Zacks Investment Research downgraded shares of Snap-on (NYSE:SNA) from a buy rating to a hold rating in a research note published on Monday.
According to Zacks, “Snap-on outperformed the industry in the past six months, courtesy of its impressive earnings surprise trend that continued in third-quarter 2018. Moreover, the bottom line grew year over year in the third quarter, benefiting from Snap-on’s robust business model and focus on value-creation processes. Going ahead, management expects these encouraging prospects to continue in 2018. It also expects to leverage on its capabilities in the automotive repair area, besides strengthening overall professional customer base. However, the company witnessed soft sales in this quarter due to adverse impacts from currency translations. Moreover, the company’s sluggish Tools Group division is a major headwind, owing to lower sales at the U.S. franchise business. Volatility in raw-material prices and stiff competition are additional woes.”
SNA has been the subject of several other reports. Barrington Research reaffirmed a buy rating and issued a $196.00 price objective on shares of Snap-on in a research report on Tuesday, October 16th. Robert W. Baird decreased their price objective on shares of Snap-on from $216.00 to $190.00 and set an outperform rating for the company in a research report on Friday. B. Riley set a $205.00 price objective on shares of Snap-on and gave the company a buy rating in a research report on Tuesday, July 17th. Finally, Northcoast Research lowered shares of Snap-on from a buy rating to a neutral rating in a research report on Tuesday, July 24th. Four research analysts have rated the stock with a hold rating and three have given a buy rating to the company’s stock. The stock currently has an average rating of Hold and an average price target of $192.00.
Shares of Snap-on stock opened at $150.78 on Monday. The company has a market capitalization of $8.45 billion, a P/E ratio of 13.12, a P/E/G ratio of 1.23 and a beta of 1.15. The company has a quick ratio of 1.59, a current ratio of 2.31 and a debt-to-equity ratio of 0.30. Snap-on has a 52 week low of $141.63 and a 52 week high of $189.46.
Snap-on (NYSE:SNA) last announced its quarterly earnings data on Thursday, October 18th. The company reported $2.88 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $2.86 by $0.02. The firm had revenue of $898.10 million during the quarter, compared to analyst estimates of $928.73 million. Snap-on had a net margin of 16.86% and a return on equity of 21.35%. Snap-on’s revenue was down .6% on a year-over-year basis. During the same period last year, the firm posted $2.45 EPS. Analysts expect that Snap-on will post 11.81 EPS for the current fiscal year.
In related news, Chairman Nicholas T. Pinchuk sold 21,624 shares of the stock in a transaction that occurred on Tuesday, August 7th. The shares were sold at an average price of $169.79, for a total value of $3,671,538.96. Following the transaction, the chairman now owns 443,955 shares in the company, valued at approximately $75,379,119.45. The sale was disclosed in a filing with the SEC, which is available through this link. Also, VP Iain Boyd sold 4,291 shares of the stock in a transaction that occurred on Tuesday, August 7th. The stock was sold at an average price of $170.03, for a total transaction of $729,598.73. The disclosure for this sale can be found here. In the last quarter, insiders sold 32,395 shares of company stock worth $5,553,865. 4.00% of the stock is owned by corporate insiders.
Large investors have recently modified their holdings of the stock. Baird Financial Group Inc. increased its holdings in Snap-on by 2.0% in the 2nd quarter. Baird Financial Group Inc. now owns 53,715 shares of the company’s stock worth $8,630,000 after buying an additional 1,046 shares during the period. Oppenheimer Asset Management Inc. grew its stake in shares of Snap-on by 2.3% during the 2nd quarter. Oppenheimer Asset Management Inc. now owns 59,533 shares of the company’s stock worth $9,567,000 after purchasing an additional 1,334 shares during the period. Cooke & Bieler LP grew its stake in shares of Snap-on by 2.6% during the 2nd quarter. Cooke & Bieler LP now owns 733,798 shares of the company’s stock worth $117,936,000 after purchasing an additional 18,878 shares during the period. BB&T Corp grew its stake in shares of Snap-on by 400.3% during the 2nd quarter. BB&T Corp now owns 38,897 shares of the company’s stock worth $6,251,000 after purchasing an additional 31,123 shares during the period. Finally, Schroder Investment Management Group grew its stake in shares of Snap-on by 7.1% during the 2nd quarter. Schroder Investment Management Group now owns 497,887 shares of the company’s stock worth $80,657,000 after purchasing an additional 32,839 shares during the period.
Snap-on Company Profile
Snap-on Incorporated manufactures and markets tools, equipment, diagnostics, and repair information and systems solutions for professional users worldwide. The company operates through Commercial & Industrial Group, Snap-on Tools Group, Repair Systems & Information Group, and Financial Services segments.
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