MSC Industrial Direct by 71.7% during the 3rd quarter. Quarry LP now owns 503 shares of the industrial products company’s stock valued at $46,000 after purchasing an additional 210 shares in the last quarter. Kestra Advisory Services LLC acquired a new position in shares of MSC Industrial Direct during the 4th quarter valued at $48,000. Finally, EverSource Wealth Advisors LLC increased its position in shares of MSC Industrial Direct by 130.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 576 shares of the industrial products company’s stock valued at $49,000 after purchasing an additional 326 shares during the period. 79.26% of the stock is currently owned by institutional investors.

MSC Industrial Direct Stock Down 3.1%

The company has a debt-to-equity ratio of 0.15, a quick ratio of 0.82 and a current ratio of 1.73. The stock has a 50 day moving average price of $90.75 and a 200 day moving average price of $88.30. The company has a market cap of $4.99 billion, a P/E ratio of 24.42 and a beta of 0.81.

MSC Industrial Direct Company Profile

MSC Industrial Direct Co, Inc (NYSE: MSM) is a leading distributor of metalworking and maintenance, repair and operations (MRO) products serving a broad range of industrial customers across North America. The company offers an extensive portfolio of cutting tools, abrasives, measuring and inspection instruments, fasteners, safety supplies and other essential components used in manufacturing, metalworking and production environments. MSC delivers products through a multi-channel distribution network, including an extensive branch system, e-commerce platform and dedicated sales force.

In addition to its core product offerings, MSC Industrial Direct provides value-added services designed to improve productivity and reduce downtime for its customers.