Graco Inc. (NYSE:GGG) Receives Average Rating of “Hold” from Analysts

Graco Inc. (NYSE:GGG) has received a consensus rating of “Hold” from the seven analysts that are currently covering the company, MarketBeat reports. Four research analysts have rated the stock with a hold rating and three have issued a buy rating on the company. The average 12-month price target among brokers that have updated their coverage on the stock in the last year is $96.50.

Several equities analysts have recently issued reports on the stock. KeyCorp reissued a “sector weight” rating on shares of Graco in a report on Tuesday, January 27th. Weiss Ratings restated a “hold (c+)” rating on shares of Graco in a report on Thursday, January 22nd. DA Davidson restated a “neutral” rating and set a $85.00 target price on shares of Graco in a report on Monday. Jefferies Financial Group lifted their price target on Graco from $100.00 to $105.00 and gave the stock a “buy” rating in a research note on Wednesday, January 28th. Finally, Royal Bank Of Canada raised their target price on Graco from $97.00 to $100.00 and gave the stock an “outperform” rating in a research report on Wednesday, January 28th.

Graco Stock Performance

NYSE:GGG opened at $88.72 on Wednesday. The stock has a 50-day simple moving average of $84.50 and a 200 day simple moving average of $83.95. Graco has a one year low of $72.06 and a one year high of $89.70. The company has a market capitalization of $14.71 billion, a price-to-earnings ratio of 28.71, a price-to-earnings-growth ratio of 2.78 and a beta of 1.08.

Graco (NYSE:GGG) last released its earnings results on Monday, January 26th. The industrial products company reported $0.77 earnings per share for the quarter, meeting the consensus estimate of $0.77. The firm had revenue of $593.16 million during the quarter, compared to analyst estimates of $591.99 million. Graco had a net margin of 23.33% and a return on equity of 19.49%. The firm’s revenue for the quarter was up 8.1% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.64 earnings per share. On average, equities research analysts forecast that Graco will post 3.06 EPS for the current fiscal year.

Graco announced that its board has initiated a share repurchase plan on Friday, December 5th that permits the company to buyback 15,000,000 shares. This buyback authorization permits the industrial products company to reacquire shares of its stock through open market purchases. Shares buyback plans are typically an indication that the company’s management believes its shares are undervalued.

Graco Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, February 4th. Investors of record on Monday, January 19th will be given a dividend of $0.295 per share. The ex-dividend date of this dividend is Friday, January 16th. This is a positive change from Graco’s previous quarterly dividend of $0.28. This represents a $1.18 dividend on an annualized basis and a yield of 1.3%. Graco’s payout ratio is 38.19%.

Institutional Trading of Graco

A number of institutional investors have recently added to or reduced their stakes in GGG. Root Financial Partners LLC acquired a new position in shares of Graco during the 3rd quarter worth $29,000. NewSquare Capital LLC increased its position in Graco by 320.7% during the second quarter. NewSquare Capital LLC now owns 345 shares of the industrial products company’s stock worth $30,000 after buying an additional 263 shares during the last quarter. CX Institutional increased its position in Graco by 316.7% during the third quarter. CX Institutional now owns 475 shares of the industrial products company’s stock worth $40,000 after buying an additional 361 shares during the last quarter. Assetmark Inc. lifted its position in shares of Graco by 42.6% in the third quarter. Assetmark Inc. now owns 465 shares of the industrial products company’s stock worth $40,000 after buying an additional 139 shares during the last quarter. Finally, Field & Main Bank acquired a new stake in shares of Graco in the fourth quarter worth about $41,000. 93.88% of the stock is currently owned by institutional investors and hedge funds.

Graco Company Profile

Graco Inc is a leading manufacturer of fluid handling systems and components, headquartered in Minneapolis, Minnesota. Founded in 1926, the company has built a reputation for innovation in spray finishing, lubrication, and fluid management technologies. Graco’s solutions are designed to address the needs of paint and coatings applicators, general industry, and process fluids in a variety of end markets.

The company’s product portfolio includes airless and air-assisted spray equipment, pumps for oil and gas applications, industrial lubrication systems, and automated dispensing equipment.