Vulcan Materials (NYSE:VMC) Hits New 1-Year Low – Should You Sell?

Vulcan Materials Company (NYSE:VMC) shares reached a new 52-week low on Wednesday . The company traded as low as $245.89 and last traded at $244.6310, with a volume of 508128 shares changing hands. The stock had previously closed at $249.20.

Analysts Set New Price Targets

VMC has been the subject of a number of research analyst reports. UBS Group reduced their price objective on shares of Vulcan Materials from $350.00 to $349.00 and set a “buy” rating for the company in a research report on Wednesday, July 8th. Raymond James Financial reissued an “outperform” rating on shares of Vulcan Materials in a research report on Wednesday, July 15th. Wall Street Zen cut shares of Vulcan Materials from a “hold” rating to a “sell” rating in a research note on Saturday, September 12th. Berenberg Bank set a $283.00 target price on shares of Vulcan Materials and gave the stock a “hold” rating in a report on Tuesday, June 2nd. Finally, Citigroup lowered shares of Vulcan Materials from a “buy” rating to a “cautious” rating in a research note on Wednesday, September 9th. One research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, six have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $325.00.

Vulcan Materials Price Performance

The firm has a market capitalization of $31.68 billion, a price-to-earnings ratio of 28.87, a P/E/G ratio of 2.20 and a beta of 1.05. The company’s 50 day moving average is $273.99 and its 200 day moving average is $280.29. The company has a quick ratio of 1.20, a current ratio of 1.76 and a debt-to-equity ratio of 0.47.

Vulcan Materials (NYSE:VMC) last issued its quarterly earnings data on Wednesday, July 29th. The construction company reported $2.59 earnings per share for the quarter, topping the consensus estimate of $2.46 by $0.13. Vulcan Materials had a net margin of 13.75% and a return on equity of 13.05%. The business had revenue of $2.16 billion during the quarter, compared to analysts’ expectations of $2.14 billion. During the same quarter in the previous year, the company earned $2.42 EPS. The business’s revenue was up 2.5% on a year-over-year basis. On average, equities research analysts anticipate that Vulcan Materials Company will post 9.29 earnings per share for the current fiscal year.

Vulcan Materials Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, September 2nd. Investors of record on Thursday, August 13th were paid a $0.52 dividend. This represents a $2.08 annualized dividend and a dividend yield of 0.9%. The ex-dividend date was Thursday, August 13th. Vulcan Materials’s payout ratio is 24.56%.

Insider Buying and Selling

In other news, SVP David P. Clement sold 2,000 shares of the company’s stock in a transaction on Friday, August 7th. The stock was sold at an average price of $285.10, for a total transaction of $570,200.00. Following the completion of the sale, the senior vice president directly owned 6,716 shares in the company, valued at approximately $1,914,731.60. This represents a 22.95% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director J. Hill sold 14,000 shares of the stock in a transaction on Friday, August 21st. The stock was sold at an average price of $276.17, for a total value of $3,866,380.00. Following the sale, the director directly owned 58,209 shares in the company, valued at approximately $16,075,579.53. This trade represents a 19.39% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 0.65% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of VMC. BlackRock Inc. acquired a new stake in Vulcan Materials during the 2nd quarter worth about $2,868,444,000. SCS Capital Management LLC acquired a new position in shares of Vulcan Materials in the 2nd quarter valued at about $19,628,000. Westfield Capital Management Co. LP lifted its stake in shares of Vulcan Materials by 7.4% in the 4th quarter. Westfield Capital Management Co. LP now owns 254,044 shares of the construction company’s stock valued at $72,459,000 after purchasing an additional 17,488 shares during the period. Family Legacy Inc. bought a new stake in shares of Vulcan Materials during the 2nd quarter valued at about $6,403,000. Finally, Palmer Knight Co acquired a new stake in Vulcan Materials during the second quarter worth approximately $9,458,000. Institutional investors and hedge funds own 90.39% of the company’s stock.

Vulcan Materials Company Profile

Vulcan Materials Company (NYSE:VMC) is a major U.S. producer and supplier of construction materials. The company’s primary business is aggregates, including crushed stone, sand and gravel, which are used in roads, bridges, buildings and other infrastructure projects.

Vulcan also produces and distributes asphalt and ready-mixed concrete, as well as calcium products used in construction, industrial and other applications. Its products are sold to public-sector customers, contractors, commercial developers and other businesses involved in construction and infrastructure development.

Founded in 1909 and headquartered in Birmingham, Alabama, Vulcan Materials has expanded through organic growth and acquisitions to operate production facilities, distribution terminals and related assets across much of the United States.