Alamo Group (NYSE:ALG) Stock Rating Lowered by Wall Street Zen

Key Points

• Alamo Group has been downgraded from a "buy" rating to a "hold" rating by analysts at Wall Street Zen, indicating a more cautious outlook on the stock.
• Despite the downgrade, other analysts have mixed opinions, with some upgrading their ratings and setting a consensus price target of $234.00 for Alamo Group shares.
• Alamo Group's latest earnings report showed a miss on EPS estimates but exceeded revenue expectations, emphasizing ongoing investor interest in its financial performance.

Alamo Group (NYSE:ALG - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research report issued to clients and investors on Sunday.

Several other equities analysts also recently commented on the company. Baird R W upgraded Alamo Group from a "hold" rating to a "strong-buy" rating in a research note on Monday, August 4th. Robert W. Baird raised shares of Alamo Group from a "neutral" rating to an "outperform" rating and upped their price target for the stock from $209.00 to $260.00 in a report on Monday, August 4th. Finally, DA Davidson reaffirmed a "neutral" rating and issued a $225.00 price target on shares of Alamo Group in a report on Tuesday, July 22nd. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and one has given a Hold rating to the company. According to MarketBeat, the company presently has an average rating of "Buy" and a consensus target price of $234.00.

Alamo Group Stock Down 1.8%

ALG traded down $3.94 during midday trading on Friday, reaching $211.07. 97,703 shares of the company were exchanged, compared to its average volume of 82,456. Alamo Group has a one year low of $157.07 and a one year high of $233.29. The company's fifty day moving average price is $220.54 and its 200 day moving average price is $198.22. The company has a market cap of $2.56 billion, a price-to-earnings ratio of 21.49, a price-to-earnings-growth ratio of 1.12 and a beta of 1.10. The company has a debt-to-equity ratio of 0.18, a quick ratio of 2.76 and a current ratio of 4.56.

Alamo Group (NYSE:ALG - Get Free Report) last announced its earnings results on Wednesday, August 6th. The industrial products company reported $2.57 earnings per share for the quarter, missing analysts' consensus estimates of $2.69 by ($0.12). Alamo Group had a return on equity of 11.45% and a net margin of 7.41%.The business had revenue of $419.07 million during the quarter, compared to analysts' expectations of $406.75 million. As a group, analysts expect that Alamo Group will post 9.53 EPS for the current year.

Insider Buying and Selling at Alamo Group

In other news, CEO Jeffery Allen Leonard sold 2,500 shares of the stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $222.19, for a total transaction of $555,475.00. Following the completion of the sale, the chief executive officer directly owned 38,413 shares in the company, valued at approximately $8,534,984.47. This represents a 6.11% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 1.18% of the company's stock.

Institutional Trading of Alamo Group

Several institutional investors and hedge funds have recently bought and sold shares of ALG. Wasatch Advisors LP purchased a new stake in Alamo Group in the second quarter worth about $51,427,000. Ninepoint Partners LP purchased a new position in shares of Alamo Group during the first quarter valued at approximately $40,988,000. Bank of America Corp DE lifted its holdings in shares of Alamo Group by 826.1% during the fourth quarter. Bank of America Corp DE now owns 130,494 shares of the industrial products company's stock valued at $24,260,000 after purchasing an additional 116,404 shares during the last quarter. American Century Companies Inc. lifted its holdings in shares of Alamo Group by 201.6% during the second quarter. American Century Companies Inc. now owns 153,720 shares of the industrial products company's stock valued at $33,569,000 after purchasing an additional 102,751 shares during the last quarter. Finally, SG Capital Management LLC purchased a new position in shares of Alamo Group during the fourth quarter valued at approximately $16,971,000. 92.36% of the stock is currently owned by hedge funds and other institutional investors.

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.