Graco (NYSE:GGG) Posts Earnings Results, Beats Expectations By $0.10 EPS

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Graco (NYSE:GGG) released its quarterly earnings data on Sunday. The industrial products company reported $0.61 EPS for the quarter, beating the Zacks’ consensus estimate of $0.51 by $0.10, MarketWatch Earnings reports. Graco had a net margin of 18.88% and a return on equity of 29.38%. The business had revenue of $470.34 million during the quarter, compared to analysts’ expectations of $426.52 million. During the same quarter in the prior year, the company earned $0.48 EPS. The firm’s quarterly revenue was up 14.1% on a year-over-year basis.

Shares of Graco stock traded down $3.67 during trading hours on Tuesday, reaching $71.09. 36,351 shares of the company’s stock were exchanged, compared to its average volume of 656,192. The company has a 50 day moving average of $72.63 and a two-hundred day moving average of $63.55. Graco has a fifty-two week low of $38.43 and a fifty-two week high of $76.98. The company has a current ratio of 3.25, a quick ratio of 2.38 and a debt-to-equity ratio of 0.24. The stock has a market cap of $11.91 billion, a P/E ratio of 41.63, a P/E/G ratio of 4.45 and a beta of 0.56.

The business also recently announced a quarterly dividend, which will be paid on Wednesday, February 3rd. Investors of record on Tuesday, January 19th will be paid a $0.1875 dividend. The ex-dividend date is Friday, January 15th. This is a positive change from Graco’s previous quarterly dividend of $0.18. This represents a $0.75 dividend on an annualized basis and a yield of 1.06%. Graco’s dividend payout ratio is presently 39.47%.

A number of research firms recently commented on GGG. DA Davidson upped their price objective on shares of Graco from $57.00 to $70.00 and gave the company a “neutral” rating in a research report on Tuesday. They noted that the move was a valuation call. Jefferies Financial Group raised shares of Graco from a “hold” rating to a “buy” rating and upped their target price for the stock from $65.00 to $90.00 in a research note on Tuesday, January 19th. Royal Bank of Canada upped their target price on shares of Graco from $65.00 to $72.00 and gave the stock an “outperform” rating in a research note on Friday, October 23rd. Finally, Berenberg Bank assumed coverage on shares of Graco in a research note on Friday, October 16th. They issued a “hold” rating and a $62.00 target price for the company. Three analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. Graco has an average rating of “Buy” and an average price target of $71.80.

In other news, insider Dale D. Johnson sold 7,304 shares of the stock in a transaction dated Friday, December 11th. The shares were sold at an average price of $68.50, for a total transaction of $500,324.00. Following the completion of the transaction, the insider now directly owns 260,098 shares in the company, valued at approximately $17,816,713. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, CFO Mark W. Sheahan sold 54,000 shares of the stock in a transaction dated Wednesday, November 11th. The stock was sold at an average price of $67.79, for a total transaction of $3,660,660.00. Following the transaction, the chief financial officer now owns 114,510 shares of the company’s stock, valued at $7,762,632.90. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 132,554 shares of company stock valued at $8,868,379. Company insiders own 4.12% of the company’s stock.

About Graco

Graco Inc designs, manufactures, and markets systems and equipment used to move, measure, control, dispense, and spray fluid and powder materials worldwide. The company's Industrial segment offers proportioning systems to spray polyurethane foam and polyurea coatings; equipment that pumps, meters, mixes, and dispenses sealant, adhesive, and composite materials; and gel coat equipment, chop and wet-out systems, resin transfer molding systems, and applicators.

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Earnings History for Graco (NYSE:GGG)

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