TCW Group Inc. Lowers Stock Position in Heico Corporation (NYSE:HEI)

Key Points

• TCW Group Inc. has decreased its stake in Heico Corporation by 15.9%, owning 140,686 shares valued at approximately $37.59 million after selling 26,584 shares during Q1.
• Heico Corporation recently declared an increased semi-annual dividend of $0.12 per share compared to the previous $0.11, illustrating the company's ongoing commitment to returning value to shareholders.
• Analysts are optimistic about Heico, with multiple firms raising their price targets, including Truist Financial, which lifted its target from $323.00 to $352.00, reflecting a consensus rating of "Moderate Buy" among researchers.

TCW Group Inc. lowered its holdings in Heico Corporation (NYSE:HEI - Free Report) by 15.9% during the first quarter, according to the company in its most recent filing with the SEC. The fund owned 140,686 shares of the aerospace company's stock after selling 26,584 shares during the quarter. TCW Group Inc. owned about 0.10% of Heico worth $37,590,000 at the end of the most recent reporting period.

A number of other hedge funds have also made changes to their positions in the business. EntryPoint Capital LLC purchased a new position in shares of Heico during the fourth quarter worth about $220,000. Orion Portfolio Solutions LLC grew its holdings in shares of Heico by 8.1% during the fourth quarter. Orion Portfolio Solutions LLC now owns 1,020 shares of the aerospace company's stock worth $242,000 after purchasing an additional 76 shares during the last quarter. AIA Group Ltd grew its holdings in shares of Heico by 26.5% during the fourth quarter. AIA Group Ltd now owns 15,662 shares of the aerospace company's stock worth $3,723,000 after purchasing an additional 3,281 shares during the last quarter. Groupama Asset Managment grew its holdings in shares of Heico by 10.1% during the fourth quarter. Groupama Asset Managment now owns 14,367 shares of the aerospace company's stock worth $3,444,000 after purchasing an additional 1,321 shares during the last quarter. Finally, Cinctive Capital Management LP purchased a new position in shares of Heico during the fourth quarter worth about $404,000. Hedge funds and other institutional investors own 27.12% of the company's stock.

Insiders Place Their Bets

In other Heico news, Chairman Laurans A. Mendelson sold 56,300 shares of the business's stock in a transaction on Tuesday, July 15th. The stock was sold at an average price of $319.45, for a total value of $17,985,035.00. Following the completion of the transaction, the chairman directly owned 1,253,127 shares in the company, valued at approximately $400,311,420.15. The trade was a 4.30% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Frank J. Schwitter sold 356 shares of the business's stock in a transaction on Tuesday, June 3rd. The shares were sold at an average price of $299.10, for a total value of $106,479.60. Following the completion of the transaction, the director owned 1,500 shares of the company's stock, valued at $448,650. This trade represents a 19.18% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 91,656 shares of company stock valued at $28,534,115. Company insiders own 9.55% of the company's stock.

Analyst Ratings Changes

HEI has been the topic of a number of research reports. Bank of America raised their price target on Heico from $320.00 to $355.00 and gave the stock a "buy" rating in a report on Thursday, July 3rd. Truist Financial raised their price target on Heico from $323.00 to $352.00 and gave the stock a "buy" rating in a report on Friday, July 11th. Wells Fargo & Company raised their price target on Heico from $244.00 to $278.00 and gave the stock an "equal weight" rating in a report on Friday, May 30th. Morgan Stanley raised their price target on Heico from $305.00 to $330.00 and gave the stock an "equal weight" rating in a report on Thursday, July 17th. Finally, UBS Group raised their price target on Heico from $264.00 to $306.00 and gave the stock a "neutral" rating in a report on Thursday, May 29th. Six investment analysts have rated the stock with a hold rating and eight have given a buy rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $301.45.

Heico Price Performance

Shares of HEI stock traded up $1.18 during midday trading on Thursday, reaching $326.42. 149,248 shares of the company traded hands, compared to its average volume of 517,410. The company has a debt-to-equity ratio of 0.56, a current ratio of 3.43 and a quick ratio of 1.56. The firm's 50 day simple moving average is $310.48 and its two-hundred day simple moving average is $270.39. Heico Corporation has a 1-year low of $216.68 and a 1-year high of $328.64. The firm has a market cap of $45.40 billion, a PE ratio of 76.24, a price-to-earnings-growth ratio of 4.03 and a beta of 1.08.

Heico (NYSE:HEI - Get Free Report) last issued its quarterly earnings data on Tuesday, May 27th. The aerospace company reported $1.12 earnings per share for the quarter, topping analysts' consensus estimates of $1.03 by $0.09. Heico had a net margin of 14.54% and a return on equity of 15.88%. The business had revenue of $1.10 billion during the quarter, compared to analysts' expectations of $1.06 billion. During the same period last year, the company posted $0.88 EPS. The company's revenue was up 14.9% on a year-over-year basis. On average, equities research analysts expect that Heico Corporation will post 4.2 EPS for the current fiscal year.

Heico Increases Dividend

The firm also recently disclosed a semi-annual dividend, which was paid on Tuesday, July 15th. Stockholders of record on Tuesday, July 1st were paid a dividend of $0.12 per share. This represents a dividend yield of 0.1%. This is a boost from Heico's previous semi-annual dividend of $0.11. The ex-dividend date of this dividend was Tuesday, July 1st. Heico's dividend payout ratio (DPR) is 5.61%.

Heico Company Profile

HEICO Corporation, through its subsidiaries, designs, manufactures, and sells aerospace, defense, and electronic related products and services in the United States and internationally. Its Flight Support Group segment provides jet engine and aircraft component replacement parts; thermal insulation blankets and parts; renewable/reusable insulation systems; and specialty components.