MSC Industrial Direct (NYSE:MSM) Hits New 52-Week High Following Earnings Beat

Shares of MSC Industrial Direct Company, Inc. (NYSE:MSM) reached a new 52-week high during trading on Wednesday after the company announced better than expected quarterly earnings. The stock traded as high as $121.64 and last traded at $118.8820, with a volume of 1080969 shares changing hands. The stock had previously closed at $116.67.

The industrial products company reported $1.43 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.28 by $0.15. The business had revenue of $1.05 billion for the quarter, compared to analyst estimates of $1.03 billion. MSC Industrial Direct had a net margin of 5.91% and a return on equity of 17.34%. MSC Industrial Direct’s revenue for the quarter was up 7.8% compared to the same quarter last year. During the same quarter in the prior year, the business posted $1.08 EPS.

MSC Industrial Direct Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, July 22nd. Investors of record on Wednesday, July 8th will be given a $0.87 dividend. This represents a $3.48 annualized dividend and a dividend yield of 2.8%. The ex-dividend date of this dividend is Wednesday, July 8th. MSC Industrial Direct’s dividend payout ratio is presently 93.55%.

MSC Industrial Direct News Summary

Here are the key news stories impacting MSC Industrial Direct this week:

• Positive Sentiment: MSC Industrial beat Wall Street estimates with fiscal Q3 adjusted EPS of $1.43 and revenue of about $1.05 billion, helped by price gains and a return to volume growth, which points to improving operating momentum. MSC Industrial Q3 Earnings Beat on Price Gains & Volume Growth
• Positive Sentiment: DA Davidson raised its price target on MSC Industrial Direct to $150 from $145 and reiterated a buy rating, signaling confidence that shares still have room to run. Benzinga / The Fly report
• Positive Sentiment: Zacks upgraded MSC Industrial to Rank #2 (Buy), citing improving earnings expectations and reinforcing the bullish post-earnings sentiment. What Makes MSC Industrial (MSM) a New Buy Stock
• Positive Sentiment: Management and commentary around the earnings call suggest the turnaround is progressing, with improving volume trends, a reset cost structure, and guidance pointing to continued sales gains. MSM Q3 Earnings Call Shows Early Gains in Volume, Cost Reset
• Neutral Sentiment: The stock also appears to be benefiting from broader investor enthusiasm after reaching new highs, as the market continues to price in a stronger industrial recovery. MSC Industrial: A Broadening Industrial Recovery Is Driving Shares To New Highs

Analysts Set New Price Targets

Several brokerages have recently issued reports on MSM. KeyCorp raised their price objective on MSC Industrial Direct from $132.00 to $145.00 and gave the stock an “overweight” rating in a research note on Wednesday. Jefferies Financial Group set a $130.00 target price on MSC Industrial Direct in a research report on Wednesday. DA Davidson increased their price target on shares of MSC Industrial Direct from $145.00 to $150.00 and gave the stock a “buy” rating in a report on Thursday. Finally, Weiss Ratings raised shares of MSC Industrial Direct from a “hold (c)” rating to a “hold (c+)” rating in a research report on Tuesday, June 23rd. Two research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. According to MarketBeat, MSC Industrial Direct currently has an average rating of “Hold” and an average target price of $118.17.

Hedge Funds Weigh In On MSC Industrial Direct

Several institutional investors and hedge funds have recently modified their holdings of MSM. First Horizon Corp boosted its stake in shares of MSC Industrial Direct by 101.0% in the first quarter. First Horizon Corp now owns 400 shares of the industrial products company’s stock worth $37,000 after buying an additional 201 shares during the last quarter. Hantz Financial Services Inc. raised its position in MSC Industrial Direct by 42.4% during the fourth quarter. Hantz Financial Services Inc. now owns 514 shares of the industrial products company’s stock valued at $43,000 after acquiring an additional 153 shares in the last quarter. Quarry LP lifted its holdings in MSC Industrial Direct by 71.7% in the third quarter. Quarry LP now owns 503 shares of the industrial products company’s stock valued at $46,000 after acquiring an additional 210 shares during the period. Kestra Advisory Services LLC acquired a new position in MSC Industrial Direct in the fourth quarter valued at approximately $48,000. Finally, EverSource Wealth Advisors LLC boosted its position in MSC Industrial Direct by 130.4% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 576 shares of the industrial products company’s stock worth $49,000 after purchasing an additional 326 shares in the last quarter. Institutional investors and hedge funds own 79.26% of the company’s stock.

MSC Industrial Direct Stock Down 0.2%

The firm has a market cap of $6.87 billion, a price-to-earnings ratio of 29.72 and a beta of 0.83. The business’s 50 day moving average price is $110.65 and its 200 day moving average price is $97.11. The company has a debt-to-equity ratio of 0.06, a quick ratio of 0.78 and a current ratio of 1.55.

MSC Industrial Direct Company Profile

MSC Industrial Direct Co, Inc (NYSE: MSM) is a leading distributor of metalworking and maintenance, repair and operations (MRO) products serving a broad range of industrial customers across North America. The company offers an extensive portfolio of cutting tools, abrasives, measuring and inspection instruments, fasteners, safety supplies and other essential components used in manufacturing, metalworking and production environments. MSC delivers products through a multi-channel distribution network, including an extensive branch system, e-commerce platform and dedicated sales force.

In addition to its core product offerings, MSC Industrial Direct provides value-added services designed to improve productivity and reduce downtime for its customers.