Motorola Solutions (MSI) Stock Rating Lowered by Zacks Investment Research
Zacks Investment Research lowered shares of Motorola Solutions (NYSE:MSI) from a buy rating to a hold rating in a research note released on Monday morning.
According to Zacks, “Shares of Motorola Solutions have outperformed its industry in a year. The company's efforts to strengthen its software product portfolio also raise optimism in the stock. In keeping with its objective, the company completed the acquisition of Kodiak Networks in August 2017. The company's decision, in November 2017, to raise its quarterly dividend payout is also encouraging. We are also impressed by the upbeat 2017 view provided by the company. Though positive on Motorola's growth by acquisition strategy, we note that costs associated with the mergers are limiting bottom-line growth. The company's weak balance sheet is also concerning. Moreover, the company's cash from operations is being hurt due to higher working capital requirement from the implementation of a new ERP system. “
Several other equities research analysts have also commented on the stock. ValuEngine lowered shares of Motorola Solutions from a buy rating to a hold rating in a research note on Wednesday, November 15th. Cleveland Research raised shares of Motorola Solutions from a neutral rating to a buy rating in a report on Friday, October 6th. Finally, Jefferies Group reaffirmed a buy rating and issued a $105.00 price objective on shares of Motorola Solutions in a report on Friday, October 6th. Four research analysts have rated the stock with a hold rating and twelve have issued a buy rating to the company’s stock. Motorola Solutions has an average rating of Buy and a consensus price target of $95.08.
Motorola Solutions (MSI) traded up $1.17 during midday trading on Monday, reaching $93.55. The company had a trading volume of 812,000 shares, compared to its average volume of 907,263. The firm has a market capitalization of $15,660.00, a P/E ratio of 23.93, a price-to-earnings-growth ratio of 3.88 and a beta of 0.35. Motorola Solutions has a 1-year low of $76.92 and a 1-year high of $95.30. The company has a quick ratio of 1.16, a current ratio of 1.30 and a debt-to-equity ratio of -5.41.
Motorola Solutions (NYSE:MSI) last released its quarterly earnings data on Thursday, November 2nd. The communications equipment provider reported $1.53 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $1.40 by $0.13. The company had revenue of $1.65 billion for the quarter, compared to analysts’ expectations of $1.58 billion. Motorola Solutions had a net margin of 10.51% and a negative return on equity of 92.09%. The business’s revenue was up 7.4% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.37 EPS. sell-side analysts anticipate that Motorola Solutions will post 5.13 earnings per share for the current year.
The company also recently disclosed a quarterly dividend, which will be paid on Friday, January 12th. Stockholders of record on Friday, December 15th will be paid a $0.52 dividend. The ex-dividend date is Thursday, December 14th. This is a boost from Motorola Solutions’s previous quarterly dividend of $0.47. This represents a $2.08 dividend on an annualized basis and a dividend yield of 2.22%. Motorola Solutions’s dividend payout ratio is 53.20%.
In other news, CEO Gregory Q. Brown sold 100,000 shares of the stock in a transaction on Monday, November 20th. The shares were sold at an average price of $92.57, for a total value of $9,257,000.00. Following the sale, the chief executive officer now owns 99,015 shares of the company’s stock, valued at $9,165,818.55. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Gregory Q. Brown sold 75,019 shares of the stock in a transaction on Tuesday, November 14th. The shares were sold at an average price of $90.91, for a total transaction of $6,819,977.29. Following the completion of the sale, the chief executive officer now directly owns 183,312 shares in the company, valued at approximately $16,664,893.92. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 378,986 shares of company stock valued at $35,010,375. 2.50% of the stock is owned by company insiders.
Several institutional investors and hedge funds have recently made changes to their positions in the company. Gyroscope Capital Management Group LLC raised its stake in shares of Motorola Solutions by 1.0% in the second quarter. Gyroscope Capital Management Group LLC now owns 3,347 shares of the communications equipment provider’s stock valued at $290,000 after acquiring an additional 32 shares during the period. D.A. Davidson & CO. raised its stake in shares of Motorola Solutions by 2.4% in the second quarter. D.A. Davidson & CO. now owns 2,473 shares of the communications equipment provider’s stock valued at $214,000 after acquiring an additional 59 shares during the period. Oppenheimer & Co. Inc. raised its stake in shares of Motorola Solutions by 1.6% in the second quarter. Oppenheimer & Co. Inc. now owns 4,569 shares of the communications equipment provider’s stock valued at $396,000 after acquiring an additional 73 shares during the period. Thrivent Financial For Lutherans raised its stake in shares of Motorola Solutions by 2.3% in the second quarter. Thrivent Financial For Lutherans now owns 6,290 shares of the communications equipment provider’s stock valued at $545,000 after acquiring an additional 140 shares during the period. Finally, Stephens Inc. AR raised its stake in shares of Motorola Solutions by 2.0% in the second quarter. Stephens Inc. AR now owns 7,361 shares of the communications equipment provider’s stock valued at $638,000 after acquiring an additional 143 shares during the period. 87.78% of the stock is currently owned by institutional investors and hedge funds.
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Motorola Solutions Company Profile
Motorola Solutions, Inc is a provider of communication infrastructure, devices, accessories, software and services. The Company operates through two segments: Products and Services. The Company’s Products segment offers a portfolio of infrastructure, devices, accessories and software. The Products segment has two product lines: Devices and Systems.
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