Daktronics (NASDAQ:DAKT) Upgraded to "Buy" at Wall Street Zen

Key Points

• Daktronics has been upgraded from a "hold" to a "buy" rating by Wall Street Zen, signaling a positive outlook for the company's stock performance.
• The company reported earnings of $0.18 EPS for the last quarter, in line with analysts' expectations, but fell short on revenue with $172.55 million compared to estimates of $189.10 million.
• Institutional investors are showing increasing confidence in Daktronics, with several firms significantly increasing their holdings during the second quarter.

Wall Street Zen upgraded shares of Daktronics (NASDAQ:DAKT - Free Report) from a hold rating to a buy rating in a research report sent to investors on Saturday morning.

Daktronics Trading Up 21.3%

DAKT stock traded up $3.71 during midday trading on Friday, reaching $21.14. The company's stock had a trading volume of 1,353,457 shares, compared to its average volume of 416,227. The company has a debt-to-equity ratio of 0.19, a quick ratio of 1.60 and a current ratio of 2.22. The stock has a fifty day simple moving average of $16.73 and a two-hundred day simple moving average of $14.68. Daktronics has a 1 year low of $10.24 and a 1 year high of $22.25. The firm has a market capitalization of $1.04 billion, a price-to-earnings ratio of -47.80, a PEG ratio of 0.58 and a beta of 1.69.

Daktronics (NASDAQ:DAKT - Get Free Report) last released its earnings results on Wednesday, June 25th. The technology company reported $0.18 earnings per share for the quarter, hitting analysts' consensus estimates of $0.18. Daktronics had a positive return on equity of 15.29% and a negative net margin of 1.34%.The business had revenue of $172.55 million for the quarter, compared to analyst estimates of $189.10 million. During the same quarter last year, the firm posted $0.27 earnings per share. On average, equities research analysts predict that Daktronics will post 0.96 EPS for the current year.

Insider Activity at Daktronics

In other news, insider Sheila Mae Anderson sold 3,839 shares of the firm's stock in a transaction on Thursday, August 7th. The stock was sold at an average price of $16.86, for a total transaction of $64,725.54. Following the transaction, the insider owned 39,495 shares in the company, valued at approximately $665,885.70. This trade represents a 8.86% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Corporate insiders own 5.30% of the company's stock.

Hedge Funds Weigh In On Daktronics

Several institutional investors have recently made changes to their positions in the company. Northwestern Mutual Wealth Management Co. grew its stake in Daktronics by 204.3% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 3,046 shares of the technology company's stock valued at $46,000 after purchasing an additional 2,045 shares during the last quarter. Quaker Wealth Management LLC grew its stake in Daktronics by 200.0% in the second quarter. Quaker Wealth Management LLC now owns 3,800 shares of the technology company's stock valued at $57,000 after purchasing an additional 7,600 shares during the last quarter. BNP Paribas Financial Markets grew its stake in Daktronics by 66.8% in the second quarter. BNP Paribas Financial Markets now owns 3,897 shares of the technology company's stock valued at $59,000 after purchasing an additional 1,561 shares during the last quarter. Skandinaviska Enskilda Banken AB publ purchased a new position in Daktronics in the second quarter valued at about $62,000. Finally, Farther Finance Advisors LLC purchased a new position in Daktronics in the second quarter valued at about $79,000. Hedge funds and other institutional investors own 61.69% of the company's stock.

Daktronics Company Profile

Daktronics, Inc designs, manufactures, and sells electronic scoreboards, programmable display systems and large screen video displays for sporting, commercial, and transportation applications in the United States and internationally. It operates through Commercial, Live Events, High School Park and Recreation, Transportation, and International segments.