Heico (NYSE:HEI) Shares Gap Down – Should You Sell?

Heico Corporation (NYSE:HEI) gapped down prior to trading on Thursday . The stock had previously closed at $344.72, but opened at $312.67. Heico shares last traded at $300.4790, with a volume of 429,950 shares traded.

Wall Street Analysts Forecast Growth

A number of brokerages have recently commented on HEI. UBS Group reiterated a “neutral” rating and set a $371.00 price objective (up from $359.00) on shares of Heico in a research report on Monday, December 22nd. Stifel Nicolaus set a $370.00 price target on Heico and gave the stock a “buy” rating in a research note on Monday, December 22nd. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and set a $375.00 price objective (up from $355.00) on shares of Heico in a research note on Monday, December 22nd. Susquehanna started coverage on shares of Heico in a report on Friday, January 23rd. They issued a “neutral” rating and a $385.00 target price for the company. Finally, BNP Paribas Exane set a $330.00 price target on shares of Heico in a report on Tuesday, November 18th. Ten equities research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $364.43.

Heico Trading Down 12.3%

The company has a market cap of $42.13 billion, a PE ratio of 61.88, a PEG ratio of 3.87 and a beta of 1.01. The company has a debt-to-equity ratio of 0.49, a quick ratio of 1.28 and a current ratio of 2.83. The company has a 50 day simple moving average of $337.49 and a two-hundred day simple moving average of $322.81.

Heico (NYSE:HEI) last posted its quarterly earnings results on Wednesday, February 25th. The aerospace company reported $1.35 EPS for the quarter, topping the consensus estimate of $1.26 by $0.09. Heico had a net margin of 15.39% and a return on equity of 16.80%. The business had revenue of $1.18 billion during the quarter, compared to analysts’ expectations of $1.17 billion. During the same period last year, the company posted $1.20 earnings per share. The firm’s quarterly revenue was up 14.4% compared to the same quarter last year. Sell-side analysts forecast that Heico Corporation will post 4.2 EPS for the current year.

Heico Dividend Announcement

The business also recently declared a dividend, which was paid on Tuesday, January 20th. Stockholders of record on Monday, January 5th were paid a $0.12 dividend. The ex-dividend date of this dividend was Monday, January 5th. This represents a dividend yield of 7.0%. Heico’s dividend payout ratio is 4.89%.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. IFC & Insurance Marketing Inc. purchased a new stake in shares of Heico during the 4th quarter worth about $26,000. Westside Investment Management Inc. increased its holdings in Heico by 100.0% in the third quarter. Westside Investment Management Inc. now owns 86 shares of the aerospace company’s stock worth $28,000 after buying an additional 43 shares during the last quarter. CBIZ Investment Advisory Services LLC raised its position in Heico by 1,000.0% during the fourth quarter. CBIZ Investment Advisory Services LLC now owns 88 shares of the aerospace company’s stock valued at $28,000 after acquiring an additional 80 shares in the last quarter. Greykasell Wealth Strategies Inc. bought a new position in Heico during the third quarter valued at approximately $29,000. Finally, Hazlett Burt & Watson Inc. bought a new stake in Heico in the third quarter worth approximately $31,000. Hedge funds and other institutional investors own 27.12% of the company’s stock.

Heico Company Profile

HEICO Corporation is an aerospace, defense and electronics company that designs, manufactures, and sells a range of products and provides repair and aftermarket services. Headquartered in Hollywood, Florida, HEICO supplies replacement components, repair services and engineered systems for commercial and business aviation, military and space markets as well as for selected industrial and medical customers. The company’s offerings are focused on sustaining and improving the reliability and availability of complex equipment across its end markets.

HEICO operates through two principal business areas.