Korn/Ferry International (NYSE:KFY) Shares Gap Up on Strong Earnings

Korn/Ferry International (NYSE:KFY) gapped up before the market opened on Tuesday following a stronger than expected earnings report. The stock had previously closed at $67.77, but opened at $70.87. Korn/Ferry International shares last traded at $70.0830, with a volume of 48,911 shares traded.

The business services provider reported $1.40 earnings per share for the quarter, beating analysts’ consensus estimates of $1.37 by $0.03. Korn/Ferry International had a return on equity of 14.36% and a net margin of 9.29%.The company had revenue of $768.26 million for the quarter, compared to analyst estimates of $743.35 million. During the same quarter last year, the firm posted $1.32 EPS. The firm’s revenue for the quarter was up 6.7% on a year-over-year basis.

Korn/Ferry International Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, July 31st. Stockholders of record on Monday, July 6th will be paid a $0.55 dividend. This represents a $2.20 annualized dividend and a dividend yield of 3.1%. The ex-dividend date of this dividend is Monday, July 6th. Korn/Ferry International’s dividend payout ratio (DPR) is currently 43.48%.

Analyst Ratings Changes

Several brokerages recently issued reports on KFY. Truist Financial upped their price objective on shares of Korn/Ferry International from $75.00 to $80.00 and gave the company a “buy” rating in a research note on Tuesday, June 9th. UBS Group boosted their target price on Korn/Ferry International from $65.00 to $70.00 and gave the stock a “neutral” rating in a report on Thursday, April 9th. Wall Street Zen upgraded Korn/Ferry International from a “hold” rating to a “buy” rating in a research report on Sunday, March 1st. Finally, Weiss Ratings raised Korn/Ferry International from a “hold (c+)” rating to a “buy (b-)” rating in a report on Monday, June 1st. Three research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $74.67.

Hedge Funds Weigh In On Korn/Ferry International

A number of institutional investors have recently bought and sold shares of KFY. Wellington Management Group LLP grew its stake in shares of Korn/Ferry International by 48.3% in the 3rd quarter. Wellington Management Group LLP now owns 3,475,576 shares of the business services provider’s stock valued at $243,221,000 after buying an additional 1,132,473 shares during the period. Norges Bank acquired a new position in Korn/Ferry International in the fourth quarter valued at approximately $43,163,000. Adage Capital Partners GP L.L.C. purchased a new position in Korn/Ferry International in the second quarter worth approximately $32,559,000. Boston Partners acquired a new stake in Korn/Ferry International during the fourth quarter worth $26,081,000. Finally, Bank of America Corp DE increased its stake in Korn/Ferry International by 68.4% during the second quarter. Bank of America Corp DE now owns 665,145 shares of the business services provider’s stock worth $48,775,000 after acquiring an additional 270,256 shares during the last quarter. 98.82% of the stock is owned by hedge funds and other institutional investors.

Korn/Ferry International Price Performance

The stock has a 50-day simple moving average of $67.98 and a 200 day simple moving average of $66.13. The company has a market cap of $3.63 billion, a PE ratio of 13.84 and a beta of 1.21. The company has a quick ratio of 2.01, a current ratio of 2.01 and a debt-to-equity ratio of 0.20.

About Korn/Ferry International

Korn Ferry International is a global organizational consulting firm that partners with clients to design optimal structures, roles and responsibilities. The company’s core offerings include executive search, talent acquisition, leadership development and succession planning. By blending deep industry expertise with data-driven insights, Korn Ferry helps organizations identify, assess and develop executives and high-potential talent for critical roles.

Since its founding in 1969 and with headquarters in Los Angeles, Korn Ferry has expanded its presence to more than 50 offices across North America, Europe, Asia Pacific and Latin America.