Ariel Investments LLC Buys 27,155 Shares of MGP Ingredients, Inc. $MGPI

Key Points

• Ariel Investments LLC increased its stake in MGP Ingredients by 4.5%, acquiring 27,155 additional shares, resulting in ownership of approximately 2.94% of the company valued at $18.39 million.
• MGP Ingredients recently reported a quarterly earnings per share (EPS) of $0.97, surpassing analysts' expectations, and has set its FY 2025 guidance at 2.450-2.750 EPS despite a year-over-year revenue decline.
• The company declared a quarterly dividend of $0.12 per share, translating to an annualized yield of 1.6%, but currently has a negative payout ratio of -154.84%.

Ariel Investments LLC lifted its position in MGP Ingredients, Inc. (NASDAQ:MGPI - Free Report) by 4.5% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 626,058 shares of the company's stock after acquiring an additional 27,155 shares during the period. Ariel Investments LLC owned approximately 2.94% of MGP Ingredients worth $18,394,000 at the end of the most recent quarter.

A number of other hedge funds have also modified their holdings of MGPI. Vanguard Group Inc. raised its holdings in shares of MGP Ingredients by 1.7% during the first quarter. Vanguard Group Inc. now owns 1,145,485 shares of the company's stock worth $33,654,000 after acquiring an additional 19,316 shares during the period. Voloridge Investment Management LLC acquired a new stake in shares of MGP Ingredients during the fourth quarter worth $12,932,000. Federated Hermes Inc. raised its holdings in shares of MGP Ingredients by 576.4% during the first quarter. Federated Hermes Inc. now owns 262,329 shares of the company's stock worth $7,707,000 after acquiring an additional 223,548 shares during the period. Deutsche Bank AG raised its holdings in shares of MGP Ingredients by 1,564.2% during the first quarter. Deutsche Bank AG now owns 214,060 shares of the company's stock worth $6,289,000 after acquiring an additional 201,197 shares during the period. Finally, Cubist Systematic Strategies LLC acquired a new stake in shares of MGP Ingredients during the fourth quarter worth $7,164,000. 77.11% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Separately, Wall Street Zen downgraded shares of MGP Ingredients from a "hold" rating to a "sell" rating in a report on Saturday, May 10th. Four investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $50.33.

MGP Ingredients Stock Performance

Shares of MGPI traded up $0.50 during midday trading on Friday, reaching $29.19. The stock had a trading volume of 195,764 shares, compared to its average volume of 176,099. The firm has a 50 day simple moving average of $29.93 and a 200-day simple moving average of $30.11. MGP Ingredients, Inc. has a one year low of $25.12 and a one year high of $90.05. The firm has a market cap of $621.46 million, a PE ratio of -94.16 and a beta of 0.35. The company has a current ratio of 2.91, a quick ratio of 0.79 and a debt-to-equity ratio of 0.35.

MGP Ingredients (NASDAQ:MGPI - Get Free Report) last announced its earnings results on Thursday, July 31st. The company reported $0.97 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.64 by $0.33. MGP Ingredients had a negative net margin of 1.08% and a positive return on equity of 10.66%. The company had revenue of $145.49 million during the quarter, compared to analysts' expectations of $138.70 million. During the same quarter in the previous year, the business posted $1.71 earnings per share. MGP Ingredients's quarterly revenue was down 23.7% on a year-over-year basis. MGP Ingredients has set its FY 2025 guidance at 2.450-2.750 EPS. As a group, sell-side analysts anticipate that MGP Ingredients, Inc. will post 5.56 EPS for the current year.

MGP Ingredients Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, August 29th. Shareholders of record on Friday, August 15th were paid a dividend of $0.12 per share. This represents a $0.48 dividend on an annualized basis and a yield of 1.6%. The ex-dividend date was Friday, August 15th. MGP Ingredients's dividend payout ratio is presently -154.84%.

MGP Ingredients Company Profile

MGP Ingredients, Inc, together with its subsidiaries, engages in the production and supply of distilled spirits, branded spirits, and food ingredients in the United States and internationally. The company operates through three segments: Distillery Solutions; Branded Spirits; and Ingredient Solutions.