Share Buyback Plan Approved by Strattec Security (NASDAQ:STRT)

Strattec Security (NASDAQ:STRT) announced that its Board of Directors has authorized a share buyback plan on Thursday, May 28th, RTT News reports. The company plans to repurchase $40.00 million in shares. This repurchase authorization permits the auto parts company to buy up to 12.8% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company’s management believes its shares are undervalued.

Strattec Security Trading Up 5.5%

Shares of Strattec Security stock traded up $4.16 during trading hours on Thursday, hitting $79.22. 122,789 shares of the company were exchanged, compared to its average volume of 102,795. Strattec Security has a 1 year low of $51.77 and a 1 year high of $92.50. The business has a 50-day moving average of $74.95 and a 200-day moving average of $78.13. The stock has a market capitalization of $331.14 million, a price-to-earnings ratio of 13.07, a P/E/G ratio of 1.23 and a beta of 1.17.

Strattec Security (NASDAQ:STRT) last released its quarterly earnings results on Thursday, May 7th. The auto parts company reported $0.90 EPS for the quarter, missing the consensus estimate of $1.14 by ($0.24). Strattec Security had a return on equity of 11.00% and a net margin of 4.31%.The company had revenue of $137.63 million for the quarter, compared to analysts’ expectations of $140.35 million. As a group, research analysts anticipate that Strattec Security will post 6.12 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of brokerages have weighed in on STRT. Zacks Research cut Strattec Security from a “hold” rating to a “strong sell” rating in a research note on Tuesday, May 12th. Wall Street Zen cut Strattec Security from a “buy” rating to a “hold” rating in a research note on Sunday, May 17th. Weiss Ratings restated a “buy (b)” rating on shares of Strattec Security in a research note on Friday, March 27th. Finally, Freedom Capital upgraded Strattec Security from a “hold” rating to a “strong-buy” rating in a research note on Monday, May 11th. One equities research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy”.

Insider Buying and Selling

In other Strattec Security news, CFO Matthew Pauli acquired 2,000 shares of the company’s stock in a transaction that occurred on Tuesday, May 12th. The shares were purchased at an average price of $62.53 per share, with a total value of $125,060.00. Following the completion of the acquisition, the chief financial officer directly owned 2,000 shares of the company’s stock, valued at approximately $125,060. The trade was a ? increase in their position. The acquisition was disclosed in a filing with the SEC, which is available through this hyperlink. Also, CEO Jennifer Lynn Slater acquired 801 shares of the company’s stock in a transaction that occurred on Wednesday, May 13th. The shares were acquired at an average cost of $62.46 per share, for a total transaction of $50,030.46. Following the acquisition, the chief executive officer directly owned 57,924 shares of the company’s stock, valued at $3,617,933.04. This trade represents a 1.40% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have acquired 4,598 shares of company stock valued at $286,440 over the last quarter. Company insiders own 3.90% of the company’s stock.

About Strattec Security

Strattec Security Corporation is a Wisconsin?based designer and manufacturer of mechanical and electronic locking systems for the global automotive market. Established more than five decades ago, the company supplies original equipment manufacturers (OEMs) and the aftermarket with a broad portfolio of lock and key solutions tailored to passenger cars, light trucks and commercial vehicles.

The company’s product range includes mechanical locking systems such as door lock cylinders, ignition lock modules, key blanks and door handles, as well as electromechanical and keyless?entry systems.