Enerpac Tool Group (NYSE:EPAC) Shares Gap Up on Better-Than-Expected Earnings

Key Points

• Earnings Surprise: Enerpac Tool Group reported a quarterly EPS of $0.52, exceeding analyst expectations of $0.51, alongside a revenue of $167.52 million compared to the estimated $164.70 million.
• Dividend Announcement: The company disclosed a quarterly dividend of $0.04, which will be paid on October 17th, resulting in an annualized dividend of $0.16 and a yield of 0.4%.
• Stock Performance: Following the earnings report, Enerpac Tool Group's shares opened at $42.20 after closing at $40.31, reflecting strong market interest with a trading volume of 97,320 shares.

Enerpac Tool Group Corp. (NYSE:EPAC - Get Free Report)'s stock price gapped up before the market opened on Thursday after the company announced better than expected quarterly earnings. The stock had previously closed at $40.31, but opened at $42.20. Enerpac Tool Group shares last traded at $42.74, with a volume of 97,320 shares.

The company reported $0.52 EPS for the quarter, topping analysts' consensus estimates of $0.51 by $0.01. The company had revenue of $167.52 million for the quarter, compared to analyst estimates of $164.70 million. Enerpac Tool Group had a return on equity of 24.04% and a net margin of 14.65%.During the same quarter in the previous year, the firm earned $0.50 earnings per share. Enerpac Tool Group has set its FY 2026 guidance at 1.850-2.000 EPS.

Enerpac Tool Group Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, October 17th. Shareholders of record on Tuesday, October 7th will be paid a $0.04 dividend. The ex-dividend date of this dividend is Tuesday, October 7th. This represents a $0.16 dividend on an annualized basis and a yield of 0.4%. Enerpac Tool Group's payout ratio is currently 2.45%.

Analyst Upgrades and Downgrades

A number of equities analysts have commented on the company. Wall Street Zen lowered Enerpac Tool Group from a "strong-buy" rating to a "buy" rating in a research note on Saturday, July 26th. Zacks Research raised Enerpac Tool Group to a "hold" rating in a research note on Monday, September 8th. Weiss Ratings reissued a "buy (b-)" rating on shares of Enerpac Tool Group in a research note on Wednesday, October 8th. Finally, Roth Capital initiated coverage on Enerpac Tool Group in a research note on Friday, September 5th. They set a "buy" rating and a $48.00 price target on the stock. Three analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company's stock. According to MarketBeat.com, Enerpac Tool Group currently has a consensus rating of "Moderate Buy" and a consensus price target of $50.50.

Insider Buying and Selling

In related news, Director E James Ferland, Jr. sold 4,224 shares of the company's stock in a transaction dated Tuesday, August 12th. The stock was sold at an average price of $40.99, for a total value of $173,141.76. Following the completion of the sale, the director owned 94,136 shares in the company, valued at approximately $3,858,634.64. This represents a 4.29% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Corporate insiders own 1.10% of the company's stock.

Institutional Investors Weigh In On Enerpac Tool Group

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. SG Americas Securities LLC increased its holdings in shares of Enerpac Tool Group by 332.7% in the first quarter. SG Americas Securities LLC now owns 10,834 shares of the company's stock worth $486,000 after acquiring an additional 8,330 shares in the last quarter. Wealth Enhancement Advisory Services LLC increased its holdings in shares of Enerpac Tool Group by 6.9% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 6,845 shares of the company's stock worth $307,000 after acquiring an additional 440 shares in the last quarter. Janney Montgomery Scott LLC increased its holdings in shares of Enerpac Tool Group by 14.9% in the first quarter. Janney Montgomery Scott LLC now owns 7,051 shares of the company's stock worth $316,000 after acquiring an additional 917 shares in the last quarter. Bessemer Group Inc. increased its holdings in shares of Enerpac Tool Group by 15.8% in the first quarter. Bessemer Group Inc. now owns 22,888 shares of the company's stock worth $1,027,000 after acquiring an additional 3,125 shares in the last quarter. Finally, Diversified Trust Co grew its holdings in shares of Enerpac Tool Group by 17.8% during the first quarter. Diversified Trust Co now owns 14,725 shares of the company's stock worth $661,000 after buying an additional 2,225 shares in the last quarter. Institutional investors own 97.70% of the company's stock.

Enerpac Tool Group Stock Performance

The company has a quick ratio of 2.24, a current ratio of 2.90 and a debt-to-equity ratio of 0.42. The firm has a market capitalization of $2.30 billion, a P/E ratio of 26.09 and a beta of 1.12. The stock has a fifty day moving average of $41.50 and a 200-day moving average of $41.11.

About Enerpac Tool Group

Enerpac Tool Group Corp. manufactures and sells a range of industrial products and solutions in the United States, the United Kingdom, Germany, Australia, Canada, China, Saudi Arabia, Brazil, France, and internationally. It operates through Industrial Tools & Services and Other segments. The Industrial Tools & Services segment designs, manufactures, and distributes branded hydraulic and mechanical tools; and provides services and tool rentals to the infrastructure, industrial maintenance, repair and operations, oil and gas, mining, alternative and renewable energy, civil construction, and other markets.

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