Astec Industries (NASDAQ:ASTE) Stock Price Up 4.2% – Still a Buy?

Astec Industries, Inc. (NASDAQ:ASTE) shares shot up 4.2% on Thursday. The company traded as high as $39.05 and last traded at $39.0430. 12,369 shares changed hands during mid-day trading, a decline of 94% from the average daily volume of 224,404 shares. The stock had previously closed at $37.48.

Key Headlines Impacting Astec Industries

These are some of the ASTE headlines that stood out recently:

• Positive Sentiment: Astec agreed to sell its Roadtec and Carlson road-equipment businesses to Komatsu for an enterprise value of $75 million. The business has been generating operating losses, so Astec expects the divestiture to be accretive to annualized EPS and lift adjusted EBITDA margin by about 200 basis points. The company expects roughly $65 million in cash proceeds and tax benefits to support its balance sheet and investment in core businesses. Astec announces Roadtec sale agreement
• Neutral Sentiment: The deal is expected to close in the first quarter of 2027 and remains subject to customary conditions, leaving time for delays or non-completion. Roadtec generates approximately $145 million in annualized revenue, so investors will also weigh the loss of that business against the expected profitability and margin benefits.
• Negative Sentiment: Recent analyst developments point to earnings concerns: Sidoti lowered its 2026 EPS forecast to $2.58 from $3.35 and cut its Q4 estimate to $1.11 from $1.37. Zacks Research also downgraded ASTE from “hold” to “strong sell.” Zacks Research rating information

Wall Street Analysts Forecast Growth

A number of research firms have commented on ASTE. Zacks Research cut shares of Astec Industries from a “hold” rating to a “strong sell” rating in a research note on Monday. Freedom Broker lowered their price objective on shares of Astec Industries from $60.00 to $52.00 and set a “buy” rating on the stock in a research report on Monday. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Astec Industries in a report on Monday, November 2nd. Two investment analysts have rated the stock with a Strong Buy rating, one has given a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $52.00.

Astec Industries Price Performance

The company has a debt-to-equity ratio of 0.51, a quick ratio of 0.97 and a current ratio of 2.31. The stock has a market capitalization of $888.65 million, a P/E ratio of 77.13, a price-to-earnings-growth ratio of 1.30 and a beta of 1.37. The firm has a 50-day moving average price of $40.06 and a 200 day moving average price of $50.20.

Astec Industries (NASDAQ:ASTE) last announced its quarterly earnings data on Thursday, November 5th. The industrial products company reported ($0.01) earnings per share for the quarter, missing analysts’ consensus estimates of $0.47 by ($0.48). The firm had revenue of $352.40 million for the quarter, compared to analysts’ expectations of $375.47 million. Astec Industries had a net margin of 0.74% and a return on equity of 8.60%. During the same period in the prior year, the business posted ($0.18) earnings per share. On average, analysts expect that Astec Industries, Inc. will post 2.58 EPS for the current year.

Astec Industries Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, December 4th. Shareholders of record on Monday, November 16th will be given a dividend of $0.13 per share. This represents a $0.52 dividend on an annualized basis and a yield of 1.3%. The ex-dividend date is Monday, November 16th. Astec Industries’s dividend payout ratio (DPR) is presently 104.00%.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the business. Advisors Asset Management Inc. bought a new stake in shares of Astec Industries in the 3rd quarter worth approximately $6,266,000. Heartland Advisors Inc. boosted its stake in shares of Astec Industries by 5.9% in the 3rd quarter. Heartland Advisors Inc. now owns 255,800 shares of the industrial products company’s stock valued at $10,293,000 after purchasing an additional 14,210 shares in the last quarter. Ieq Capital LLC grew its holdings in shares of Astec Industries by 144.5% during the 3rd quarter. Ieq Capital LLC now owns 32,256 shares of the industrial products company’s stock valued at $1,298,000 after purchasing an additional 19,064 shares during the last quarter. Edgestream Partners L.P. bought a new position in shares of Astec Industries during the 3rd quarter valued at $7,891,000. Finally, Royce & Associates LP grew its holdings in shares of Astec Industries by 30.9% during the 3rd quarter. Royce & Associates LP now owns 244,810 shares of the industrial products company’s stock valued at $9,851,000 after purchasing an additional 57,724 shares during the last quarter. 93.16% of the stock is owned by hedge funds and other institutional investors.

About Astec Industries

Astec Industries is a manufacturer of equipment and services for the infrastructure, road construction and aggregate industries. Its products support the production and handling of asphalt, concrete and crushed stone, as well as the construction and maintenance of roads. The company’s offerings include asphalt production plants, roadbuilding equipment, crushers, screens, material washing systems and concrete batch plants. Astec also provides parts, service and other support for its equipment. Founded in 1972 and headquartered in Chattanooga, Tennessee, Astec serves customers in the United States and international markets.