Andersons (NASDAQ:ANDE) Sets New 12-Month High - Should You Buy?

Key Points

• Andersons (NASDAQ:ANDE) hit a new 52-week high of $79.61; the company has a market cap of $2.70 billion and a P/E of 28.17.
• The firm reported quarterly EPS of $2.04 (vs. $1.56 expected) but revenue of $2.54B missed estimates and was down 18.8% year-over-year, leaving a slim net margin of 0.87%.
• Despite the rally, analysts' consensus is a “Moderate Buy” with an average target of $68.33 (below the current price), insiders have sold ~79,299 shares (~$5.88M) in the past 90 days, and the stock yields about 1.0% annually.

The Andersons, Inc. (NASDAQ:ANDE - Get Free Report) hit a new 52-week high during trading on Monday . The stock traded as high as $79.61 and last traded at $78.7860, with a volume of 293487 shares trading hands. The stock had previously closed at $79.12.

Wall Street Analyst Weigh In

ANDE has been the subject of several recent research reports. BMO Capital Markets increased their price target on Andersons from $65.00 to $75.00 and gave the company an "outperform" rating in a research report on Thursday, February 19th. Weiss Ratings reissued a "hold (c)" rating on shares of Andersons in a research report on Monday, April 20th. Benchmark reissued a "buy" rating on shares of Andersons in a research report on Wednesday, February 18th. Finally, Wall Street Zen cut Andersons from a "buy" rating to a "hold" rating in a research report on Saturday, March 14th. Three analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. Based on data from MarketBeat.com, Andersons has an average rating of "Moderate Buy" and an average target price of $68.33.

Andersons Stock Performance

The company has a market cap of $2.70 billion, a P/E ratio of 28.17 and a beta of 0.69. The company has a quick ratio of 0.60, a current ratio of 1.41 and a debt-to-equity ratio of 0.43. The stock has a 50 day moving average price of $70.79 and a two-hundred day moving average price of $60.26.

Andersons (NASDAQ:ANDE - Get Free Report) last announced its earnings results on Tuesday, February 17th. The basic materials company reported $2.04 earnings per share for the quarter, topping analysts' consensus estimates of $1.56 by $0.48. The company had revenue of $2.54 billion for the quarter, compared to analyst estimates of $2.69 billion. Andersons had a return on equity of 7.76% and a net margin of 0.87%.The firm's quarterly revenue was down 18.8% compared to the same quarter last year. During the same quarter last year, the company earned $1.31 earnings per share.

Andersons Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, April 22nd. Stockholders of record on Wednesday, April 1st were paid a dividend of $0.20 per share. The ex-dividend date was Wednesday, April 1st. This represents a $0.80 dividend on an annualized basis and a dividend yield of 1.0%. Andersons's dividend payout ratio (DPR) is 28.57%.

Insider Transactions at Andersons

In related news, Director Patrick E. Bowe sold 19,100 shares of the stock in a transaction that occurred on Thursday, April 30th. The stock was sold at an average price of $78.31, for a total transaction of $1,495,721.00. Following the sale, the director owned 94,875 shares of the company's stock, valued at $7,429,661.25. This represents a 16.76% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Brian K. Walz sold 8,975 shares of the stock in a transaction that occurred on Thursday, March 12th. The stock was sold at an average price of $70.74, for a total value of $634,891.50. Following the sale, the vice president directly owned 11,913 shares in the company, valued at $842,725.62. This represents a 42.97% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 79,299 shares of company stock worth $5,875,644 in the last ninety days. 4.30% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Andersons

Large investors have recently added to or reduced their stakes in the stock. Uniplan Investment Counsel Inc. acquired a new stake in Andersons during the fourth quarter worth approximately $25,000. Wealth Enhancement Advisory Services LLC acquired a new stake in Andersons during the third quarter worth approximately $30,000. Optima Capital LLC acquired a new stake in Andersons during the fourth quarter worth approximately $32,000. Larson Financial Group LLC grew its position in Andersons by 33,600.0% during the third quarter. Larson Financial Group LLC now owns 1,011 shares of the basic materials company's stock worth $40,000 after buying an additional 1,008 shares in the last quarter. Finally, Nomura Asset Management Co. Ltd. grew its position in Andersons by 95.2% during the fourth quarter. Nomura Asset Management Co. Ltd. now owns 820 shares of the basic materials company's stock worth $44,000 after buying an additional 400 shares in the last quarter. Institutional investors and hedge funds own 87.06% of the company's stock.

Andersons Company Profile

The Andersons, Inc operates as a diversified agriculture company offering a broad range of products and services to farmers, retailers and industrial customers. Through its Grain Group, the company purchases, stores, merchandises and transports corn, soybeans and other commodities, while its Renewables Group produces ethanol and distillers grains at multiple plants in the U.S. The Rail Group provides locomotive leasing, railcar repair and related maintenance services, and the Horticulture Group supplies turf, specialty and horticultural products to landscaping professionals and consumer lawn and garden retailers.

Founded in 1947 and headquartered in Maumee, Ohio, The Andersons has grown from a regional grain elevator operator into an integrated agribusiness platform.

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