Federated Hermes Inc. Increases Stock Holdings in MSC Industrial Direct Company, Inc. (NYSE:MSM)

Key Points

• Federated Hermes Inc. has increased its stake in MSC Industrial Direct by 125% during the first quarter, now owning 86,194 shares valued at approximately $6.7 million.
• A notable increase in institutional ownership has occurred, with 79.26% of the stock now owned by hedge funds and major investors.
• MSC Industrial Direct reported quarterly earnings of $1.08 per share which surpassed analyst expectations, although revenue declined by 0.8% year-over-year.

Federated Hermes Inc. grew its position in MSC Industrial Direct Company, Inc. (NYSE:MSM - Free Report) by 125.0% in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 86,194 shares of the industrial products company's stock after purchasing an additional 47,883 shares during the period. Federated Hermes Inc. owned approximately 0.15% of MSC Industrial Direct worth $6,695,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also recently bought and sold shares of the company. First Trust Advisors LP lifted its position in shares of MSC Industrial Direct by 29.2% in the 4th quarter. First Trust Advisors LP now owns 1,987,455 shares of the industrial products company's stock valued at $148,443,000 after acquiring an additional 448,708 shares in the last quarter. Invesco Ltd. lifted its stake in shares of MSC Industrial Direct by 127.5% in the 4th quarter. Invesco Ltd. now owns 1,206,811 shares of the industrial products company's stock valued at $90,137,000 after purchasing an additional 676,238 shares during the last quarter. Dimensional Fund Advisors LP lifted its stake in shares of MSC Industrial Direct by 10.5% in the 4th quarter. Dimensional Fund Advisors LP now owns 1,079,474 shares of the industrial products company's stock valued at $80,621,000 after purchasing an additional 102,660 shares during the last quarter. Geode Capital Management LLC raised its holdings in MSC Industrial Direct by 2.0% in the 4th quarter. Geode Capital Management LLC now owns 1,077,450 shares of the industrial products company's stock worth $80,493,000 after acquiring an additional 20,974 shares during the period. Finally, Victory Capital Management Inc. raised its holdings in MSC Industrial Direct by 445.4% in the 1st quarter. Victory Capital Management Inc. now owns 779,800 shares of the industrial products company's stock worth $60,567,000 after acquiring an additional 636,827 shares during the period. Institutional investors own 79.26% of the company's stock.

Insider Buying and Selling at MSC Industrial Direct

In related news, SVP Kimberly Shacklett sold 2,130 shares of the business's stock in a transaction dated Thursday, July 10th. The shares were sold at an average price of $92.00, for a total value of $195,960.00. Following the transaction, the senior vice president directly owned 14,657 shares of the company's stock, valued at approximately $1,348,444. The trade was a 12.69% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Company insiders own 18.30% of the company's stock.

Analyst Ratings Changes

Several analysts have issued reports on MSM shares. Robert W. Baird raised their price target on shares of MSC Industrial Direct from $84.00 to $95.00 and gave the stock a "neutral" rating in a research report on Wednesday, July 2nd. Industrial Alliance Securities set a $89.00 price target on shares of MSC Industrial Direct in a research note on Tuesday, May 27th. JPMorgan Chase & Co. upgraded shares of MSC Industrial Direct from a "neutral" rating to an "overweight" rating and boosted their price objective for the company from $73.00 to $89.00 in a report on Tuesday, May 27th. Stephens upped their price target on shares of MSC Industrial Direct from $85.00 to $90.00 and gave the company an "equal weight" rating in a report on Wednesday, July 2nd. Finally, Loop Capital raised their target price on shares of MSC Industrial Direct from $74.00 to $84.00 and gave the company a "hold" rating in a research report on Wednesday, July 2nd. Three analysts have rated the stock with a hold rating, one has assigned a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $90.33.

MSC Industrial Direct Trading Down 0.9%

MSC Industrial Direct stock traded down $0.80 during mid-day trading on Wednesday, hitting $85.31. 81,717 shares of the stock were exchanged, compared to its average volume of 613,442. The company has a quick ratio of 0.91, a current ratio of 1.92 and a debt-to-equity ratio of 0.21. MSC Industrial Direct Company, Inc. has a 12 month low of $68.10 and a 12 month high of $92.68. The firm's fifty day simple moving average is $85.24 and its two-hundred day simple moving average is $80.96. The stock has a market capitalization of $4.75 billion, a price-to-earnings ratio of 24.13 and a beta of 0.92.

MSC Industrial Direct (NYSE:MSM - Get Free Report) last announced its earnings results on Tuesday, July 1st. The industrial products company reported $1.08 earnings per share for the quarter, topping analysts' consensus estimates of $1.03 by $0.05. The business had revenue of $971.15 million during the quarter, compared to the consensus estimate of $969.72 million. MSC Industrial Direct had a net margin of 5.30% and a return on equity of 14.99%. MSC Industrial Direct's quarterly revenue was down .8% on a year-over-year basis. During the same quarter last year, the firm earned $1.33 earnings per share. Analysts forecast that MSC Industrial Direct Company, Inc. will post 3.57 EPS for the current year.

MSC Industrial Direct Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, July 23rd. Investors of record on Wednesday, July 9th were issued a $0.85 dividend. This represents a $3.40 dividend on an annualized basis and a dividend yield of 4.0%. The ex-dividend date of this dividend was Wednesday, July 9th. MSC Industrial Direct's payout ratio is 96.05%.

MSC Industrial Direct Profile

MSC Industrial Direct Co, Inc, together with its subsidiaries, distributes metalworking and maintenance, repair, and operations (MRO) products and services in the United States, Canada, Mexico, the United Kingdom, and internationally. The company's MRO products include cutting tools, measuring instruments, tooling components, metalworking products, fasteners, flat stock products, raw materials, abrasives, machinery hand and power tools, safety and janitorial supplies, plumbing supplies, materials handling products, power transmission components, and electrical supplies.