Forgent Power Solutions (NYSE:FPS) Shares Gap Up After Better-Than-Expected Earnings

Forgent Power Solutions, Inc. (NYSE:FPS) shares gapped up prior to trading on Tuesday after the company announced better than expected quarterly earnings. The stock had previously closed at $28.64, but opened at $30.93. Forgent Power Solutions shares last traded at $32.7450, with a volume of 6,869,647 shares traded.

The company reported $0.25 EPS for the quarter, topping the consensus estimate of $0.24 by $0.01. Forgent Power Solutions had a return on equity of 12.14% and a net margin of 2.17%.The company had revenue of $461.67 million during the quarter. The company’s quarterly revenue was up 94.3% compared to the same quarter last year. Forgent Power Solutions has set its FY 2027 guidance at 1.260-1.400 EPS.

Analysts Set New Price Targets

Several research firms have recently weighed in on FPS. Weiss Ratings downgraded Forgent Power Solutions from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Tuesday, July 28th. TD Cowen lifted their price objective on shares of Forgent Power Solutions from $63.00 to $73.00 and gave the stock a “buy” rating in a research note on Monday, June 22nd. Wolfe Research reiterated an “outperform” rating and set a $60.00 price objective on shares of Forgent Power Solutions in a research report on Thursday, July 9th. Zacks Research downgraded shares of Forgent Power Solutions from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, September 8th. Finally, Jefferies Financial Group lifted their price target on shares of Forgent Power Solutions from $44.00 to $56.00 and gave the stock a “buy” rating in a research note on Friday, May 29th. One equities research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $56.75.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. California State Teachers Retirement System purchased a new position in Forgent Power Solutions in the 2nd quarter worth about $510,943,000. Value Aligned Research Advisors LLC purchased a new stake in Forgent Power Solutions in the 2nd quarter valued at about $176,441,000. Spyglass Capital Management LLC bought a new position in Forgent Power Solutions in the 2nd quarter worth about $39,401,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC purchased a new position in shares of Forgent Power Solutions during the second quarter worth approximately $23,123,000. Finally, Bank of New York Mellon Corp increased its position in shares of Forgent Power Solutions by 813.0% during the second quarter. Bank of New York Mellon Corp now owns 326,317 shares of the company’s stock worth $18,228,000 after acquiring an additional 290,577 shares during the period.

Forgent Power Solutions Stock Up 12.0%

The company has a quick ratio of 1.16, a current ratio of 1.64 and a debt-to-equity ratio of 0.99. The stock has a market cap of $9.77 billion and a P/E ratio of 214.78. The company’s 50 day moving average price is $35.89 and its two-hundred day moving average price is $40.21.

Forgent Power Solutions Company Profile

Forgent Power Solutions, Inc develops and manufactures products used in electric power transmission and distribution infrastructure. Its offerings support the generation, transmission, distribution and management of electrical power for utility and industrial applications.

The company’s product portfolio includes equipment and components used in overhead and underground power networks, including electrical connectors, fittings, line hardware and other engineered solutions designed to support the reliability and efficiency of power-delivery systems.

Forgent Power Solutions serves electric utilities, distributors and industrial customers, primarily through markets connected to North American power infrastructure.