MSC Industrial Direct (NYSE:MSM) Reaches New 12-Month High on Earnings Beat

Shares of MSC Industrial Direct Company, Inc. (NYSE:MSM) reached a new 52-week high during trading on Wednesday following a stronger than expected earnings report. The company traded as high as $121.64 and last traded at $118.8820, with a volume of 1080969 shares trading hands. The stock had previously closed at $116.67.

The industrial products company reported $1.43 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.28 by $0.15. MSC Industrial Direct had a return on equity of 17.34% and a net margin of 5.91%.The business had revenue of $1.05 billion for the quarter, compared to analysts’ expectations of $1.03 billion. During the same period in the prior year, the firm posted $1.08 EPS. The firm’s quarterly revenue was up 7.8% on a year-over-year basis.

MSC Industrial Direct Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, July 22nd. Stockholders of record on Wednesday, July 8th will be paid a $0.87 dividend. The ex-dividend date is Wednesday, July 8th. This represents a $3.48 annualized dividend and a dividend yield of 2.8%. MSC Industrial Direct’s payout ratio is currently 93.55%.

More MSC Industrial Direct News

Here are the key news stories impacting MSC Industrial Direct this week:

• Positive Sentiment: MSC Industrial beat Wall Street estimates with fiscal Q3 adjusted EPS of $1.43 and revenue of about $1.05 billion, helped by price gains and a return to volume growth, which points to improving operating momentum. MSC Industrial Q3 Earnings Beat on Price Gains & Volume Growth
• Positive Sentiment: DA Davidson raised its price target on MSC Industrial Direct to $150 from $145 and reiterated a buy rating, signaling confidence that shares still have room to run. Benzinga / The Fly report
• Positive Sentiment: Zacks upgraded MSC Industrial to Rank #2 (Buy), citing improving earnings expectations and reinforcing the bullish post-earnings sentiment. What Makes MSC Industrial (MSM) a New Buy Stock
• Positive Sentiment: Management and commentary around the earnings call suggest the turnaround is progressing, with improving volume trends, a reset cost structure, and guidance pointing to continued sales gains. MSM Q3 Earnings Call Shows Early Gains in Volume, Cost Reset
• Neutral Sentiment: The stock also appears to be benefiting from broader investor enthusiasm after reaching new highs, as the market continues to price in a stronger industrial recovery. MSC Industrial: A Broadening Industrial Recovery Is Driving Shares To New Highs

Wall Street Analyst Weigh In

MSM has been the topic of several recent analyst reports. KeyCorp increased their price objective on MSC Industrial Direct from $132.00 to $145.00 and gave the company an “overweight” rating in a research report on Wednesday. Weiss Ratings raised MSC Industrial Direct from a “hold (c)” rating to a “hold (c+)” rating in a research report on Tuesday, June 23rd. Jefferies Financial Group set a $130.00 price target on shares of MSC Industrial Direct in a research note on Wednesday. Finally, DA Davidson boosted their price objective on shares of MSC Industrial Direct from $145.00 to $150.00 and gave the company a “buy” rating in a report on Thursday. Two research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $118.17.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the business. First Horizon Corp increased its holdings in MSC Industrial Direct by 101.0% in the 1st quarter. First Horizon Corp now owns 400 shares of the industrial products company’s stock worth $37,000 after acquiring an additional 201 shares in the last quarter. Hantz Financial Services Inc. boosted its holdings in MSC Industrial Direct by 42.4% in the 4th quarter. Hantz Financial Services Inc. now owns 514 shares of the industrial products company’s stock worth $43,000 after buying an additional 153 shares during the period. Quarry LP increased its stake in MSC Industrial Direct by 71.7% in the 3rd quarter. Quarry LP now owns 503 shares of the industrial products company’s stock worth $46,000 after buying an additional 210 shares in the last quarter. Kestra Advisory Services LLC purchased a new stake in MSC Industrial Direct in the 4th quarter worth $48,000. Finally, EverSource Wealth Advisors LLC raised its holdings in MSC Industrial Direct by 130.4% during the second quarter. EverSource Wealth Advisors LLC now owns 576 shares of the industrial products company’s stock valued at $49,000 after acquiring an additional 326 shares during the period. 79.26% of the stock is currently owned by institutional investors.

MSC Industrial Direct Trading Down 0.2%

The stock has a fifty day simple moving average of $110.65 and a 200 day simple moving average of $97.11. The firm has a market capitalization of $6.87 billion, a P/E ratio of 29.72 and a beta of 0.83. The company has a quick ratio of 0.78, a current ratio of 1.55 and a debt-to-equity ratio of 0.06.

About MSC Industrial Direct

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.