Crown (NYSE:CCK) Announces Quarterly Earnings Results, Beats Estimates By $0.11 EPS

Key Points

• Crown reported $1.86 EPS, beating estimates by $0.11, with revenue of $3.26 billion versus the $3.03 billion consensus, delivering a net margin of 5.97% and ROE of 26.68%.
• The company raised its quarterly dividend from $0.26 to $0.35 (annualized $1.40), implying a yield of about 1.4% and a dividend payout ratio around 21.98%.
• Insiders have sold shares recently (about 59,734 shares worth $6.62M over 90 days), while analysts show a mixed but positive stance with 12 Buys, 5 Holds and a consensus target of approximately $124.40.

Crown (NYSE:CCK - Get Free Report) announced its earnings results on Monday. The industrial products company reported $1.86 EPS for the quarter, topping the consensus estimate of $1.75 by $0.11, FiscalAI reports. The firm had revenue of $3.26 billion for the quarter, compared to the consensus estimate of $3.03 billion. Crown had a net margin of 5.97% and a return on equity of 26.68%.

Crown Price Performance

NYSE:CCK traded up $0.61 on Monday, reaching $101.74. The stock had a trading volume of 1,150,516 shares, compared to its average volume of 1,126,317. The company has a market capitalization of $11.42 billion, a P/E ratio of 15.97, a price-to-earnings-growth ratio of 1.66 and a beta of 0.75. Crown has a 1-year low of $88.67 and a 1-year high of $116.62. The company has a quick ratio of 0.66, a current ratio of 1.03 and a debt-to-equity ratio of 1.55. The stock has a fifty day moving average price of $106.33 and a 200-day moving average price of $102.71.

Crown Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, March 31st. Shareholders of record on Tuesday, March 17th were given a $0.35 dividend. This represents a $1.40 dividend on an annualized basis and a yield of 1.4%. This is a boost from Crown's previous quarterly dividend of $0.26. The ex-dividend date was Tuesday, March 17th. Crown's dividend payout ratio (DPR) is presently 21.98%.

Analyst Upgrades and Downgrades

CCK has been the topic of several recent analyst reports. Wells Fargo & Company dropped their target price on shares of Crown from $111.00 to $109.00 and set an "equal weight" rating on the stock in a report on Tuesday, April 14th. Deutsche Bank Aktiengesellschaft started coverage on shares of Crown in a research note on Wednesday, April 1st. They issued a "buy" rating and a $124.00 target price on the stock. Citigroup lowered their target price on shares of Crown from $128.00 to $127.00 and set a "buy" rating on the stock in a research note on Monday, April 13th. Truist Financial lowered their target price on shares of Crown from $135.00 to $129.00 and set a "buy" rating on the stock in a research note on Wednesday, April 15th. Finally, Wolfe Research set a $115.00 target price on shares of Crown in a research note on Friday, February 6th. Twelve analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $124.40.

Insider Transactions at Crown

In other news, CEO Timothy J. Donahue sold 7,500 shares of the stock in a transaction that occurred on Wednesday, April 15th. The shares were sold at an average price of $106.85, for a total transaction of $801,375.00. Following the sale, the chief executive officer directly owned 451,070 shares of the company's stock, valued at $48,196,829.50. This represents a 1.64% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Djalma Novaes, Jr. sold 29,734 shares of the stock in a transaction that occurred on Monday, February 23rd. The shares were sold at an average price of $114.80, for a total transaction of $3,413,463.20. Following the sale, the chief operating officer directly owned 88,052 shares in the company, valued at $10,108,369.60. This trade represents a 25.24% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 59,734 shares of company stock worth $6,619,863. Company insiders own 0.90% of the company's stock.

Hedge Funds Weigh In On Crown

Large investors have recently bought and sold shares of the business. Sivia Capital Partners LLC acquired a new position in Crown in the second quarter valued at approximately $401,000. CIBC Bancorp USA Inc. acquired a new position in Crown in the third quarter valued at approximately $403,000. Compound Planning Inc. lifted its holdings in Crown by 20.6% in the fourth quarter. Compound Planning Inc. now owns 3,758 shares of the industrial products company's stock valued at $387,000 after buying an additional 641 shares during the period. Caerus Investment Advisors LLC acquired a new position in Crown in the fourth quarter valued at approximately $322,000. Finally, nVerses Capital LLC acquired a new position in Crown in the fourth quarter valued at approximately $304,000. 90.93% of the stock is currently owned by institutional investors and hedge funds.

About Crown

Crown Holdings, Inc is a leading global supplier of rigid packaging products for consumer goods markets. The company designs, manufactures and sells metal packaging for beverage, food, household, personal care and specialty products. Its portfolio includes aluminum and steel beverage cans, steel food cans, aluminum aerosols, metal closures and ends, offering customers end-to-end solutions from design and prototyping to large-scale production.

Founded in 1919 as the Crown Cork & Seal Company, Crown has grown through strategic acquisitions and investments in advanced manufacturing technologies.

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