Fastenal (NASDAQ:FAST) Posts Quarterly Earnings Results, Hits Expectations

Key Points

• Fastenal reported quarterly earnings of $0.33 per share, exactly in line with analyst expectations, while revenue came in at $2.39 billion, topping the consensus estimate of $2.34 billion.
• The company also announced a dividend increase to $0.26 per share from $0.24, implying an annualized dividend of $1.04 and a yield of about 2.2%.
• Analyst sentiment remains mixed: the stock carries an average "Hold" rating with an average price target of $48.31, slightly above its recent trading level.

Fastenal (NASDAQ:FAST - Get Free Report) announced its quarterly earnings data on Tuesday. The company reported $0.33 EPS for the quarter, meeting analysts' consensus estimates of $0.33, FiscalAI reports. Fastenal had a net margin of 15.39% and a return on equity of 33.25%. The firm had revenue of $2.39 billion during the quarter, compared to the consensus estimate of $2.34 billion.

Fastenal Price Performance

NASDAQ:FAST opened at $47.05 on Tuesday. Fastenal has a 12-month low of $38.97 and a 12-month high of $50.63. The firm has a market cap of $54.02 billion, a price-to-earnings ratio of 41.27, a price-to-earnings-growth ratio of 2.94 and a beta of 0.72. The company's 50-day moving average is $45.60 and its two-hundred day moving average is $45.09. The company has a current ratio of 4.39, a quick ratio of 2.34 and a debt-to-equity ratio of 0.03.

Fastenal Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, August 25th. Investors of record on Tuesday, July 28th will be paid a $0.26 dividend. This represents a $1.04 annualized dividend and a yield of 2.2%. The ex-dividend date of this dividend is Tuesday, July 28th. This is a positive change from Fastenal's previous quarterly dividend of $0.24. Fastenal's dividend payout ratio is presently 84.21%.

Analyst Ratings Changes

FAST has been the subject of a number of recent analyst reports. Robert W. Baird reduced their target price on Fastenal from $52.00 to $50.00 and set an "outperform" rating for the company in a report on Tuesday, April 14th. Jefferies Financial Group restated a "buy" rating on shares of Fastenal in a research report on Thursday, June 4th. Wolfe Research reissued an "underperform" rating and set a $47.00 price target on shares of Fastenal in a research note on Thursday. JPMorgan Chase & Co. raised their price target on Fastenal from $46.00 to $47.00 and gave the company a "neutral" rating in a research report on Thursday, April 9th. Finally, Rothschild & Co Redburn set a $55.00 price objective on shares of Fastenal and gave the company a "buy" rating in a research note on Monday. Five research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company presently has an average rating of "Hold" and an average price target of $48.31.

Hedge Funds Weigh In On Fastenal

Institutional investors have recently modified their holdings of the company. Measured Wealth Private Client Group LLC acquired a new stake in Fastenal during the third quarter worth approximately $36,000. Greenline Wealth Management LLC purchased a new position in shares of Fastenal during the 4th quarter worth $42,000. Towarzystwo Funduszy Inwestycyjnych PZU SA lifted its stake in shares of Fastenal by 33.6% during the 3rd quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA now owns 1,470 shares of the company's stock worth $72,000 after purchasing an additional 370 shares during the period. DV Equities LLC acquired a new stake in shares of Fastenal during the fourth quarter worth $65,000. Finally, Kelleher Financial Advisors acquired a new stake in shares of Fastenal during the third quarter worth $94,000. Institutional investors and hedge funds own 81.38% of the company's stock.

Fastenal Company Profile

Fastenal NASDAQ: FAST is a wholesale distributor of industrial and construction supplies, best known for its broad assortment of fasteners such as bolts, nuts, screws and anchors. Founded in Winona, Minnesota, Fastenal has grown from a regional supplier into a national and international distributor serving a wide range of end markets, including manufacturing, construction, maintenance, repair and operations (MRO), and government customers. The company is publicly traded and operates through a network of locally staffed branches combined with national distribution capabilities.

Product offerings extend beyond fasteners to include tools, safety and personal protective equipment, power transmission components, cutting and welding supplies, janitorial and material handling items, and other industrial consumables.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.