Emerald Investment Advisers LLC Makes New Investment in Snap-On Incorporated $SNA

Key Points

• Emerald Investment Advisers initiated a Snap-On position by purchasing 5,486 shares valued at approximately $2.2 million. Institutional investors collectively own 84.88% of the company.
• Analysts maintain a positive outlook, with five Buy ratings and one Hold rating, an overall “Moderate Buy” consensus, and an average price target of $426.20.
• Snap-On exceeded quarterly expectations with $4.96 in adjusted earnings per share and $1.24 billion in revenue, while declaring a $2.44 quarterly dividend and authorizing a $500 million share-repurchase program.

Emerald Investment Advisers LLC bought a new position in shares of Snap-On Incorporated (NYSE:SNA - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor bought 5,486 shares of the company's stock, valued at approximately $2,208,000.

Several other hedge funds have also recently bought and sold shares of SNA. Westpac Banking Corp acquired a new stake in Snap-On in the 2nd quarter valued at $5,302,000. Landscape Capital Management L.L.C. acquired a new position in shares of Snap-On during the second quarter worth about $1,044,000. Korea Investment CORP acquired a new position in shares of Snap-On during the second quarter worth about $8,347,000. EP Wealth Advisors LLC purchased a new stake in shares of Snap-On in the second quarter worth about $878,000. Finally, Callan Family Office LLC purchased a new stake in shares of Snap-On in the second quarter worth about $270,000. Hedge funds and other institutional investors own 84.88% of the company's stock.

Wall Street Analysts Forecast Growth

SNA has been the topic of several analyst reports. Weiss Ratings reiterated a "buy (b)" rating on shares of Snap-On in a report on Friday, July 17th. Tigress Financial upped their price target on Snap-On from $445.00 to $485.00 and gave the stock a "buy" rating in a report on Friday, July 31st. Roth Capital reaffirmed a "buy" rating and issued a $461.00 price objective (up from $409.00) on shares of Snap-On in a research report on Friday, July 24th. Barclays started coverage on shares of Snap-On in a research note on Thursday, May 28th. They set an "overweight" rating and a $420.00 price objective on the stock. Finally, Robert W. Baird set a $415.00 target price on shares of Snap-On in a research report on Friday, July 24th. Five equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. Based on data from MarketBeat.com, Snap-On presently has an average rating of "Moderate Buy" and an average price target of $426.20.

Snap-On Trading Up 0.5%

NYSE SNA opened at $393.11 on Friday. Snap-On Incorporated has a 12 month low of $319.20 and a 12 month high of $423.02. The company has a debt-to-equity ratio of 0.15, a current ratio of 3.43 and a quick ratio of 2.64. The company has a market capitalization of $20.34 billion, a price-to-earnings ratio of 20.05, a price-to-earnings-growth ratio of 2.77 and a beta of 0.73. The company's fifty day moving average price is $403.30 and its two-hundred day moving average price is $384.56.

Snap-On (NYSE:SNA - Get Free Report) last announced its quarterly earnings data on Thursday, July 23rd. The company reported $4.96 earnings per share for the quarter, topping the consensus estimate of $4.95 by $0.01. The company had revenue of $1.24 billion during the quarter, compared to analyst estimates of $1.22 billion. Snap-On had a net margin of 21.25% and a return on equity of 17.07%. The firm's revenue for the quarter was up 4.7% compared to the same quarter last year. During the same period last year, the business earned $4.72 EPS. As a group, research analysts predict that Snap-On Incorporated will post 19.7 earnings per share for the current fiscal year.

Snap-On Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Wednesday, August 19th will be paid a $2.44 dividend. This represents a $9.76 dividend on an annualized basis and a yield of 2.5%. The ex-dividend date is Wednesday, August 19th. Snap-On's dividend payout ratio (DPR) is 49.77%.

Snap-On declared that its board has approved a share repurchase program on Thursday, April 30th that allows the company to repurchase $500.00 million in shares. This repurchase authorization allows the company to reacquire up to 2.5% of its shares through open market purchases. Shares repurchase programs are usually an indication that the company's board of directors believes its stock is undervalued.

Insiders Place Their Bets

In related news, SVP Jesus Arregui sold 4,251 shares of the business's stock in a transaction dated Wednesday, June 10th. The stock was sold at an average price of $383.92, for a total value of $1,632,043.92. Following the completion of the sale, the senior vice president directly owned 4,439 shares of the company's stock, valued at $1,704,220.88. The trade was a 48.92% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CEO Nicholas T. Pinchuk sold 22,889 shares of the company's stock in a transaction that occurred on Tuesday, August 18th. The shares were sold at an average price of $399.69, for a total value of $9,148,504.41. Following the sale, the chief executive officer owned 867,779 shares in the company, valued at $346,842,588.51. The trade was a 2.57% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 45,928 shares of company stock valued at $18,483,009. 3.80% of the stock is owned by company insiders.

Snap-On Company Profile

Snap‑On Incorporated NYSE: SNA is a designer, manufacturer and marketer of tools, diagnostic equipment, repair information and shop equipment for professional users. The company's product range includes hand and power tools, tool storage and cabinets, diagnostic scan tools and software, shop equipment such as lifts and tire changers, and specialized specialty tools for automotive, aviation, marine and industrial applications. Snap‑On also offers information and workflow solutions that combine diagnostic data, repair procedures and parts information to support professional technicians.

Founded in 1920 and headquartered in Kenosha, Wisconsin, Snap‑On has established a long history in the professional tools market.

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