Hsbc Holdings PLC Raises Stock Position in Graco Inc. $GGG

Key Points

• HSBC increased its Graco stake by 10.9% in the second quarter, adding 130,414 shares to own 1.32 million shares valued at approximately $100.2 million. Institutional investors and hedge funds collectively own 93.88% of Graco.
• Analysts maintain a generally cautious outlook, with Graco carrying a consensus “Hold” rating and an average price target of $95.00; individual ratings range from “Neutral” to “Outperform.”
• Graco exceeded quarterly EPS expectations, reporting $0.91 versus the $0.81 consensus, while revenue rose 3.3% year over year to $590.55 million. The company also paid a quarterly dividend of $0.295, equivalent to an annualized yield of about 1.5%.

Hsbc Holdings PLC raised its holdings in Graco Inc. (NYSE:GGG - Free Report) by 10.9% during the 2nd quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 1,324,668 shares of the industrial products company's stock after purchasing an additional 130,414 shares during the quarter. Hsbc Holdings PLC owned 0.82% of Graco worth $100,157,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Quantbot Technologies LP acquired a new position in Graco in the second quarter valued at approximately $16,632,000. Northwestern Mutual Wealth Management Co. grew its position in shares of Graco by 20,706.4% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 556,362 shares of the industrial products company's stock valued at $45,605,000 after purchasing an additional 553,688 shares during the period. Oxbow Advisors LLC purchased a new position in Graco in the 4th quarter valued at about $3,157,000. Renaissance Technologies LLC boosted its stake in shares of Graco by 87.7% in the first quarter. Renaissance Technologies LLC now owns 721,700 shares of the industrial products company's stock worth $61,092,000 after acquiring an additional 337,300 shares during the last quarter. Finally, Fjarde AP Fonden Fourth Swedish National Pension Fund boosted its stake in Graco by 37.5% during the 1st quarter. Fjarde AP Fonden Fourth Swedish National Pension Fund now owns 135,942 shares of the industrial products company's stock worth $11,507,000 after purchasing an additional 37,050 shares during the last quarter. 93.88% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on the company. DA Davidson restated a "neutral" rating and set a $85.00 target price on shares of Graco in a report on Monday, July 27th. Royal Bank Of Canada boosted their price target on shares of Graco from $92.00 to $96.00 and gave the company an "outperform" rating in a research report on Friday, July 24th. Weiss Ratings raised shares of Graco from a "hold (c-)" rating to a "hold (c)" rating in a report on Tuesday, August 4th. Wolfe Research cut shares of Graco from an "outperform" rating to a "peer perform" rating in a research report on Thursday, July 9th. Finally, Robert W. Baird set a $94.00 price objective on shares of Graco in a research report on Friday, July 24th. Two research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Hold" and a consensus price target of $95.00.

Graco Stock Performance

Shares of Graco stock opened at $77.93 on Monday. The stock has a 50 day moving average of $78.38 and a 200 day moving average of $80.96. The firm has a market capitalization of $12.62 billion, a price-to-earnings ratio of 24.51, a PEG ratio of 2.44 and a beta of 0.92. Graco Inc. has a fifty-two week low of $72.51 and a fifty-two week high of $95.69.

Graco (NYSE:GGG - Get Free Report) last posted its earnings results on Wednesday, July 22nd. The industrial products company reported $0.91 EPS for the quarter, beating analysts' consensus estimates of $0.81 by $0.10. The company had revenue of $590.55 million for the quarter, compared to the consensus estimate of $608.06 million. Graco had a return on equity of 19.54% and a net margin of 23.53%.The company's revenue for the quarter was up 3.3% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.75 earnings per share. Analysts forecast that Graco Inc. will post 3.19 EPS for the current year.

Graco Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, August 5th. Shareholders of record on Monday, July 20th were given a $0.295 dividend. The ex-dividend date of this dividend was Monday, July 20th. This represents a $1.18 dividend on an annualized basis and a yield of 1.5%. Graco's dividend payout ratio is presently 37.11%.

About Graco

Graco Inc is a leading manufacturer of fluid handling systems and components, headquartered in Minneapolis, Minnesota. Founded in 1926, the company has built a reputation for innovation in spray finishing, lubrication, and fluid management technologies. Graco's solutions are designed to address the needs of paint and coatings applicators, general industry, and process fluids in a variety of end markets.

The company's product portfolio includes airless and air-assisted spray equipment, pumps for oil and gas applications, industrial lubrication systems, and automated dispensing equipment.

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