Armstrong Henry H Associates Inc. Increases Holdings in Fastenal Company $FAST

Key Points

• Armstrong Henry H Associates Inc. significantly increased its position in Fastenal Company, acquiring an additional 134,446 shares, raising its ownership by 368.4% during the last quarter.
• Insider trading has been notable, with EVP William Drazkowski and EVP John Soderberg selling a combined total of 41,454 shares worth over $1.9 million recently.
• Fastenal's latest quarterly earnings exceeded analyst expectations, reporting $0.29 earnings per share (EPS) which is an increase from $0.25 EPS in the same quarter last year.

Armstrong Henry H Associates Inc. grew its holdings in shares of Fastenal Company (NASDAQ:FAST - Free Report) by 368.4% in the 2nd quarter, according to its most recent disclosure with the SEC. The fund owned 170,938 shares of the company's stock after purchasing an additional 134,446 shares during the period. Fastenal makes up approximately 0.7% of Armstrong Henry H Associates Inc.'s holdings, making the stock its 13th largest position. Armstrong Henry H Associates Inc.'s holdings in Fastenal were worth $7,179,000 as of its most recent SEC filing.

Several other large investors have also recently made changes to their positions in FAST. Charles Schwab Investment Management Inc. lifted its holdings in shares of Fastenal by 8.9% during the first quarter. Charles Schwab Investment Management Inc. now owns 22,615,915 shares of the company's stock valued at $1,753,864,000 after purchasing an additional 1,850,871 shares during the last quarter. GAMMA Investing LLC lifted its holdings in shares of Fastenal by 8,541.0% during the first quarter. GAMMA Investing LLC now owns 1,694,235 shares of the company's stock valued at $131,388,000 after purchasing an additional 1,674,628 shares during the last quarter. Confluence Investment Management LLC lifted its holdings in shares of Fastenal by 97.5% during the second quarter. Confluence Investment Management LLC now owns 3,280,009 shares of the company's stock valued at $137,760,000 after purchasing an additional 1,619,507 shares during the last quarter. Nuveen LLC purchased a new position in shares of Fastenal during the first quarter valued at approximately $119,136,000. Finally, Champlain Investment Partners LLC lifted its holdings in shares of Fastenal by 266.4% during the first quarter. Champlain Investment Partners LLC now owns 1,824,055 shares of the company's stock valued at $141,455,000 after purchasing an additional 1,326,260 shares during the last quarter. 81.38% of the stock is currently owned by hedge funds and other institutional investors.

Fastenal Price Performance

Shares of FAST traded down $0.21 during trading hours on Friday, reaching $47.02. 2,917,686 shares of the stock traded hands, compared to its average volume of 6,494,923. The company has a market cap of $53.96 billion, a P/E ratio of 45.23, a price-to-earnings-growth ratio of 4.29 and a beta of 0.97. Fastenal Company has a 52-week low of $34.69 and a 52-week high of $50.63. The company has a current ratio of 4.22, a quick ratio of 2.12 and a debt-to-equity ratio of 0.03. The company's 50-day moving average price is $47.76 and its two-hundred day moving average price is $42.82.

Fastenal (NASDAQ:FAST - Get Free Report) last announced its quarterly earnings results on Monday, July 14th. The company reported $0.29 EPS for the quarter, topping the consensus estimate of $0.28 by $0.01. The business had revenue of $2.08 billion for the quarter, compared to analysts' expectations of $2.07 billion. Fastenal had a net margin of 15.30% and a return on equity of 32.33%. The business's quarterly revenue was up 8.6% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.25 EPS. On average, analysts anticipate that Fastenal Company will post 2.15 earnings per share for the current year.

Fastenal Cuts Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, August 26th. Shareholders of record on Tuesday, July 29th were paid a $0.22 dividend. The ex-dividend date was Tuesday, July 29th. This represents a $0.88 annualized dividend and a yield of 1.9%. Fastenal's payout ratio is presently 84.62%.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on the stock. Loop Capital reiterated a "hold" rating on shares of Fastenal in a report on Tuesday, July 15th. Wolfe Research reaffirmed a "positive" rating on shares of Fastenal in a research report on Monday, July 14th. Morgan Stanley set a $40.00 price objective on shares of Fastenal and gave the company an "equal weight" rating in a research report on Thursday, July 3rd. JPMorgan Chase & Co. boosted their price objective on shares of Fastenal from $41.00 to $46.00 and gave the company a "neutral" rating in a research report on Thursday, September 4th. Finally, Northcoast Research assumed coverage on shares of Fastenal in a research report on Thursday, August 21st. They set a "neutral" rating for the company. One investment analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company has a consensus rating of "Hold" and a consensus price target of $46.82.

Insider Activity at Fastenal

In other Fastenal news, insider Jeffery Michael Watts sold 48,724 shares of the business's stock in a transaction on Friday, August 8th. The shares were sold at an average price of $48.05, for a total value of $2,341,188.20. Following the sale, the insider owned 11,880 shares in the company, valued at $570,834. The trade was a 80.40% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP William Joseph Drazkowski sold 6,842 shares of the company's stock in a transaction dated Friday, August 15th. The shares were sold at an average price of $48.67, for a total transaction of $333,000.14. Following the sale, the executive vice president owned 11,994 shares in the company, valued at $583,747.98. This represents a 36.32% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 111,230 shares of company stock worth $5,288,364 in the last quarter. 0.37% of the stock is owned by company insiders.

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.