DXP Enterprises (NASDAQ:DXPE) Shares Down 7% - What's Next?

Key Points

• DXP Enterprises' shares fell by 7% to a last trading price of $111.51, following increased trading volume over the average session.
• Wall Street Zen downgraded DXP Enterprises from a "buy" rating to a "hold" rating, while the company still has an average rating of "Buy" and a target price of $95.00.
• Insiders have sold a significant amount of stock, with 67,337 shares worth over $6 million sold in the last three months, indicating potential concerns about the company's future performance.

DXP Enterprises, Inc. (NASDAQ:DXPE - Get Free Report)'s share price fell 7% during trading on Wednesday . The company traded as low as $112.13 and last traded at $111.51. 229,267 shares changed hands during mid-day trading, an increase of 25% from the average session volume of 183,406 shares. The stock had previously closed at $119.94.

Wall Street Analysts Forecast Growth

Separately, Wall Street Zen lowered DXP Enterprises from a "buy" rating to a "hold" rating in a research note on Friday, May 16th. One research analyst has rated the stock with a Buy rating, Based on data from MarketBeat, DXP Enterprises has an average rating of "Buy" and an average target price of $95.00.

DXP Enterprises Price Performance

The firm has a market capitalization of $1.79 billion, a PE ratio of 21.73 and a beta of 1.24. The firm's fifty day moving average price is $110.26 and its 200 day moving average price is $92.88. The company has a current ratio of 2.79, a quick ratio of 2.33 and a debt-to-equity ratio of 1.33.

DXP Enterprises (NASDAQ:DXPE - Get Free Report) last released its quarterly earnings data on Wednesday, August 6th. The industrial products company reported $1.43 earnings per share for the quarter, beating analysts' consensus estimates of $1.39 by $0.04. DXP Enterprises had a return on equity of 20.94% and a net margin of 4.52%.The business had revenue of $498.68 million during the quarter, compared to analyst estimates of $499.00 million. As a group, equities analysts forecast that DXP Enterprises, Inc. will post 4.07 earnings per share for the current year.

Insider Activity

In related news, SVP John Jay Jeffery sold 2,000 shares of the business's stock in a transaction on Friday, August 22nd. The shares were sold at an average price of $125.43, for a total value of $250,860.00. Following the completion of the sale, the senior vice president owned 20,008 shares of the company's stock, valued at approximately $2,509,603.44. The trade was a 9.09% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Karen Hoffman sold 2,399 shares of the company's stock in a transaction on Friday, August 22nd. The stock was sold at an average price of $125.00, for a total transaction of $299,875.00. Following the transaction, the director owned 4,787 shares of the company's stock, valued at $598,375. This represents a 33.38% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 67,337 shares of company stock worth $6,431,516. 22.40% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On DXP Enterprises

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Price T Rowe Associates Inc. MD boosted its position in DXP Enterprises by 17.9% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 4,850 shares of the industrial products company's stock worth $401,000 after acquiring an additional 735 shares during the last quarter. Northern Trust Corp increased its holdings in shares of DXP Enterprises by 10.2% in the fourth quarter. Northern Trust Corp now owns 228,940 shares of the industrial products company's stock valued at $18,915,000 after purchasing an additional 21,220 shares during the last quarter. BNP Paribas Financial Markets lifted its position in DXP Enterprises by 193.8% during the fourth quarter. BNP Paribas Financial Markets now owns 33,760 shares of the industrial products company's stock worth $2,789,000 after buying an additional 22,270 shares in the last quarter. Bank of America Corp DE grew its holdings in DXP Enterprises by 26.6% in the 4th quarter. Bank of America Corp DE now owns 22,695 shares of the industrial products company's stock valued at $1,875,000 after buying an additional 4,762 shares in the last quarter. Finally, Balyasny Asset Management L.P. purchased a new stake in DXP Enterprises in the 4th quarter valued at $1,251,000. Institutional investors and hedge funds own 74.82% of the company's stock.

About DXP Enterprises

DXP Enterprises, Inc, together with its subsidiaries, engages in distributing maintenance, repair, and operating (MRO) products, equipment, and services in the United States and Canada. It operates through three segments: Service Centers (SC), Supply Chain Services (SCS), and Innovative Pumping Solutions (IPS).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.