Fastenal (NASDAQ:FAST) Stock Price Up 6.1% After Earnings Beat

Fastenal Company (NASDAQ:FAST - Get Free Report)'s stock price traded up 6.1% on Monday following a stronger than expected earnings report. The company traded as high as $45.79 and last traded at $45.93. 3,512,538 shares were traded during mid-day trading, a decline of 41% from the average session volume of 5,984,212 shares. The stock had previously closed at $43.27.

The company reported $0.29 earnings per share for the quarter, topping analysts' consensus estimates of $0.28 by $0.01. Fastenal had a return on equity of 31.99% and a net margin of 15.13%. The firm had revenue of $2.08 billion for the quarter, compared to analysts' expectations of $2.07 billion. During the same quarter last year, the business posted $0.25 EPS. Fastenal's revenue was up 8.6% on a year-over-year basis.

Fastenal Cuts Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, August 26th. Shareholders of record on Tuesday, July 29th will be given a $0.22 dividend. The ex-dividend date is Tuesday, July 29th. This represents a $0.88 dividend on an annualized basis and a yield of 1.95%. Fastenal's payout ratio is 88.00%.

Wall Street Analysts Forecast Growth

FAST has been the subject of a number of recent research reports. Loop Capital upped their price objective on shares of Fastenal from $40.00 to $45.00 and gave the stock a "hold" rating in a report on Tuesday, July 8th. Stephens reissued an "equal weight" rating on shares of Fastenal in a research report on Thursday, July 3rd. JPMorgan Chase & Co. increased their price target on shares of Fastenal from $36.00 to $38.00 and gave the company a "neutral" rating in a report on Tuesday, May 27th. Robert W. Baird set a $86.00 target price on shares of Fastenal in a research note on Thursday, July 3rd. Finally, Wolfe Research restated a "positive" rating on shares of Fastenal in a research note on Monday. One investment analyst has rated the stock with a sell rating, eight have issued a hold rating and three have issued a buy rating to the company's stock. According to MarketBeat, Fastenal has a consensus rating of "Hold" and an average target price of $48.45.

Insiders Place Their Bets

In other news, EVP John Lewis Soderberg sold 32,724 shares of the business's stock in a transaction dated Friday, May 16th. The stock was sold at an average price of $41.23, for a total value of $1,349,046.90. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Scott Satterlee sold 19,340 shares of the firm's stock in a transaction on Tuesday, May 6th. The shares were sold at an average price of $39.76, for a total transaction of $768,861.70. Following the completion of the transaction, the director directly owned 50,000 shares of the company's stock, valued at approximately $1,987,750. This trade represents a 27.89% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 163,200 shares of company stock valued at $6,675,975 over the last 90 days. 0.37% of the stock is owned by company insiders.

Institutional Trading of Fastenal

Institutional investors and hedge funds have recently bought and sold shares of the business. 1248 Management LLC bought a new stake in Fastenal in the 1st quarter valued at $36,000. Horizon Financial Services LLC lifted its holdings in shares of Fastenal by 5,330.0% during the 1st quarter. Horizon Financial Services LLC now owns 543 shares of the company's stock worth $42,000 after acquiring an additional 533 shares during the period. Itau Unibanco Holding S.A. boosted its position in shares of Fastenal by 481.9% during the 4th quarter. Itau Unibanco Holding S.A. now owns 611 shares of the company's stock worth $44,000 after acquiring an additional 506 shares in the last quarter. Zions Bancorporation National Association UT bought a new position in shares of Fastenal in the 1st quarter valued at $49,000. Finally, Armstrong Advisory Group Inc. grew its position in Fastenal by 100.0% in the second quarter. Armstrong Advisory Group Inc. now owns 696 shares of the company's stock valued at $29,000 after acquiring an additional 348 shares during the last quarter. Institutional investors own 81.38% of the company's stock.

Fastenal Stock Performance

The stock's 50-day moving average is $41.50 and its 200-day moving average is $39.19. The firm has a market capitalization of $51.71 billion, a price-to-earnings ratio of 44.85, a PEG ratio of 4.01 and a beta of 0.96. The company has a current ratio of 4.28, a quick ratio of 2.14 and a debt-to-equity ratio of 0.03.

About Fastenal

Fastenal Company, together with its subsidiaries, engages in the wholesale distribution of industrial and construction supplies in the United States, Canada, Mexico, North America, and internationally. It offers fasteners, and related industrial and construction supplies under the Fastenal name. The company's fastener products include threaded fasteners, bolts, nuts, screws, studs, and related washers that are used in manufactured products and construction projects, as well as in the maintenance and repair of machines.