Elbit Systems (NASDAQ:ESLT) Shares Gap Down - What's Next?

Key Points

• Elbit Systems Ltd. shares gapped down from a closing price of $509.54 to open at $489.00, with the last trading price at $493.10 on a volume of 43,676 shares.
• Analysts have increased Elbit's price target from $500.00 to $540.00 and upgraded the stock rating from "hold" to "buy," indicating a positive outlook.
• The company increased its quarterly dividend to $0.75 from the previous $0.60, representing an annualized dividend of $3.00 and a yield of 0.6%.

Shares of Elbit Systems Ltd. (NASDAQ:ESLT - Get Free Report) gapped down before the market opened on Monday . The stock had previously closed at $509.54, but opened at $489.00. Elbit Systems shares last traded at $493.10, with a volume of 43,676 shares traded.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on ESLT shares. Wall Street Zen upgraded shares of Elbit Systems from a "hold" rating to a "buy" rating in a research note on Saturday, August 30th. Bank of America lifted their target price on shares of Elbit Systems from $500.00 to $540.00 and gave the company a "buy" rating in a research note on Tuesday, August 26th. One equities research analyst has rated the stock with a Buy rating, Based on data from MarketBeat.com, the company presently has an average rating of "Buy" and a consensus target price of $540.00.

Elbit Systems Stock Performance

The company has a market cap of $21.69 billion, a P/E ratio of 55.39, a P/E/G ratio of 1.74 and a beta of 0.37. The firm has a 50 day moving average price of $468.69 and a 200-day moving average price of $425.93. The company has a debt-to-equity ratio of 0.06, a quick ratio of 0.77 and a current ratio of 1.29.

Elbit Systems (NASDAQ:ESLT - Get Free Report) last issued its quarterly earnings data on Wednesday, August 13th. The aerospace company reported $3.23 earnings per share for the quarter, beating analysts' consensus estimates of $2.57 by $0.66. The business had revenue of $1.97 billion for the quarter, compared to the consensus estimate of $1.89 billion. Elbit Systems had a return on equity of 14.29% and a net margin of 5.35%.During the same period last year, the business earned $2.08 EPS. On average, research analysts predict that Elbit Systems Ltd. will post 8.05 EPS for the current year.

Elbit Systems Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, October 27th. Investors of record on Tuesday, October 14th will be issued a dividend of $0.75 per share. The ex-dividend date of this dividend is Tuesday, October 14th. This represents a $3.00 annualized dividend and a dividend yield of 0.6%. This is an increase from Elbit Systems's previous quarterly dividend of $0.60. Elbit Systems's payout ratio is currently 22.70%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Clal Insurance Enterprises Holdings Ltd grew its position in shares of Elbit Systems by 0.3% in the first quarter. Clal Insurance Enterprises Holdings Ltd now owns 1,357,148 shares of the aerospace company's stock valued at $520,189,000 after purchasing an additional 4,248 shares during the last quarter. Vanguard Group Inc. boosted its stake in Elbit Systems by 1.8% during the 1st quarter. Vanguard Group Inc. now owns 889,904 shares of the aerospace company's stock valued at $341,276,000 after purchasing an additional 15,552 shares during the period. Y.D. More Investments Ltd grew its holdings in Elbit Systems by 35.1% in the 2nd quarter. Y.D. More Investments Ltd now owns 610,977 shares of the aerospace company's stock valued at $271,438,000 after buying an additional 158,689 shares during the last quarter. Arrowstreet Capital Limited Partnership increased its position in Elbit Systems by 27.3% in the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 471,839 shares of the aerospace company's stock worth $210,967,000 after buying an additional 101,083 shares during the period. Finally, Meitav Investment House Ltd. increased its position in Elbit Systems by 27.7% in the 2nd quarter. Meitav Investment House Ltd. now owns 378,223 shares of the aerospace company's stock worth $168,600,000 after buying an additional 82,103 shares during the period. Institutional investors and hedge funds own 17.88% of the company's stock.

Elbit Systems Company Profile

Elbit Systems Ltd. develops and supplies a portfolio of airborne, land, and naval systems and products for the defense, homeland security, and commercial aviation applications primarily in Israel. The company operates through Aerospace, C4I and Cyber, ISTAR and EW, Land, and Elbit Systems of America segments.