Sandvik (OTCMKTS:SDVKY) Shares Gap Up – Here’s Why

Sandvik AB (OTCMKTS:SDVKY)’s share price gapped up prior to trading on Wednesday . The stock had previously closed at $36.01, but opened at $38.51. Sandvik shares last traded at $39.48, with a volume of 3,329 shares.

Analysts Set New Price Targets

SDVKY has been the topic of several recent analyst reports. Morgan Stanley cut Sandvik from an “overweight” rating to an “equal weight” rating in a research report on Thursday, March 12th. Jefferies Financial Group cut shares of Sandvik from a “strong-buy” rating to a “hold” rating in a research note on Sunday, January 25th. Zacks Research lowered shares of Sandvik from a “strong-buy” rating to a “hold” rating in a research note on Monday, February 16th. Barclays reissued an “overweight” rating on shares of Sandvik in a report on Wednesday, February 25th. Finally, Citigroup restated a “buy” rating on shares of Sandvik in a report on Monday, January 12th. One analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy”.

Sandvik Trading Up 3.0%

The company has a market capitalization of $49.71 billion, a P/E ratio of 32.75, a PEG ratio of 1.41 and a beta of 1.48. The company has a debt-to-equity ratio of 0.38, a quick ratio of 1.02 and a current ratio of 1.94. The stock has a fifty day moving average of $40.18 and a 200 day moving average of $33.97.

Sandvik (OTCMKTS:SDVKY) last released its quarterly earnings results on Tuesday, January 27th. The industrial products company reported $0.36 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.37 by ($0.01). Sandvik had a net margin of 12.16% and a return on equity of 16.94%. The company had revenue of $3.64 billion for the quarter, compared to the consensus estimate of $3.38 billion. As a group, equities research analysts anticipate that Sandvik AB will post 1.27 EPS for the current fiscal year.

Institutional Investors Weigh In On Sandvik

A hedge fund recently raised its stake in Sandvik stock. GAMMA Investing LLC lifted its holdings in Sandvik AB (OTCMKTS:SDVKY) by 24.8% in the third quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 7,406 shares of the industrial products company’s stock after acquiring an additional 1,473 shares during the period. GAMMA Investing LLC’s holdings in Sandvik were worth $208,000 at the end of the most recent reporting period. 0.74% of the stock is owned by institutional investors.

Sandvik Company Profile

Sandvik (OTCMKTS: SDVKY) is a global engineering group headquartered in Sandviken, Sweden, with roots dating back to 1862 when it was founded by Göran Fredrik Göransson. The company designs, manufactures and services advanced products and solutions for the mining and construction industries, metalworking and material technology markets. Sandvik serves customers worldwide with a broad portfolio of industrial products, equipment and aftermarket services.

Sandvik’s core activities span three broad areas: metal-cutting and machining solutions, mining and rock excavation equipment, and specialty materials and components.