Dorman Products (NASDAQ:DORM) Reaches New 1-Year High - Still a Buy?

Key Points

• Dorman Products shares reached a new 52-week high at $147.57, supported by a trading volume of 52,183 shares, after closing at $142.86.
• The company reported impressive quarterly earnings of $2.06 per share, surpassing estimates by $0.30, and recorded revenues of $540.96 million, exceeding expectations of $517.13 million.
• Institutional investors hold 84.70% of Dorman Products’ stock, with notable increases in positions from firms like Rhumbline Advisers and Hillsdale Investment Management during the second quarter.

Shares of Dorman Products, Inc. (NASDAQ:DORM - Get Free Report) hit a new 52-week high during trading on Tuesday . The company traded as high as $146.63 and last traded at $147.57, with a volume of 52183 shares traded. The stock had previously closed at $142.86.

Analyst Ratings Changes

Separately, Wall Street Zen downgraded Dorman Products from a "strong-buy" rating to a "buy" rating in a research report on Saturday, August 9th.

Dorman Products Price Performance

The company has a debt-to-equity ratio of 0.31, a quick ratio of 1.21 and a current ratio of 2.74. The stock has a 50-day simple moving average of $126.97 and a 200 day simple moving average of $124.76. The company has a market cap of $4.76 billion, a P/E ratio of 21.20 and a beta of 0.79.

Dorman Products (NASDAQ:DORM - Get Free Report) last issued its earnings results on Monday, August 4th. The auto parts company reported $2.06 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.76 by $0.30. Dorman Products had a return on equity of 19.23% and a net margin of 10.83%. The business had revenue of $540.96 million during the quarter, compared to analysts' expectations of $517.13 million. During the same period in the prior year, the firm posted $1.67 EPS. Dorman Products's quarterly revenue was up 7.6% compared to the same quarter last year. On average, equities analysts expect that Dorman Products, Inc. will post 6.9 EPS for the current year.

Insider Buying and Selling

In other news, Director John J. Gavin sold 2,900 shares of the stock in a transaction that occurred on Monday, May 19th. The stock was sold at an average price of $131.19, for a total value of $380,451.00. Following the completion of the transaction, the director directly owned 8,132 shares of the company's stock, valued at approximately $1,066,837.08. This represents a 26.29% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, SVP Donna M. Long sold 820 shares of the stock in a transaction that occurred on Monday, July 28th. The stock was sold at an average price of $122.21, for a total value of $100,212.20. Following the completion of the transaction, the senior vice president directly owned 19,074 shares of the company's stock, valued at approximately $2,331,033.54. The trade was a 4.12% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 8.90% of the company's stock.

Hedge Funds Weigh In On Dorman Products

A number of hedge funds have recently modified their holdings of the stock. PDT Partners LLC acquired a new stake in Dorman Products during the 2nd quarter valued at $3,465,000. California State Teachers Retirement System increased its holdings in Dorman Products by 0.6% during the 2nd quarter. California State Teachers Retirement System now owns 25,944 shares of the auto parts company's stock valued at $3,183,000 after purchasing an additional 149 shares in the last quarter. Raymond James Financial Inc. increased its holdings in Dorman Products by 16.8% during the 2nd quarter. Raymond James Financial Inc. now owns 43,307 shares of the auto parts company's stock valued at $5,312,000 after purchasing an additional 6,219 shares in the last quarter. Quantinno Capital Management LP increased its holdings in Dorman Products by 5.6% during the 2nd quarter. Quantinno Capital Management LP now owns 3,701 shares of the auto parts company's stock valued at $454,000 after purchasing an additional 195 shares in the last quarter. Finally, The Manufacturers Life Insurance Company increased its holdings in Dorman Products by 1.9% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 15,312 shares of the auto parts company's stock valued at $1,878,000 after purchasing an additional 279 shares in the last quarter. 84.70% of the stock is owned by institutional investors and hedge funds.

About Dorman Products

Dorman Products, Inc supplies replacement and upgrade parts for passenger cars, light trucks, medium- and heavy-duty trucks, utility terrain vehicles, and all-terrain vehicles in the motor vehicle aftermarket industry in the United States and internationally. It offers engine products, including intake and exhaust manifolds, fans, thermostat housings, and throttle bodies; undercar products comprising fluid lines, fluid reservoirs, connectors, 4-wheel drive components and axles, drain plugs, other engine, and transmission and axle components; steering and suspension products consist of control arms, ball joints, tie-rod ends, brake hardware and hydraulics, wheel and axle hardware, suspension arms, knuckles, links, bushings, and leaf springs, as well as other suspension, steering, and brake components; body products, such as door handles and hinges, window lift motors, window regulators, switches and handles, wiper components, lighting, electrical, and other interior and exterior vehicle body components, including windshields for UTVs; electronics products comprise new and remanufactured modules, clusters and sensors; and hardware products, such as threaded bolts and auto body fasteners, automotive and home electrical wiring components, and other hardware assortments and merchandise.