Constellium SE (NYSE:CSTM) Given Average Recommendation of “Buy” by Brokerages

Constellium SE (NYSE:CSTM) has been given a consensus rating of “Buy” by the seven research firms that are presently covering the firm, MarketBeat.com reports. One analyst has rated the stock with a hold recommendation, four have assigned a buy recommendation and two have issued a strong buy recommendation on the company. The average 12 month price target among brokerages that have issued a report on the stock in the last year is $36.60.

CSTM has been the subject of several analyst reports. Weiss Ratings upgraded Constellium from a “hold (c+)” rating to a “buy (b-)” rating in a report on Friday. Zacks Research upgraded Constellium from a “hold” rating to a “strong-buy” rating in a report on Tuesday, May 12th. UBS Group initiated coverage on Constellium in a report on Tuesday, May 5th. They issued a “buy” rating and a $38.00 target price for the company. JPMorgan Chase & Co. restated a “neutral” rating and issued a $34.00 target price (up from $30.00) on shares of Constellium in a report on Thursday, April 30th. Finally, BMO Capital Markets set a $32.00 target price on Constellium and gave the company an “outperform” rating in a report on Thursday, April 9th.

Constellium Stock Down 1.7%

Shares of NYSE:CSTM opened at $34.13 on Friday. The company has a quick ratio of 0.60, a current ratio of 1.39 and a debt-to-equity ratio of 1.71. The business has a fifty day moving average of $32.41 and a two-hundred day moving average of $25.87. The stock has a market cap of $4.65 billion, a P/E ratio of 11.05 and a beta of 1.55. Constellium has a 52-week low of $12.68 and a 52-week high of $36.99.

Constellium (NYSE:CSTM) last issued its earnings results on Wednesday, April 29th. The industrial products company reported $1.42 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.62 by $0.80. The company had revenue of $2.46 billion during the quarter, compared to analysts’ expectations of $2.43 billion. Constellium had a return on equity of 46.22% and a net margin of 4.87%.The firm’s quarterly revenue was up 24.4% on a year-over-year basis. During the same period in the prior year, the business earned $0.26 EPS. On average, research analysts expect that Constellium will post 3.34 earnings per share for the current year.

Constellium announced that its Board of Directors has initiated a stock buyback plan on Thursday, March 12th that authorizes the company to repurchase $300.00 million in shares. This repurchase authorization authorizes the industrial products company to repurchase up to 8.8% of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling

In other news, SVP Marcus Becker sold 10,391 shares of the stock in a transaction on Thursday, May 28th. The stock was sold at an average price of $34.93, for a total transaction of $362,957.63. Following the completion of the transaction, the senior vice president directly owned 16,784 shares in the company, valued at approximately $586,265.12. This represents a 38.24% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, SVP Ludovic Piquier sold 1,000 shares of the stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $33.57, for a total value of $33,570.00. Following the transaction, the senior vice president owned 241,713 shares of the company’s stock, valued at approximately $8,114,305.41. This represents a 0.41% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 195,153 shares of company stock worth $6,369,312 over the last quarter. Corporate insiders own 1.20% of the company’s stock.

Hedge Funds Weigh In On Constellium

A number of hedge funds have recently modified their holdings of the business. Millennium Management LLC grew its holdings in shares of Constellium by 35.4% during the 3rd quarter. Millennium Management LLC now owns 6,935,766 shares of the industrial products company’s stock worth $103,204,000 after purchasing an additional 1,813,400 shares during the period. Encompass Capital Advisors LLC grew its holdings in shares of Constellium by 9.2% during the 4th quarter. Encompass Capital Advisors LLC now owns 4,657,915 shares of the industrial products company’s stock worth $87,802,000 after purchasing an additional 393,640 shares during the period. Vanguard Group Inc. grew its holdings in shares of Constellium by 22.9% during the 4th quarter. Vanguard Group Inc. now owns 4,054,982 shares of the industrial products company’s stock worth $76,436,000 after purchasing an additional 755,918 shares during the period. Morgan Stanley grew its holdings in shares of Constellium by 48.4% during the 4th quarter. Morgan Stanley now owns 3,728,118 shares of the industrial products company’s stock worth $70,275,000 after purchasing an additional 1,216,516 shares during the period. Finally, Arrowstreet Capital Limited Partnership grew its holdings in shares of Constellium by 620.9% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 3,228,027 shares of the industrial products company’s stock worth $79,345,000 after purchasing an additional 2,780,260 shares during the period. 92.59% of the stock is currently owned by hedge funds and other institutional investors.

About Constellium

Constellium SE is a global leader in the design and manufacture of high-performance aluminum products and solutions. The company serves key markets including aerospace, automotive, and packaging, offering advanced rolled and extruded aluminum sheet, plate and structural components. Its product portfolio encompasses precision-engineered parts for commercial and military aircraft, automotive body structures and closures, beverage and specialty packaging, as well as industrial and structural applications.

Established in 2011 through the consolidation of Rio Tinto Alcan’s rolled-products and engineered-products businesses, Constellium has built a reputation for innovation in lightweighting and sustainability.