Ethan Allen Interiors (NYSE:ETD) Shares Gap Up - Should You Buy?

Key Points

• Ethan Allen Interiors' share price gapped up to $31.22 at the start of trading, following a previous close of $30.03, and traded at $30.36 with a volume of 81,273 shares.
• The company reported quarterly earnings of $0.49 per share, exceeding analysts' expectations, and had revenue of $160.36 million, although this represented a 4.9% decrease from the prior year.
• A quarterly dividend of $0.39 per share has been announced, equating to an annualized dividend yield of 5.1%, with a payout ratio of 77.61%.

Ethan Allen Interiors Inc. (NYSE:ETD - Get Free Report)'s share price gapped up prior to trading on Monday . The stock had previously closed at $30.03, but opened at $31.22. Ethan Allen Interiors shares last traded at $30.36, with a volume of 81,273 shares.

Analyst Ratings Changes

Separately, Telsey Advisory Group reaffirmed a "market perform" rating and issued a $30.00 price objective on shares of Ethan Allen Interiors in a research note on Thursday, July 31st. Two investment analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus target price of $30.00.

Ethan Allen Interiors Stock Down 0.3%

The company has a 50 day simple moving average of $29.39 and a 200-day simple moving average of $28.03. The stock has a market capitalization of $749.27 million, a price-to-earnings ratio of 14.66 and a beta of 1.19.

Ethan Allen Interiors (NYSE:ETD - Get Free Report) last issued its quarterly earnings results on Wednesday, July 30th. The company reported $0.49 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.45 by $0.04. Ethan Allen Interiors had a return on equity of 10.92% and a net margin of 8.39%.The firm had revenue of $160.36 million for the quarter, compared to analyst estimates of $152.20 million. During the same period in the previous year, the firm earned $0.70 earnings per share. The company's revenue was down 4.9% compared to the same quarter last year. As a group, sell-side analysts anticipate that Ethan Allen Interiors Inc. will post 2.32 earnings per share for the current fiscal year.

Ethan Allen Interiors Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Thursday, August 28th. Shareholders of record on Wednesday, August 13th were paid a $0.39 dividend. The ex-dividend date of this dividend was Wednesday, August 13th. This represents a $1.56 annualized dividend and a yield of 5.3%. Ethan Allen Interiors's payout ratio is 77.61%.

Hedge Funds Weigh In On Ethan Allen Interiors

Institutional investors have recently added to or reduced their stakes in the business. Hsbc Holdings PLC raised its position in shares of Ethan Allen Interiors by 82.2% during the fourth quarter. Hsbc Holdings PLC now owns 14,924 shares of the company's stock worth $417,000 after purchasing an additional 6,734 shares during the period. Price T Rowe Associates Inc. MD raised its position in shares of Ethan Allen Interiors by 9.5% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 20,314 shares of the company's stock worth $572,000 after purchasing an additional 1,761 shares during the period. Northern Trust Corp raised its position in shares of Ethan Allen Interiors by 6.3% during the fourth quarter. Northern Trust Corp now owns 401,986 shares of the company's stock worth $11,300,000 after purchasing an additional 23,982 shares during the period. Comerica Bank raised its position in shares of Ethan Allen Interiors by 4.3% during the fourth quarter. Comerica Bank now owns 20,927 shares of the company's stock worth $588,000 after purchasing an additional 858 shares during the period. Finally, Freestone Grove Partners LP acquired a new position in shares of Ethan Allen Interiors during the fourth quarter worth approximately $1,033,000. 83.80% of the stock is owned by institutional investors and hedge funds.

About Ethan Allen Interiors

Ethan Allen Interiors Inc operates as an interior design company, and manufacturer and retailer of home furnishings in the United States, Mexico, Honduras, and Canada. The company operates in two segments, Wholesale and Retail. Its products include case goods items, such as beds, dressers, armoires, tables, chairs, buffets, entertainment units, home office furniture, and wooden accents; upholstery comprising fabric-covered items, such as sleepers, recliners and other motion furniture, chairs, ottomans, custom pillows, sofas, loveseats, cut fabrics, and leather; and home accent items consisting of window treatments and drapery hardware, wall decors, florals, lighting, clocks, mattresses, bedspreads, throws, pillows, decorative accents, area rugs, wall coverings, and home and garden furnishings.