Federated Hermes Inc. Has $7.71 Million Position in MGP Ingredients, Inc. (NASDAQ:MGPI)

Key Points

• Federated Hermes Inc. increased its stake in MGP Ingredients, Inc. by 576.4% in the first quarter, acquiring a total of 262,329 shares valued at approximately $7.7 million.
• MGP Ingredients recently saw a change in analyst ratings, with Wall Street Zen lowering its rating from "hold" to "sell," while others maintain a consensus rating of "Moderate Buy" with a target price of $50.33.
• The company announced a quarterly dividend of $0.12 per share, providing an annualized yield of 1.7%, despite a high dividend payout ratio of 106.67%.

Federated Hermes Inc. grew its stake in shares of MGP Ingredients, Inc. (NASDAQ:MGPI - Free Report) by 576.4% during the 1st quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 262,329 shares of the company's stock after acquiring an additional 223,548 shares during the period. Federated Hermes Inc. owned 1.23% of MGP Ingredients worth $7,707,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also modified their holdings of the company. Vanguard Group Inc. raised its holdings in MGP Ingredients by 0.7% in the 4th quarter. Vanguard Group Inc. now owns 1,126,169 shares of the company's stock worth $44,337,000 after acquiring an additional 7,471 shares during the period. Dimensional Fund Advisors LP increased its holdings in shares of MGP Ingredients by 6.7% during the 4th quarter. Dimensional Fund Advisors LP now owns 914,854 shares of the company's stock worth $36,017,000 after purchasing an additional 57,714 shares during the period. Wasatch Advisors LP bought a new position in shares of MGP Ingredients during the 4th quarter worth about $28,388,000. Ariel Investments LLC increased its holdings in shares of MGP Ingredients by 17.6% during the 4th quarter. Ariel Investments LLC now owns 598,903 shares of the company's stock worth $23,579,000 after purchasing an additional 89,461 shares during the period. Finally, Massachusetts Financial Services Co. MA increased its holdings in shares of MGP Ingredients by 16.8% during the 4th quarter. Massachusetts Financial Services Co. MA now owns 579,067 shares of the company's stock worth $22,798,000 after purchasing an additional 83,445 shares during the period. Institutional investors own 77.11% of the company's stock.

Analysts Set New Price Targets

Several brokerages have recently weighed in on MGPI. Truist Financial decreased their target price on shares of MGP Ingredients from $40.00 to $35.00 and set a "buy" rating on the stock in a research report on Thursday, April 24th. Wall Street Zen lowered shares of MGP Ingredients from a "hold" rating to a "sell" rating in a research report on Saturday, May 10th. One research analyst has rated the stock with a sell rating, one has assigned a hold rating and four have given a buy rating to the company's stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $50.33.

MGP Ingredients Trading Down 2.4%

NASDAQ:MGPI traded down $0.70 during trading hours on Wednesday, hitting $27.74. The stock had a trading volume of 61,631 shares, compared to its average volume of 352,455. MGP Ingredients, Inc. has a one year low of $25.12 and a one year high of $92.52. The company has a debt-to-equity ratio of 0.35, a quick ratio of 0.79 and a current ratio of 2.91. The company has a market cap of $590.48 million, a price-to-earnings ratio of -89.47 and a beta of 0.33. The business's 50 day moving average is $30.24 and its 200-day moving average is $31.00.

MGP Ingredients (NASDAQ:MGPI - Get Free Report) last released its quarterly earnings results on Thursday, July 31st. The company reported $0.97 earnings per share for the quarter, beating the consensus estimate of $0.64 by $0.33. The company had revenue of $145.49 million during the quarter, compared to analysts' expectations of $138.70 million. MGP Ingredients had a negative net margin of 1.08% and a positive return on equity of 10.66%. The business's quarterly revenue was down 23.7% compared to the same quarter last year. During the same quarter in the prior year, the company earned $1.71 earnings per share. Sell-side analysts anticipate that MGP Ingredients, Inc. will post 5.56 EPS for the current fiscal year.

MGP Ingredients Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 29th. Investors of record on Friday, August 15th will be issued a dividend of $0.12 per share. The ex-dividend date is Friday, August 15th. This represents a $0.48 annualized dividend and a yield of 1.7%. MGP Ingredients's dividend payout ratio is presently -154.84%.

Insider Buying and Selling

In other MGP Ingredients news, Director Martin Roper bought 15,000 shares of MGP Ingredients stock in a transaction that occurred on Thursday, May 8th. The stock was acquired at an average price of $33.10 per share, for a total transaction of $496,500.00. Following the completion of the acquisition, the director owned 18,180 shares of the company's stock, valued at $601,758. This trade represents a 471.70% increase in their position. The purchase was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Insiders own 34.40% of the company's stock.

MGP Ingredients 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.