Turning Point Brands (NYSE:TPB) Sets New 12-Month High on Better-Than-Expected Earnings

Turning Point Brands, Inc. (NYSE:TPB)’s share price hit a new 52-week high on Wednesday following a better than expected earnings announcement. The company traded as high as $116.50 and last traded at $106.9220, with a volume of 86022 shares trading hands. The stock had previously closed at $95.18.

The company reported $1.13 EPS for the quarter, topping the consensus estimate of $0.81 by $0.32. Turning Point Brands had a net margin of 10.34% and a return on equity of 25.32%. The company had revenue of $118.98 million for the quarter, compared to analyst estimates of $111.42 million. During the same period in the previous year, the firm earned $0.68 EPS. The business’s revenue was up 12.7% on a year-over-year basis.

Analysts Set New Price Targets

A number of research firms have issued reports on TPB. Wall Street Zen lowered shares of Turning Point Brands from a “buy” rating to a “hold” rating in a report on Saturday, July 26th. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Turning Point Brands in a research note on Thursday, October 30th. Needham & Company LLC initiated coverage on shares of Turning Point Brands in a research note on Friday, August 1st. They set a “hold” rating for the company. Oppenheimer upped their price objective on shares of Turning Point Brands from $85.00 to $98.00 and gave the company an “outperform” rating in a research note on Thursday, August 7th. Finally, Zacks Research downgraded shares of Turning Point Brands from a “strong-buy” rating to a “hold” rating in a research note on Friday, September 12th. One research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat, Turning Point Brands presently has an average rating of “Moderate Buy” and an average target price of $78.83.

Hedge Funds Weigh In On Turning Point Brands

Several institutional investors and hedge funds have recently made changes to their positions in the business. Divisadero Street Capital Management LP boosted its stake in shares of Turning Point Brands by 187.5% during the 2nd quarter. Divisadero Street Capital Management LP now owns 943,784 shares of the company’s stock valued at $71,511,000 after buying an additional 615,521 shares during the last quarter. Thrivent Financial for Lutherans lifted its stake in Turning Point Brands by 11.9% during the third quarter. Thrivent Financial for Lutherans now owns 808,613 shares of the company’s stock worth $79,940,000 after purchasing an additional 85,716 shares during the last quarter. Geode Capital Management LLC lifted its stake in Turning Point Brands by 1.4% during the second quarter. Geode Capital Management LLC now owns 509,743 shares of the company’s stock worth $38,629,000 after purchasing an additional 7,104 shares during the last quarter. Arrowstreet Capital Limited Partnership lifted its stake in Turning Point Brands by 15.4% during the second quarter. Arrowstreet Capital Limited Partnership now owns 330,182 shares of the company’s stock worth $25,018,000 after purchasing an additional 44,179 shares during the last quarter. Finally, Maple Rock Capital Partners Inc. bought a new position in Turning Point Brands during the second quarter worth $18,458,000. 96.12% of the stock is currently owned by hedge funds and other institutional investors.

Turning Point Brands Price Performance

The company has a 50 day moving average of $94.95 and a 200-day moving average of $83.38. The stock has a market capitalization of $1.74 billion, a P/E ratio of 40.56 and a beta of 0.85. The company has a quick ratio of 2.67, a current ratio of 4.22 and a debt-to-equity ratio of 1.30.

Turning Point Brands Company Profile

Turning Point Brands, Inc, together with its subsidiaries, manufactures, markets, and distributes branded consumer products. The company operates through three segments: Zig-Zag Products, Stoker’s Products, and Creative Distribution Solutions. Zig-Zag Products segment markets and distributes rolling papers, tubes, finished cigars, make-your-own cigar wraps, and related products, as well as lighters and other accessories under the Zig-Zag brand.