Squarepoint Ops LLC Decreases Stake in Leonardo DRS, Inc. $DRS

Key Points

• Squarepoint Ops LLC cut its Leonardo DRS stake by 72.5% in the second quarter, selling 236,232 shares and retaining 89,533 shares valued at approximately $3.82 million.
• Leonardo DRS reported stronger-than-expected quarterly results, with EPS of $0.35 versus a $0.27 consensus estimate and revenue of $913 million, up 10.1% year over year.
• The stock opened at $36.07, well below its 50-day and 200-day moving averages, while analysts maintained a consensus “Moderate Buy” rating with an average price target of $53.60.

Squarepoint Ops LLC lowered its stake in shares of Leonardo DRS, Inc. (NASDAQ:DRS - Free Report) by 72.5% during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 89,533 shares of the company's stock after selling 236,232 shares during the period. Squarepoint Ops LLC's holdings in Leonardo DRS were worth $3,820,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in DRS. Erste Asset Management GmbH increased its position in shares of Leonardo DRS by 503.6% in the fourth quarter. Erste Asset Management GmbH now owns 142,750 shares of the company's stock valued at $4,872,000 after buying an additional 119,100 shares in the last quarter. Swedbank AB boosted its position in shares of Leonardo DRS by 1,026.0% in the 4th quarter. Swedbank AB now owns 96,205 shares of the company's stock worth $3,280,000 after buying an additional 87,661 shares in the last quarter. Stephens Investment Management Group LLC boosted its position in shares of Leonardo DRS by 24.8% in the 4th quarter. Stephens Investment Management Group LLC now owns 1,020,223 shares of the company's stock worth $34,779,000 after buying an additional 202,758 shares in the last quarter. BlackRock Inc. purchased a new stake in Leonardo DRS in the 2nd quarter valued at approximately $212,883,000. Finally, AXQ Capital LP lifted its stake in Leonardo DRS by 301.6% in the 4th quarter. AXQ Capital LP now owns 44,872 shares of the company's stock valued at $1,530,000 after buying an additional 33,699 shares in the last quarter. 18.76% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity at Leonardo DRS

In related news, EVP Jason Rinsky sold 3,864 shares of the company's stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $45.81, for a total value of $177,009.84. Following the completion of the sale, the executive vice president owned 23,581 shares in the company, valued at approximately $1,080,245.61. This represents a 14.08% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Michael Dippold sold 20,317 shares of the firm's stock in a transaction that occurred on Wednesday, September 2nd. The stock was sold at an average price of $37.18, for a total transaction of $755,386.06. Following the completion of the transaction, the chief financial officer directly owned 35,143 shares of the company's stock, valued at $1,306,616.74. This represents a 36.63% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 64,517 shares of company stock worth $2,773,382. 0.25% of the stock is owned by corporate insiders.

Leonardo DRS Trading Down 0.7%

Shares of NASDAQ DRS opened at $36.07 on Friday. The stock's 50 day moving average price is $42.75 and its two-hundred day moving average price is $44.01. Leonardo DRS, Inc. has a 52-week low of $32.43 and a 52-week high of $50.59. The stock has a market capitalization of $9.63 billion, a P/E ratio of 30.31, a PEG ratio of 2.20 and a beta of 0.35. The company has a quick ratio of 1.56, a current ratio of 1.92 and a debt-to-equity ratio of 0.05.

Leonardo DRS (NASDAQ:DRS - Get Free Report) last released its earnings results on Friday, July 31st. The company reported $0.35 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.27 by $0.08. Leonardo DRS had a return on equity of 12.97% and a net margin of 8.52%.The firm had revenue of $913.00 million for the quarter, compared to analyst estimates of $903.27 million. During the same period in the previous year, the company earned $0.23 earnings per share. Leonardo DRS's revenue was up 10.1% compared to the same quarter last year. On average, analysts anticipate that Leonardo DRS, Inc. will post 1.39 earnings per share for the current fiscal year.

Leonardo DRS Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, August 27th. Stockholders of record on Thursday, August 13th were issued a dividend of $0.09 per share. The ex-dividend date was Thursday, August 13th. This represents a $0.36 dividend on an annualized basis and a dividend yield of 1.0%. Leonardo DRS's payout ratio is currently 30.25%.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on DRS. Weiss Ratings raised Leonardo DRS from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Thursday, August 6th. JPMorgan Chase & Co. upped their price objective on shares of Leonardo DRS from $48.00 to $53.00 and gave the company a "neutral" rating in a research note on Friday, July 31st. One equities research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $53.60.

About Leonardo DRS

Leonardo DRS, Inc is a defense technology company that develops and manufactures advanced products and systems for the U.S. Department of Defense, other government agencies and allied military customers. The company supports land, sea and air platforms as well as command, control, communications, computers, intelligence, surveillance and reconnaissance missions.

Its offerings include electro-optical and infrared sensing systems, network computing and communications equipment, electronic warfare technologies, power and propulsion systems, thermal management solutions, force protection products and advanced battle-management systems.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.