Valhi (NYSE:VHI) Stock Passes Above 200-Day Moving Average on Disappointing Earnings

Valhi, Inc. (NYSE:VHI)’s share price crossed above its 200-day moving average during trading on Thursday following a better than expected earnings announcement. The stock has a 200-day moving average of $14.12 and traded as high as $16.12. Valhi shares last traded at $15.8150, with a volume of 42,282 shares trading hands.

The basic materials company reported $0.78 EPS for the quarter, missing analysts’ consensus estimates of $0.96 by ($0.18). Valhi had a negative return on equity of 4.29% and a negative net margin of 3.45%.The firm had revenue of $606.10 million during the quarter, compared to analyst estimates of $559.69 million.

Valhi Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, June 25th. Stockholders of record on Thursday, June 4th were given a $0.08 dividend. The ex-dividend date was Thursday, June 4th. This represents a $0.32 annualized dividend and a dividend yield of 2.0%. Valhi’s dividend payout ratio (DPR) is presently -12.60%.

Analysts Set New Price Targets

Separately, Weiss Ratings restated a “sell (d)” rating on shares of Valhi in a research report on Wednesday, July 8th. One research analyst has rated the stock with a Sell rating, Based on data from MarketBeat.com, Valhi has an average rating of “Sell”.

Hedge Funds Weigh In On Valhi

Institutional investors and hedge funds have recently bought and sold shares of the stock. Wells Fargo & Company MN boosted its stake in Valhi by 46.1% in the fourth quarter. Wells Fargo & Company MN now owns 2,722 shares of the basic materials company’s stock valued at $33,000 after acquiring an additional 859 shares during the last quarter. Geode Capital Management LLC grew its holdings in Valhi by 1.9% during the 4th quarter. Geode Capital Management LLC now owns 59,303 shares of the basic materials company’s stock worth $715,000 after acquiring an additional 1,116 shares during the period. Raymond James Financial Inc. bought a new stake in shares of Valhi during the 2nd quarter valued at $31,000. Empowered Funds LLC raised its position in shares of Valhi by 1.9% during the 1st quarter. Empowered Funds LLC now owns 144,202 shares of the basic materials company’s stock valued at $2,343,000 after acquiring an additional 2,753 shares during the last quarter. Finally, JPMorgan Chase & Co. lifted its stake in shares of Valhi by 133.9% in the 2nd quarter. JPMorgan Chase & Co. now owns 4,867 shares of the basic materials company’s stock valued at $79,000 after purchasing an additional 2,786 shares during the period. Institutional investors own 3.83% of the company’s stock.

Valhi Stock Performance

The company has a current ratio of 3.25, a quick ratio of 1.74 and a debt-to-equity ratio of 0.46. The company has a market cap of $447.56 million, a price-to-earnings ratio of -6.23 and a beta of 0.97. The stock has a 50 day moving average price of $14.02 and a two-hundred day moving average price of $14.12.

About Valhi

Valhi, Inc is a diversified holding company incorporated in Delaware in 1987 and headquartered in Dallas, Texas. Through its three wholly owned subsidiaries—Kronos Worldwide, CompX International and NL Industries—Valhi participates in the manufacture and distribution of chemical and security products for industrial, commercial and consumer markets.

Kronos Worldwide is a leading independent producer of titanium dioxide pigment, a white powder that enhances brightness and opacity in paints, coatings, plastics, paper and other applications.