Zacks Investment Research cut shares of Rockwell Collins (NYSE:COL) from a buy rating to a hold rating in a research report sent to investors on Wednesday.
According to Zacks, “Rockwell Collins continues to be the primary global supplier of communications and avionics equipment for both commercial and military customers. Last year, United Technologies agreed to take over Rockwell Collins, which comes as good news for the latter’s shareholders, who are set to enjoy more than 7% premium in terms of share price. An improving liquidity position enables Rockwell Collins to pursue share buyback and payment of regular dividend. Such a solid financial position has enabled the company to outperform its broader industry in past one year. However, Rockwell Collins derives a major portion of its revenues from overseas, which exposes it to the risk of currency fluctuations. Moreover, the company has to keep upgrading its technology, in case it loses out to competitors developing better products. This in turn results in heavy expenditure on R&D. “
A number of other brokerages have also recently issued reports on COL. ValuEngine upgraded shares of Rockwell Collins from a hold rating to a buy rating in a research report on Friday, February 2nd. Cowen restated a hold rating and set a $135.00 target price on shares of Rockwell Collins in a research report on Friday, January 26th. Wells Fargo & Co cut shares of Rockwell Collins from an outperform rating to a market perform rating in a research report on Tuesday, January 16th. Canaccord Genuity cut their target price on shares of Rockwell Collins from $140.00 to $137.00 and set a hold rating for the company in a research report on Tuesday, January 30th. Finally, Royal Bank of Canada set a $151.00 target price on shares of Rockwell Collins and gave the stock a hold rating in a research report on Wednesday, January 24th. One equities research analyst has rated the stock with a sell rating, eighteen have assigned a hold rating, four have given a buy rating and one has assigned a strong buy rating to the stock. Rockwell Collins presently has a consensus rating of Hold and a consensus price target of $134.06.
Rockwell Collins (NYSE:COL) last announced its earnings results on Friday, January 26th. The aerospace company reported $1.59 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.53 by $0.06. The company had revenue of $2.01 billion during the quarter, compared to analysts’ expectations of $2 billion. Rockwell Collins had a net margin of 10.99% and a return on equity of 19.58%. The firm’s quarterly revenue was up 68.6% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.20 earnings per share. equities analysts expect that Rockwell Collins will post 7.12 EPS for the current year.
The business also recently announced a quarterly dividend, which will be paid on Monday, March 5th. Investors of record on Monday, February 12th will be issued a $0.33 dividend. The ex-dividend date of this dividend is Friday, February 9th. This represents a $1.32 dividend on an annualized basis and a yield of 0.96%. Rockwell Collins’s payout ratio is 24.58%.
In related news, VP Douglas E. Stenske sold 3,287 shares of the business’s stock in a transaction that occurred on Monday, December 18th. The shares were sold at an average price of $135.00, for a total value of $443,745.00. Following the completion of the sale, the vice president now directly owns 8,776 shares in the company, valued at $1,184,760. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, CFO Patrick E. Allen sold 25,410 shares of the business’s stock in a transaction that occurred on Monday, December 18th. The shares were sold at an average price of $135.02, for a total transaction of $3,430,858.20. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 36,331 shares of company stock valued at $4,891,757. 1.10% of the stock is owned by insiders.
A number of institutional investors have recently added to or reduced their stakes in the stock. Cambridge Investment Research Advisors Inc. grew its holdings in Rockwell Collins by 11.4% in the fourth quarter. Cambridge Investment Research Advisors Inc. now owns 7,054 shares of the aerospace company’s stock valued at $957,000 after purchasing an additional 721 shares during the period. Xact Kapitalforvaltning AB grew its holdings in Rockwell Collins by 14.6% in the fourth quarter. Xact Kapitalforvaltning AB now owns 15,364 shares of the aerospace company’s stock valued at $2,084,000 after purchasing an additional 1,953 shares during the period. OLD Mutual Customised Solutions Proprietary Ltd. grew its holdings in Rockwell Collins by 44.0% in the fourth quarter. OLD Mutual Customised Solutions Proprietary Ltd. now owns 10,466 shares of the aerospace company’s stock valued at $1,419,000 after purchasing an additional 3,200 shares during the period. Her Majesty the Queen in Right of the Province of Alberta as represented by Alberta Investment Management Corp grew its holdings in Rockwell Collins by 111.5% in the fourth quarter. Her Majesty the Queen in Right of the Province of Alberta as represented by Alberta Investment Management Corp now owns 132,800 shares of the aerospace company’s stock valued at $18,010,000 after purchasing an additional 70,000 shares during the period. Finally, Lake Street Advisors Group LLC purchased a new stake in Rockwell Collins in the fourth quarter valued at approximately $266,000. Hedge funds and other institutional investors own 70.13% of the company’s stock.
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About Rockwell Collins
Rockwell Collins, Inc designs, produces and supports communications and aviation systems for commercial and military customers. The Company provides information management services through voice and data communication networks and solutions across the world. The Company operates through three segments: Commercial Systems, Government Systems and Information Management Services.
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