Fred Alger Management LLC Sells 23,423 Shares of Gates Industrial Corporation PLC $GTES

Key Points

• Fred Alger Management LLC has reduced its stake in Gates Industrial Corporation PLC by 1.0%, selling 23,423 shares in the first quarter, leaving it with approximately 0.94% ownership valued at $44.7 million.
• Analysts have recently increased target prices for Gates Industrial, with Citigroup raising its target from $22.00 to $29.00 and JPMorgan initiating coverage with a price target of $35.00.
• Gates Industrial reported $0.39 earnings per share (EPS) for the last quarter, exceeding estimates, with revenues of $883.7 million, down slightly by 0.2% from the previous year.

Fred Alger Management LLC cut its stake in shares of Gates Industrial Corporation PLC (NYSE:GTES - Free Report) by 1.0% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 2,427,137 shares of the company's stock after selling 23,423 shares during the period. Fred Alger Management LLC owned about 0.94% of Gates Industrial worth $44,684,000 as of its most recent SEC filing.

A number of other hedge funds have also added to or reduced their stakes in the stock. Shellback Capital LP purchased a new stake in Gates Industrial during the 1st quarter valued at $16,906,000. Granahan Investment Management LLC raised its stake in Gates Industrial by 18.5% during the 1st quarter. Granahan Investment Management LLC now owns 842,880 shares of the company's stock valued at $15,517,000 after buying an additional 131,831 shares during the last quarter. EP Wealth Advisors LLC raised its stake in Gates Industrial by 14.2% during the 1st quarter. EP Wealth Advisors LLC now owns 16,524 shares of the company's stock valued at $304,000 after buying an additional 2,056 shares during the last quarter. Cubist Systematic Strategies LLC purchased a new stake in Gates Industrial during the 1st quarter valued at $939,000. Finally, Royal Bank of Canada raised its stake in Gates Industrial by 45.0% during the 1st quarter. Royal Bank of Canada now owns 626,865 shares of the company's stock valued at $11,541,000 after buying an additional 194,592 shares during the last quarter. 98.50% of the stock is currently owned by hedge funds and other institutional investors.

Gates Industrial Price Performance

Shares of Gates Industrial stock traded down $0.37 during trading on Friday, reaching $25.68. 1,648,904 shares of the stock traded hands, compared to its average volume of 2,255,455. The company has a market capitalization of $6.61 billion, a price-to-earnings ratio of 32.92 and a beta of 1.25. The business has a fifty day simple moving average of $24.81 and a two-hundred day simple moving average of $21.73. The company has a debt-to-equity ratio of 0.66, a current ratio of 3.46 and a quick ratio of 2.46. Gates Industrial Corporation PLC has a 52-week low of $14.70 and a 52-week high of $26.42.

Gates Industrial (NYSE:GTES - Get Free Report) last released its quarterly earnings results on Wednesday, July 30th. The company reported $0.39 EPS for the quarter, topping the consensus estimate of $0.38 by $0.01. The company had revenue of $883.70 million during the quarter, compared to analyst estimates of $873.34 million. Gates Industrial had a return on equity of 10.17% and a net margin of 5.98%.The firm's revenue was down .2% on a year-over-year basis. During the same quarter last year, the business posted $0.36 earnings per share. Gates Industrial has set its FY 2025 guidance at 1.440-1.520 EPS. Sell-side analysts expect that Gates Industrial Corporation PLC will post 1.36 EPS for the current year.

Wall Street Analysts Forecast Growth

GTES has been the subject of several analyst reports. KeyCorp restated an "overweight" rating and issued a $30.00 price objective (up from $26.00) on shares of Gates Industrial in a research note on Thursday, July 31st. Industrial Alliance Securities set a $35.00 price objective on Gates Industrial in a research note on Monday, August 25th. Zacks Research upgraded Gates Industrial from a "hold" rating to a "strong-buy" rating in a research note on Wednesday, August 20th. Wall Street Zen upgraded Gates Industrial from a "buy" rating to a "strong-buy" rating in a research note on Saturday, July 12th. Finally, The Goldman Sachs Group upped their price objective on Gates Industrial from $20.00 to $23.00 and gave the stock a "neutral" rating in a research note on Tuesday, May 27th. One investment analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $28.18.

About Gates Industrial

Gates Industrial Corporation PLC designs and manufactures power transmission equipment. Its products serves harsh and hazardous industries such as agriculture, construction, manufacturing and energy, to everyday consumer applications such as printers, power washers, automatic doors and vacuum cleaners and virtually every form of transportation.