Snap-On (NYSE:SNA) Hits New 52-Week High – Time to Buy?

Snap-On Incorporated (NYSE:SNA) shares reached a new 52-week high on Tuesday . The stock traded as high as $420.17 and last traded at $419.6530, with a volume of 44588 shares traded. The stock had previously closed at $407.42.

Analysts Set New Price Targets

A number of equities analysts have recently weighed in on the stock. Weiss Ratings reissued a “buy (b)” rating on shares of Snap-On in a research report on Friday, July 17th. Barclays began coverage on Snap-On in a research note on Thursday, May 28th. They set an “overweight” rating and a $420.00 price objective on the stock. Robert W. Baird set a $415.00 target price on Snap-On in a report on Friday. Finally, Roth Capital reissued a “buy” rating and issued a $461.00 target price (up from $409.00) on shares of Snap-On in a research note on Friday. Five equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. According to data from MarketBeat.com, Snap-On has a consensus rating of “Moderate Buy” and a consensus price target of $418.20.

Snap-On Stock Up 2.3%

The company has a debt-to-equity ratio of 0.15, a current ratio of 3.43 and a quick ratio of 2.64. The company has a market capitalization of $21.57 billion, a price-to-earnings ratio of 21.26, a PEG ratio of 2.85 and a beta of 0.73. The firm has a 50-day moving average price of $390.45 and a two-hundred day moving average price of $378.91.

Snap-On (NYSE:SNA) last posted its quarterly earnings data on Thursday, July 23rd. The company reported $4.96 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.95 by $0.01. The business had revenue of $1.24 billion during the quarter, compared to the consensus estimate of $1.22 billion. Snap-On had a return on equity of 17.07% and a net margin of 21.25%.Snap-On’s quarterly revenue was up 4.7% on a year-over-year basis. During the same period last year, the company earned $4.72 earnings per share. As a group, sell-side analysts anticipate that Snap-On Incorporated will post 19.67 earnings per share for the current fiscal year.

Snap-On Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, June 10th. Stockholders of record on Wednesday, May 20th were paid a dividend of $2.44 per share. This represents a $9.76 annualized dividend and a dividend yield of 2.3%. The ex-dividend date of this dividend was Wednesday, May 20th. Snap-On’s dividend payout ratio (DPR) is currently 49.77%.

Snap-On announced that its board has initiated a share buyback plan on Thursday, April 30th that allows the company to repurchase $500.00 million in outstanding shares. This repurchase authorization allows the company to purchase up to 2.5% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s leadership believes its shares are undervalued.

Insiders Place Their Bets

In other news, SVP Jesus Arregui sold 4,251 shares of the business’s stock in a transaction on Wednesday, June 10th. The shares were sold at an average price of $383.92, for a total value of $1,632,043.92. Following the sale, the senior vice president owned 4,439 shares of the company’s stock, valued at $1,704,220.88. The trade was a 48.92% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, VP Richard Thomas Miller sold 2,000 shares of the stock in a transaction on Wednesday, July 1st. The stock was sold at an average price of $405.92, for a total transaction of $811,840.00. Following the transaction, the vice president owned 4,529 shares of the company’s stock, valued at $1,838,411.68. The trade was a 30.63% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 37,506 shares of company stock valued at $14,167,081 over the last 90 days. 3.80% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Snap-On

A number of large investors have recently modified their holdings of the business. Auto Owners Insurance Co increased its position in shares of Snap-On by 34,360.0% in the fourth quarter. Auto Owners Insurance Co now owns 1,025,185 shares of the company’s stock valued at $353,279,000 after acquiring an additional 1,022,210 shares during the last quarter. Norges Bank bought a new position in Snap-On in the fourth quarter valued at approximately $210,814,000. PFA Pension Forsikringsaktieselskab acquired a new position in shares of Snap-On during the 4th quarter worth approximately $69,751,000. UBS Group AG increased its position in shares of Snap-On by 30.7% during the 4th quarter. UBS Group AG now owns 617,620 shares of the company’s stock worth $212,832,000 after purchasing an additional 144,926 shares during the last quarter. Finally, Miller Howard Investments Inc. NY bought a new stake in shares of Snap-On during the 1st quarter worth approximately $51,244,000. 84.88% of the stock is currently owned by institutional investors and hedge funds.

Snap-On Company Profile

Snap?On Incorporated (NYSE: SNA) is a designer, manufacturer and marketer of tools, diagnostic equipment, repair information and shop equipment for professional users. The company’s product range includes hand and power tools, tool storage and cabinets, diagnostic scan tools and software, shop equipment such as lifts and tire changers, and specialized specialty tools for automotive, aviation, marine and industrial applications. Snap?On also offers information and workflow solutions that combine diagnostic data, repair procedures and parts information to support professional technicians.

Founded in 1920 and headquartered in Kenosha, Wisconsin, Snap?On has established a long history in the professional tools market.