Baker Avenue Asset Management LP Takes Position in Heico Corporation (NYSE:HEI)

Key Points

• Baker Avenue Asset Management LP invested $345,000 in Heico Corporation, purchasing 1,291 shares in the first quarter.
• Heico's latest quarterly earnings showed an EPS of $1.12, exceeding estimates, with revenue rising 14.9% year-over-year.
• The company has announced an increase in its semi-annual dividend to $0.12 per share, reflecting investor confidence.

Baker Avenue Asset Management LP bought a new stake in Heico Corporation (NYSE:HEI - Free Report) in the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor bought 1,291 shares of the aerospace company's stock, valued at approximately $345,000.

A number of other institutional investors and hedge funds have also made changes to their positions in HEI. Bain Capital Public Equity Management II LLC acquired a new stake in shares of Heico in the fourth quarter valued at approximately $110,503,000. EULAV Asset Management grew its position in shares of Heico by 1.8% in the first quarter. EULAV Asset Management now owns 461,693 shares of the aerospace company's stock valued at $123,360,000 after purchasing an additional 8,000 shares during the last quarter. Two Sigma Advisers LP grew its position in shares of Heico by 2.3% in the fourth quarter. Two Sigma Advisers LP now owns 371,178 shares of the aerospace company's stock valued at $88,244,000 after purchasing an additional 8,300 shares during the last quarter. Freestone Grove Partners LP acquired a new stake in shares of Heico in the fourth quarter valued at approximately $71,030,000. Finally, Vantage Investment Partners LLC grew its position in shares of Heico by 1.1% in the first quarter. Vantage Investment Partners LLC now owns 162,145 shares of the aerospace company's stock valued at $43,324,000 after purchasing an additional 1,772 shares during the last quarter. 27.12% of the stock is owned by hedge funds and other institutional investors.

Heico Stock Performance

Heico stock traded down $7.53 during midday trading on Tuesday, reaching $330.03. 98,073 shares of the stock traded hands, compared to its average volume of 517,990. The company has a current ratio of 3.43, a quick ratio of 1.56 and a debt-to-equity ratio of 0.56. The firm has a fifty day moving average price of $314.23 and a two-hundred day moving average price of $273.01. The firm has a market cap of $45.91 billion, a price-to-earnings ratio of 77.38, a PEG ratio of 4.05 and a beta of 1.11. Heico Corporation has a fifty-two week low of $216.68 and a fifty-two week high of $338.92.

Heico (NYSE:HEI - Get Free Report) last issued its quarterly earnings results on Tuesday, May 27th. The aerospace company reported $1.12 earnings per share for the quarter, topping analysts' consensus estimates of $1.03 by $0.09. The company had revenue of $1.10 billion during the quarter, compared to analyst estimates of $1.06 billion. Heico had a net margin of 14.54% and a return on equity of 15.88%. The business's revenue for the quarter was up 14.9% compared to the same quarter last year. During the same period in the prior year, the business posted $0.88 EPS. On average, equities research analysts forecast that Heico Corporation will post 4.2 earnings per share for the current year.

Heico Increases Dividend

The business also recently declared a semi-annual dividend, which was paid on Tuesday, July 15th. Stockholders of record on Tuesday, July 1st were paid a $0.12 dividend. The ex-dividend date of this dividend was Tuesday, July 1st. This represents a dividend yield of 10.0%. This is an increase from Heico's previous semi-annual dividend of $0.11. Heico's dividend payout ratio (DPR) is currently 5.61%.

Insider Transactions at Heico

In related news, Director Alan Schriesheim sold 35,000 shares of the business's stock in a transaction that occurred on Tuesday, June 3rd. The shares were sold at an average price of $298.36, for a total value of $10,442,600.00. Following the sale, the director directly owned 122,197 shares in the company, valued at $36,458,696.92. The trade was a 22.27% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Chairman Laurans A. Mendelson sold 56,300 shares of the business's stock in a transaction that occurred on Tuesday, July 15th. The stock was sold at an average price of $319.45, for a total transaction of $17,985,035.00. Following the completion of the sale, the chairman owned 1,253,127 shares in the company, valued at $400,311,420.15. The trade was a 4.30% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 91,656 shares of company stock valued at $28,534,115. Company insiders own 9.55% of the company's stock.

Analysts Set New Price Targets

Several analysts have recently commented on HEI shares. Barclays set a $280.00 price target on shares of Heico and gave the company an "equal weight" rating in a research report on Monday, June 2nd. Truist Financial lifted their price target on shares of Heico from $323.00 to $352.00 and gave the company a "buy" rating in a report on Friday, July 11th. Bank of America lifted their target price on shares of Heico from $320.00 to $355.00 and gave the company a "buy" rating in a report on Thursday, July 3rd. Wall Street Zen downgraded shares of Heico from a "buy" rating to a "hold" rating in a research note on Friday, July 18th. Finally, UBS Group lifted their price target on shares of Heico from $264.00 to $306.00 and gave the stock a "neutral" rating in a research note on Thursday, May 29th. Six equities research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $301.45.

Heico Company Profile

HEICO Corporation, through its subsidiaries, designs, manufactures, and sells aerospace, defense, and electronic related products and services in the United States and internationally. Its Flight Support Group segment provides jet engine and aircraft component replacement parts; thermal insulation blankets and parts; renewable/reusable insulation systems; and specialty components.