ESAB (NYSE:ESAB) Downgraded to Hold Rating by Wall Street Zen

Wall Street Zen cut shares of ESAB (NYSE:ESAB) from a buy rating to a hold rating in a research report sent to investors on Saturday morning.

Several other research firms have also recently weighed in on ESAB. Roth Mkm reiterated a “buy” rating and set a $146.00 price objective (down from $150.00) on shares of ESAB in a research report on Tuesday, February 3rd. JPMorgan Chase & Co. boosted their target price on shares of ESAB from $130.00 to $153.00 and gave the company an “overweight” rating in a report on Monday, February 23rd. Stifel Nicolaus upped their price target on shares of ESAB from $144.00 to $158.00 and gave the company a “buy” rating in a research report on Monday, February 23rd. Oppenheimer lifted their price objective on ESAB from $142.00 to $148.00 and gave the stock an “outperform” rating in a research report on Friday, January 23rd. Finally, Weiss Ratings downgraded ESAB from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Friday, February 20th. Six research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $145.25.

ESAB Stock Performance

Shares of ESAB stock opened at $94.17 on Friday. The firm has a market capitalization of $5.72 billion, a price-to-earnings ratio of 25.45, a PEG ratio of 1.74 and a beta of 1.23. The company has a current ratio of 1.90, a quick ratio of 1.17 and a debt-to-equity ratio of 0.56. The business’s 50-day moving average price is $119.38 and its 200-day moving average price is $115.81. ESAB has a 12 month low of $93.69 and a 12 month high of $137.42.

ESAB (NYSE:ESAB) last issued its quarterly earnings data on Friday, February 20th. The company reported $1.36 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.34 by $0.02. ESAB had a net margin of 7.98% and a return on equity of 15.38%. The business had revenue of $687.00 million during the quarter, compared to analyst estimates of $687.80 million. During the same quarter last year, the business earned $1.28 EPS. The firm’s quarterly revenue was up 7.5% on a year-over-year basis. Equities research analysts forecast that ESAB will post 5.16 EPS for the current year.

ESAB Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, April 17th. Stockholders of record on Thursday, April 2nd will be issued a dividend of $0.10 per share. The ex-dividend date is Thursday, April 2nd. This represents a $0.40 annualized dividend and a dividend yield of 0.4%. ESAB’s dividend payout ratio is currently 10.81%.

Insider Activity

In related news, CEO Shyam Kambeyanda sold 59,404 shares of the company’s stock in a transaction that occurred on Monday, February 23rd. The stock was sold at an average price of $123.79, for a total transaction of $7,353,621.16. Following the transaction, the chief executive officer directly owned 99,864 shares of the company’s stock, valued at approximately $12,362,164.56. This represents a 37.30% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 7.30% of the stock is owned by company insiders.

Hedge Funds Weigh In On ESAB

Institutional investors have recently modified their holdings of the company. FNY Investment Advisers LLC bought a new stake in ESAB during the 3rd quarter valued at $30,000. Los Angeles Capital Management LLC acquired a new position in ESAB during the 4th quarter valued at about $33,000. Northwestern Mutual Wealth Management Co. boosted its stake in ESAB by 109.4% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 333 shares of the company’s stock valued at $40,000 after purchasing an additional 174 shares during the last quarter. Smartleaf Asset Management LLC increased its holdings in ESAB by 259.4% during the 4th quarter. Smartleaf Asset Management LLC now owns 381 shares of the company’s stock worth $43,000 after purchasing an additional 275 shares in the last quarter. Finally, Global Retirement Partners LLC increased its holdings in ESAB by 3,023.1% during the 4th quarter. Global Retirement Partners LLC now owns 406 shares of the company’s stock worth $45,000 after purchasing an additional 393 shares in the last quarter. 91.13% of the stock is owned by institutional investors and hedge funds.

ESAB Company Profile

ESAB Corporation is a global leader in welding, cutting and gas control technologies, offering a comprehensive portfolio of equipment, consumables and automation solutions. The company’s products include welding power sources, cutting machines, torches, electrodes, filler metals and gas regulating equipment designed to meet the needs of diverse industries. ESAB serves sectors such as construction, shipbuilding, automotive, energy, infrastructure and manufacturing, providing both standard and customized solutions to enhance productivity and quality in metal fabrication and processing.

Founded in 1904 by Swedish inventor Oscar Kjellberg, ESAB pioneered the development of coated welding electrodes, laying the groundwork for modern welding practices.