Bank of New York Mellon Corp Acquires New Holdings in Methode Electronics, Inc. $MEI

Key Points

• Bank of New York Mellon acquired 275,836 shares of Methode Electronics during the second quarter, worth approximately $5.23 million and representing about 0.78% of the company. Institutional investors collectively own 95.49% of MEI.
• Methode’s latest quarter showed stronger-than-expected revenue of $265.4 million and a narrower-than-expected loss of $0.22 per share. Management maintained fiscal 2027 revenue guidance of $1.0 billion to $1.1 billion.
• Analyst sentiment is mixed, with a consensus “Hold” rating and $22 price target. Despite improving sales and transformation efforts, ongoing losses and uncertain profitability remain key concerns.

Bank of New York Mellon Corp purchased a new stake in shares of Methode Electronics, Inc. (NYSE:MEI - Free Report) during the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm purchased 275,836 shares of the electronics maker's stock, valued at approximately $5,233,000. Bank of New York Mellon Corp owned approximately 0.78% of Methode Electronics at the end of the most recent quarter.

A number of other hedge funds also recently made changes to their positions in MEI. Empowered Funds LLC lifted its holdings in shares of Methode Electronics by 8.3% in the 1st quarter. Empowered Funds LLC now owns 127,268 shares of the electronics maker's stock worth $812,000 after purchasing an additional 9,787 shares in the last quarter. Strs Ohio purchased a new stake in Methode Electronics in the 1st quarter worth about $133,000. JPMorgan Chase & Co. raised its holdings in Methode Electronics by 10.0% during the 2nd quarter. JPMorgan Chase & Co. now owns 191,757 shares of the electronics maker's stock valued at $1,824,000 after acquiring an additional 17,418 shares during the period. Franklin Resources Inc. purchased a new position in Methode Electronics during the second quarter valued at approximately $234,000. Finally, XTX Topco Ltd bought a new stake in shares of Methode Electronics during the 2nd quarter valued at about $107,000. 95.49% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

A number of brokerages recently issued reports on MEI. Craig Hallum started coverage on shares of Methode Electronics in a research note on Tuesday, August 25th. They issued a "buy" rating and a $30.00 price target on the stock. Zacks Research raised shares of Methode Electronics from a "strong sell" rating to a "hold" rating in a report on Tuesday, August 4th. Weiss Ratings reissued a "sell (d-)" rating on shares of Methode Electronics in a research note on Friday, July 17th. Barrington Research upgraded shares of Methode Electronics from a "market perform" rating to an "outperform" rating and set a $25.00 target price on the stock in a research note on Monday, June 29th. Finally, Sidoti reiterated a "neutral" rating and set a $17.00 price objective on shares of Methode Electronics in a report on Friday, June 26th. Two analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, Methode Electronics currently has a consensus rating of "Hold" and a consensus price target of $22.00.

Key Stories Impacting Methode Electronics

Here are the key news stories impacting Methode Electronics this week:

• Positive Sentiment: Revenue and earnings exceeded expectations. Methode reported fiscal Q1 2027 revenue of approximately $265.4 million, up about 10% year over year and ahead of consensus estimates. Its $0.22-per-share loss was also narrower than analysts expected, helping support the stock. Methode Reports Q1 Loss, Beats Revenue Estimates
• Positive Sentiment: Fiscal 2027 outlook was confirmed. Management maintained revenue guidance of $1.0 billion to $1.1 billion, broadly consistent with analyst expectations. The company also highlighted commercial momentum, progress in its operational transformation and efforts to improve future profitability. Methode Confirms Fiscal 2027 Forecast
• Positive Sentiment: Analyst sentiment is supportive. A recent report identified Methode among technology stocks viewed favorably by analysts, adding to optimism that the company’s restructuring and growth initiatives could drive a recovery. Analysts Are Bullish on Methode Electronics
• Neutral Sentiment: The earnings call emphasized growth opportunities and transformation progress, but investors are still waiting for those initiatives to translate into sustained earnings and stronger margins. Methode Q1 2027 Earnings Call Transcript
• Negative Sentiment: Profitability remains a concern. Methode continues to report a quarterly loss, and the stock previously declined despite sales growth as investors focused on earnings quality and the path to profitability. Methode Falls Despite Sales Growth

Methode Electronics Price Performance

Shares of NYSE:MEI opened at $15.78 on Friday. The company has a market cap of $559.72 million, a P/E ratio of -15.17 and a beta of 1.54. The company has a quick ratio of 1.66, a current ratio of 2.41 and a debt-to-equity ratio of 0.47. The business has a fifty day simple moving average of $16.08 and a 200-day simple moving average of $11.48. Methode Electronics, Inc. has a 52 week low of $4.88 and a 52 week high of $20.38.

Methode Electronics (NYSE:MEI - Get Free Report) last issued its earnings results on Wednesday, September 2nd. The electronics maker reported ($0.22) earnings per share for the quarter, topping the consensus estimate of ($0.27) by $0.05. Methode Electronics had a negative return on equity of 5.63% and a negative net margin of 3.52%.The company had revenue of $265.40 million during the quarter, compared to the consensus estimate of $238.31 million. Equities research analysts forecast that Methode Electronics, Inc. will post -0.95 EPS for the current year.

Methode Electronics Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, July 31st. Investors of record on Friday, July 17th were issued a $0.05 dividend. This represents a $0.20 dividend on an annualized basis and a dividend yield of 1.3%. The ex-dividend date was Friday, July 17th. Methode Electronics's payout ratio is presently -19.23%.

Methode Electronics Company Profile

Methode Electronics, Inc is a Chicago-based global manufacturer of custom-engineered electronic and electromechanical components and assemblies. Founded in 1946, Methode specializes in providing solutions that integrate electrical connectors, sensors, switches, human-machine interface devices and power distribution modules. The company's product portfolio addresses complex application requirements across a broad range of end markets, including automotive, industrial, energy, healthcare and data/telecommunications.

In its automotive segment, Methode develops advanced connector systems, circuit protection devices and thermal management solutions for internal combustion, hybrid and electric vehicles.

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