Daktronics (NASDAQ:DAKT) Downgraded by Wall Street Zen to Hold

Key Points

• Daktronics has been downgraded from a "buy" to a "hold" rating by Wall Street Zen amidst current market conditions.
• The company's recent quarterly earnings reported $0.18 earnings per share, matching expectations, but revenue fell short at $172.55 million compared to the anticipated $189.10 million.
• Insider transactions saw major shareholder Fox Opportunities Fund sell 1,000,000 shares, decreasing their ownership by 16.74% and indicating potential shifts in investor confidence.

Wall Street Zen lowered shares of Daktronics (NASDAQ:DAKT - Free Report) from a buy rating to a hold rating in a research report released on Sunday.

Daktronics Price Performance

NASDAQ DAKT traded up $0.01 during trading on Friday, hitting $16.84. 79,001 shares of the company's stock were exchanged, compared to its average volume of 430,081. The stock's 50 day moving average price is $15.42 and its two-hundred day moving average price is $14.58. Daktronics has a fifty-two week low of $10.24 and a fifty-two week high of $19.89. The company has a current ratio of 2.22, a quick ratio of 1.60 and a debt-to-equity ratio of 0.19. The company has a market cap of $827.21 million, a PE ratio of -38.24, a P/E/G ratio of 0.55 and a beta of 1.65.

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

Insider Activity

In other news, major shareholder Fox Opportunities Fund L. Alta sold 1,000,000 shares of the business's stock in a transaction that occurred on Thursday, May 29th. The stock was sold at an average price of $14.90, for a total transaction of $14,900,000.00. Following the completion of the sale, the insider owned 4,973,599 shares in the company, valued at $74,106,625.10. The trade was a 16.74% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. 5.20% of the stock is owned by company insiders.

Hedge Funds Weigh In On Daktronics

Several large investors have recently added to or reduced their stakes in DAKT. Quaker Wealth Management LLC grew its stake in shares of Daktronics by 200.0% in the 2nd quarter. Quaker Wealth Management LLC now owns 3,800 shares of the technology company's stock worth $57,000 after acquiring an additional 7,600 shares in the last quarter. Summit Investment Advisors Inc. lifted its holdings in Daktronics by 29.9% during the 4th quarter. Summit Investment Advisors Inc. now owns 4,192 shares of the technology company's stock worth $71,000 after purchasing an additional 965 shares in the last quarter. Farther Finance Advisors LLC bought a new stake in Daktronics during the 2nd quarter worth approximately $79,000. Summit Securities Group LLC purchased a new stake in shares of Daktronics in the 1st quarter valued at about $81,000. Finally, GAMMA Investing LLC lifted its position in Daktronics by 5,889.3% during the first quarter. GAMMA Investing LLC now owns 7,247 shares of the technology company's stock valued at $88,000 after purchasing an additional 7,126 shares during the last quarter. 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.