CSW Industrials (NYSE:CSW) Share Price Passes Below 200 Day Moving Average - Here's Why

Key Points

• Shares slipped below its 200-day moving average, trading as low as $255.29 and last at $256.73 on volume of 111,827, signaling a technical weakness versus the 200-day MA of $276.80.
• The company missed quarterly expectations, reporting $1.42 EPS vs. $1.93 expected and revenue of $232.99M versus $249.36M, indicating near-term operational pressure.
• Analyst sentiment is mixed but consensus is a "Hold" with an average target price of $327.14 after several recent target revisions and a range of ratings from Strong Buy to Sell.

Shares of CSW Industrials, Inc. (NYSE:CSW - Get Free Report) passed below its two hundred day moving average during trading on Friday . The stock has a two hundred day moving average of $276.80 and traded as low as $255.29. CSW Industrials shares last traded at $256.7330, with a volume of 111,827 shares traded.

Wall Street Analyst Weigh In

A number of research analysts have recently weighed in on the stock. Weiss Ratings reissued a "hold (c+)" rating on shares of CSW Industrials in a research report on Monday, December 29th. JPMorgan Chase & Co. upgraded CSW Industrials from a "neutral" rating to an "overweight" rating and upped their price objective for the company from $300.00 to $350.00 in a research note on Wednesday, December 3rd. Citigroup reduced their price objective on CSW Industrials from $333.00 to $307.00 and set a "neutral" rating for the company in a report on Friday, January 30th. Truist Financial raised their target price on CSW Industrials from $271.00 to $292.00 and gave the stock a "hold" rating in a research report on Monday, February 2nd. Finally, Wells Fargo & Company lowered their target price on CSW Industrials from $300.00 to $280.00 and set an "equal weight" rating on the stock in a research note on Monday, February 2nd. Two investment analysts have rated the stock with a Strong Buy rating, one has issued a Buy rating, five have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of "Hold" and an average target price of $327.14.

CSW Industrials Price Performance

The firm's 50 day moving average price is $298.99 and its two-hundred day moving average price is $276.80. The company has a debt-to-equity ratio of 0.72, a current ratio of 2.36 and a quick ratio of 0.97. The stock has a market cap of $4.23 billion, a PE ratio of 34.05 and a beta of 0.81.

CSW Industrials (NYSE:CSW - Get Free Report) last announced its quarterly earnings results on Thursday, January 29th. The basic materials company reported $1.42 EPS for the quarter, missing analysts' consensus estimates of $1.93 by ($0.51). The business had revenue of $232.99 million for the quarter, compared to analysts' expectations of $249.36 million. CSW Industrials had a net margin of 12.64% and a return on equity of 14.55%. On average, research analysts expect that CSW Industrials, Inc. will post 8.49 earnings per share for the current year.

CSW Industrials Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, February 13th. Shareholders of record on Friday, January 30th were issued a dividend of $0.27 per share. The ex-dividend date of this dividend was Friday, January 30th. This represents a $1.08 dividend on an annualized basis and a yield of 0.4%. CSW Industrials's payout ratio is presently 14.32%.

Insider Buying and Selling at CSW Industrials

In other news, SVP Luke Alverson sold 500 shares of the firm's stock in a transaction on Wednesday, February 11th. The stock was sold at an average price of $316.02, for a total value of $158,010.00. Following the completion of the transaction, the senior vice president directly owned 12,450 shares of the company's stock, valued at $3,934,449. This trade represents a 3.86% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Joseph B. Armes sold 1,000 shares of CSW Industrials stock in a transaction on Thursday, January 15th. The shares were sold at an average price of $328.64, for a total value of $328,640.00. Following the completion of the transaction, the chief executive officer owned 62,526 shares of the company's stock, valued at approximately $20,548,544.64. This trade represents a 1.57% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 2,500 shares of company stock worth $804,050. Company insiders own 1.30% of the company's stock.

Institutional Investors Weigh In On CSW Industrials

Several hedge funds and other institutional investors have recently modified their holdings of the stock. AQR Capital Management LLC lifted its holdings in shares of CSW Industrials by 12.4% in the first quarter. AQR Capital Management LLC now owns 5,675 shares of the basic materials company's stock worth $1,654,000 after buying an additional 624 shares in the last quarter. Integrated Wealth Concepts LLC increased its holdings in CSW Industrials by 20.0% during the 1st quarter. Integrated Wealth Concepts LLC now owns 970 shares of the basic materials company's stock worth $283,000 after acquiring an additional 162 shares during the period. GAMMA Investing LLC bought a new stake in CSW Industrials during the 4th quarter worth approximately $50,000. Anderson Hoagland & Co. purchased a new stake in CSW Industrials in the 4th quarter worth approximately $365,000. Finally, Park Avenue Securities LLC purchased a new stake in CSW Industrials in the 4th quarter worth approximately $746,000. 82.79% of the stock is currently owned by institutional investors.

About CSW Industrials

CSW Industrials, Inc is a diversified industrial manufacturer that develops and supplies specialty chemical products, performance materials and precision surface solutions. The company's offerings span a range of end markets including energy, industrial processing, converting and automotive, where its products serve critical functions in production efficiency, equipment maintenance and process enhancement.

In its chemical business, CSW Industrials produces solvent- and water-based formulations such as surfactants, corrosion inhibitors and custom blends used in oilfield exploration and production, metalworking, water treatment and other industrial applications.

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