CNH Industrial (NYSE:CNH) Shares Gap Up After Strong Earnings

CNH Industrial N.V. (NYSE:CNH)’s stock price gapped up before the market opened on Monday following a better than expected earnings announcement. The stock had previously closed at $10.25, but opened at $11.41. CNH Industrial shares last traded at $11.8680, with a volume of 5,348,600 shares trading hands.

The company reported $0.13 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.11 by $0.02. The company had revenue of $4.80 billion during the quarter, compared to analyst estimates of $4.77 billion. CNH Industrial had a return on equity of 7.48% and a net margin of 2.13%.The company’s revenue for the quarter was up 2.0% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.17 earnings per share.

Wall Street Analysts Forecast Growth

A number of brokerages have commented on CNH. Evercore set a $12.25 price objective on CNH Industrial in a research report on Monday, May 11th. DA Davidson reiterated a “neutral” rating and issued a $12.00 target price on shares of CNH Industrial in a report on Monday, May 4th. The Goldman Sachs Group lowered shares of CNH Industrial from a “buy” rating to a “neutral” rating and reduced their price target for the stock from $12.00 to $10.50 in a research report on Monday, May 11th. Weiss Ratings upgraded shares of CNH Industrial from a “sell (d+)” rating to a “hold (c-)” rating in a report on Wednesday. Finally, Citigroup increased their target price on shares of CNH Industrial from $13.00 to $14.00 and gave the stock a “buy” rating in a research report on Monday, April 13th. Six equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $12.77.

Institutional Investors Weigh In On CNH Industrial

Several institutional investors and hedge funds have recently modified their holdings of CNH. Trinity Street Asset Management LLP increased its position in CNH Industrial by 11.7% during the second quarter. Trinity Street Asset Management LLP now owns 2,673,464 shares of the company’s stock worth $30,023,000 after buying an additional 279,127 shares during the last quarter. Everhart Financial Group Inc. bought a new position in CNH Industrial during the second quarter valued at about $118,000. Valeo Financial Advisors LLC acquired a new stake in shares of CNH Industrial in the second quarter worth about $116,000. Empowered Funds LLC lifted its position in shares of CNH Industrial by 73.4% in the first quarter. Empowered Funds LLC now owns 75,828 shares of the company’s stock worth $834,000 after buying an additional 32,090 shares during the last quarter. Finally, FAS Wealth Partners Inc. boosted its stake in shares of CNH Industrial by 25.6% during the 1st quarter. FAS Wealth Partners Inc. now owns 14,587 shares of the company’s stock worth $160,000 after acquiring an additional 2,977 shares in the last quarter. Institutional investors and hedge funds own 59.88% of the company’s stock.

CNH Industrial Stock Performance

The company has a debt-to-equity ratio of 3.32, a quick ratio of 10.17 and a current ratio of 12.27. The company has a market cap of $14.56 billion, a P/E ratio of 37.89, a P/E/G ratio of 1.96 and a beta of 1.15. The firm has a 50 day moving average price of $10.60 and a 200-day moving average price of $10.95.

CNH Industrial Company Profile

CNH Industrial N.V. is a global capital goods company specializing in the design, production and sale of agricultural and construction equipment, commercial vehicles and powertrain solutions. The firm operates through five core brands—Case IH and New Holland for agricultural machinery, Case and New Holland for construction equipment, Iveco for light, medium and heavy commercial vehicles, and FPT Industrial for engines and drivetrain components. Established in 2013 through the combination of Fiat Industrial and CNH Global, the company draws on a rich heritage of innovation dating back to pioneering landmarks in farm and construction machinery from the 19th century.

The company’s product portfolio encompasses tractors, combines, balers, excavators, backhoe loaders, trucks, vans and bespoke engines for marine, automotive and industrial markets.