Graco (NYSE:GGG) Reaches New 1-Year Low – Here’s Why

Graco Inc. (NYSE:GGG)’s stock price reached a new 52-week low during trading on Monday . The stock traded as low as $78.27 and last traded at $78.9850, with a volume of 115144 shares changing hands. The stock had previously closed at $79.19.

Analyst Ratings Changes

Several equities research analysts have commented on the company. Royal Bank Of Canada restated an “outperform” rating and issued a $95.00 price objective on shares of Graco in a research report on Friday, April 24th. Robert W. Baird lowered their price objective on Graco from $96.00 to $92.00 and set a “neutral” rating on the stock in a research report on Friday, April 24th. DA Davidson restated a “neutral” rating and issued a $85.00 price objective on shares of Graco in a research report on Monday, April 27th. KeyCorp restated a “sector weight” rating on shares of Graco in a research report on Tuesday, January 27th. Finally, Weiss Ratings lowered Graco from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Wednesday, April 29th. Three analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $94.25.

Graco Stock Performance

The firm has a market capitalization of $13.36 billion, a PE ratio of 26.22, a price-to-earnings-growth ratio of 2.51 and a beta of 0.96. The firm’s 50 day moving average price is $86.30 and its 200-day moving average price is $85.42.

Graco (NYSE:GGG) last announced its earnings results on Wednesday, April 22nd. The industrial products company reported $0.66 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.75 by ($0.09). Graco had a net margin of 22.96% and a return on equity of 18.66%. The business had revenue of $540.14 million for the quarter, compared to analysts’ expectations of $561.35 million. During the same quarter last year, the business earned $0.70 EPS. The company’s quarterly revenue was up 2.2% on a year-over-year basis. On average, equities research analysts expect that Graco Inc. will post 3.13 earnings per share for the current fiscal year.

Graco Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, May 6th. Stockholders of record on Monday, April 13th will be given a dividend of $0.295 per share. The ex-dividend date is Monday, April 13th. This represents a $1.18 dividend on an annualized basis and a dividend yield of 1.5%. Graco’s dividend payout ratio (DPR) is 38.44%.

Insider Transactions at Graco

In related news, Director Andrea Helen Simon purchased 1,240 shares of the firm’s stock in a transaction that occurred on Monday, April 27th. The shares were purchased at an average cost of $80.53 per share, with a total value of $99,857.20. Following the purchase, the director owned 1,240 shares of the company’s stock, valued at $99,857.20. This represents a ? increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Angela F. Wordell sold 2,832 shares of the firm’s stock in a transaction dated Friday, February 6th. The shares were sold at an average price of $93.22, for a total transaction of $263,999.04. Following the completion of the transaction, the executive vice president directly owned 13,360 shares in the company, valued at $1,245,419.20. This represents a 17.49% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 2.18% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Whipplewood Advisors LLC lifted its stake in Graco by 2,650.0% in the 1st quarter. Whipplewood Advisors LLC now owns 330 shares of the industrial products company’s stock worth $28,000 after purchasing an additional 318 shares in the last quarter. Root Financial Partners LLC purchased a new position in shares of Graco during the 3rd quarter worth $29,000. CX Institutional raised its holdings in shares of Graco by 316.7% during the 3rd quarter. CX Institutional now owns 475 shares of the industrial products company’s stock worth $40,000 after acquiring an additional 361 shares during the period. Assetmark Inc. raised its holdings in shares of Graco by 42.6% during the 3rd quarter. Assetmark Inc. now owns 465 shares of the industrial products company’s stock worth $40,000 after acquiring an additional 139 shares during the period. Finally, Field & Main Bank purchased a new stake in shares of Graco during the 4th quarter valued at approximately $41,000. Hedge funds and other institutional investors own 93.88% of the company’s stock.

About Graco

Graco Inc is a leading manufacturer of fluid handling systems and components, headquartered in Minneapolis, Minnesota. Founded in 1926, the company has built a reputation for innovation in spray finishing, lubrication, and fluid management technologies. Graco’s solutions are designed to address the needs of paint and coatings applicators, general industry, and process fluids in a variety of end markets.

The company’s product portfolio includes airless and air-assisted spray equipment, pumps for oil and gas applications, industrial lubrication systems, and automated dispensing equipment.