Alamo Group FY2025 EPS Forecast Decreased by DA Davidson

Key Points

• DA Davidson has lowered its FY2025 earnings per share forecast for Alamo Group from $10.85 to $10.76, maintaining a "Neutral" rating and a target price of $225.00 for the stock.
• Alamo Group reported $2.57 earnings per share for the last quarter, missing the consensus estimate by $0.12, while achieving revenue of $419.07 million which exceeded expectations.
• Despite the earnings forecast downgrade, other analysts have provided optimistic ratings, with Baird R W raising the stock's rating to "strong-buy" on August 4th.

Alamo Group, Inc. (NYSE:ALG - Free Report) - Analysts at DA Davidson decreased their FY2025 earnings per share (EPS) estimates for shares of Alamo Group in a research report issued on Monday, August 11th. DA Davidson analyst M. Shlisky now anticipates that the industrial products company will post earnings per share of $10.76 for the year, down from their prior estimate of $10.85. DA Davidson currently has a "Neutral" rating and a $225.00 target price on the stock. The consensus estimate for Alamo Group's current full-year earnings is $9.53 per share. DA Davidson also issued estimates for Alamo Group's FY2026 earnings at $11.86 EPS.

Alamo Group (NYSE:ALG - Get Free Report) last issued its quarterly earnings data on Wednesday, August 6th. The industrial products company reported $2.57 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $2.69 by ($0.12). Alamo Group had a net margin of 7.41% and a return on equity of 11.45%. The company had revenue of $419.07 million for the quarter, compared to analysts' expectations of $406.75 million.

Several other analysts have also recently weighed in on ALG. Baird R W raised Alamo Group from a "hold" rating to a "strong-buy" rating in a research report on Monday, August 4th. Robert W. Baird raised Alamo Group from a "neutral" rating to an "outperform" rating and raised their price objective for the company from $209.00 to $260.00 in a research report on Monday, August 4th. Finally, Wall Street Zen downgraded shares of Alamo Group from a "buy" rating to a "hold" rating in a research report on Saturday, July 26th.

Alamo Group Trading Down 0.2%

Shares of ALG opened at $222.06 on Tuesday. Alamo Group has a 1-year low of $157.07 and a 1-year high of $230.15. The firm has a market capitalization of $2.69 billion, a price-to-earnings ratio of 22.61, a PEG ratio of 1.16 and a beta of 1.10. The firm's 50-day moving average price is $218.13 and its 200-day moving average price is $195.02. The company has a current ratio of 4.56, a quick ratio of 2.76 and a debt-to-equity ratio of 0.18.

Institutional Trading of Alamo Group

Institutional investors have recently added to or reduced their stakes in the business. Alliancebernstein L.P. lifted its holdings in shares of Alamo Group by 7.5% during the fourth quarter. Alliancebernstein L.P. now owns 12,170 shares of the industrial products company's stock valued at $2,263,000 after purchasing an additional 854 shares in the last quarter. Wells Fargo & Company MN grew its holdings in shares of Alamo Group by 16.7% in the fourth quarter. Wells Fargo & Company MN now owns 15,885 shares of the industrial products company's stock worth $2,953,000 after acquiring an additional 2,275 shares during the period. Envestnet Asset Management Inc. lifted its holdings in Alamo Group by 13.8% in the fourth quarter. Envestnet Asset Management Inc. now owns 23,972 shares of the industrial products company's stock valued at $4,457,000 after acquiring an additional 2,915 shares during the period. Raymond James Financial Inc. purchased a new position in Alamo Group in the fourth quarter worth about $200,000. Finally, Summit Investment Advisors Inc. grew its stake in shares of Alamo Group by 6.9% during the 4th quarter. Summit Investment Advisors Inc. now owns 1,072 shares of the industrial products company's stock valued at $199,000 after purchasing an additional 69 shares during the period. 92.36% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity

In related news, EVP Richard Hodges Raborn sold 500 shares of the stock in a transaction dated Wednesday, May 14th. The shares were sold at an average price of $201.84, for a total transaction of $100,920.00. Following the sale, the executive vice president directly owned 12,948 shares of the company's stock, valued at approximately $2,613,424.32. This represents a 3.72% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Jeffery Allen Leonard sold 3,500 shares of the firm's stock in a transaction dated Wednesday, May 14th. The shares were sold at an average price of $201.52, for a total transaction of $705,320.00. Following the sale, the chief executive officer owned 40,913 shares of the company's stock, valued at approximately $8,244,787.76. This represents a 7.88% decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.18% of the stock is owned by insiders.

Alamo Group Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, July 29th. Stockholders of record on Wednesday, July 16th were issued a dividend of $0.30 per share. The ex-dividend date was Wednesday, July 16th. This represents a $1.20 annualized dividend and a dividend yield of 0.5%. Alamo Group's dividend payout ratio (DPR) is presently 12.22%.

About Alamo Group

Alamo Group Inc designs, manufactures, distributes, and services vegetation management and infrastructure maintenance equipment for governmental, industrial, and agricultural uses worldwide. It operates through two segments, Vegetation Management and Industrial Equipment. Its Vegetation Management Division segment offers hydraulically-powered and tractor - and off-road chassis mounted mowers, other cutters and replacement parts for heavy-duty and intensive uses and heavy duty, tractor- and truck-mounted mowing and vegetation maintenance equipment, and replacement parts.

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