Third Point LLC Makes New Investment in Casey's General Stores, Inc. $CASY

Key Points

• Third Point LLC acquired a significant stake of 300,000 shares in Casey's General Stores, valued at approximately $130.21 million, making it the company's 22nd largest position in their portfolio.
• Recent brokerage reports indicate a positive outlook for Casey's General Stores, with price targets raised by multiple firms, including KeyCorp and Wells Fargo, reflecting a consensus average price target of $467.33.
• Casey's General Stores reported strong quarterly earnings with an EPS of $2.63, exceeding estimates, and a revenue of $3.99 billion, showcasing a year-over-year revenue growth of 10.9%.

Third Point LLC purchased a new position in shares of Casey's General Stores, Inc. (NASDAQ:CASY - Free Report) during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund purchased 300,000 shares of the company's stock, valued at approximately $130,212,000. Casey's General Stores makes up approximately 2.0% of Third Point LLC's portfolio, making the stock its 22nd biggest position. Third Point LLC owned 0.81% of Casey's General Stores at the end of the most recent quarter.

Several other hedge funds have also recently bought and sold shares of the company. Wellington Management Group LLP grew its holdings in Casey's General Stores by 190.6% in the first quarter. Wellington Management Group LLP now owns 1,244,311 shares of the company's stock valued at $540,081,000 after purchasing an additional 816,110 shares during the last quarter. JPMorgan Chase & Co. grew its holdings in Casey's General Stores by 42.0% in the first quarter. JPMorgan Chase & Co. now owns 1,036,426 shares of the company's stock valued at $449,851,000 after purchasing an additional 306,628 shares during the last quarter. Raymond James Financial Inc. grew its holdings in Casey's General Stores by 8.9% in the first quarter. Raymond James Financial Inc. now owns 649,815 shares of the company's stock valued at $282,045,000 after purchasing an additional 52,939 shares during the last quarter. GAMMA Investing LLC grew its holdings in Casey's General Stores by 54,448.8% in the first quarter. GAMMA Investing LLC now owns 543,852 shares of the company's stock valued at $236,054,000 after purchasing an additional 542,855 shares during the last quarter. Finally, Bank of New York Mellon Corp grew its holdings in Casey's General Stores by 51.5% in the first quarter. Bank of New York Mellon Corp now owns 515,603 shares of the company's stock valued at $223,792,000 after purchasing an additional 175,372 shares during the last quarter. 85.63% of the stock is owned by hedge funds and other institutional investors.

Casey's General Stores Trading Down 0.3%

NASDAQ CASY traded down $1.40 during trading hours on Friday, hitting $552.60. 135,070 shares of the company's stock were exchanged, compared to its average volume of 355,222. The business's 50 day moving average is $515.51 and its 200-day moving average is $471.14. Casey's General Stores, Inc. has a 12-month low of $362.42 and a 12-month high of $558.66. The firm has a market capitalization of $20.55 billion, a P/E ratio of 35.60 and a beta of 0.66. The company has a debt-to-equity ratio of 0.65, a quick ratio of 0.48 and a current ratio of 1.03.

Casey's General Stores (NASDAQ:CASY - Get Free Report) last released its earnings results on Monday, September 8th. The company reported $5.77 earnings per share for the quarter, topping the consensus estimate of $5.02 by $0.75. Casey's General Stores had a return on equity of 16.73% and a net margin of 3.54%.The firm had revenue of $4.57 billion for the quarter, compared to the consensus estimate of $4.47 billion. During the same period in the prior year, the business posted $4.83 earnings per share. The firm's revenue for the quarter was up 11.5% compared to the same quarter last year. As a group, analysts anticipate that Casey's General Stores, Inc. will post 13.94 EPS for the current fiscal year.

Casey's General Stores Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, November 14th. Stockholders of record on Saturday, November 1st will be issued a $0.57 dividend. This represents a $2.28 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date is Friday, October 31st. Casey's General Stores's dividend payout ratio (DPR) is 14.63%.

Insider Buying and Selling

In other news, insider Katrina S. Lindsey sold 2,000 shares of the firm's stock in a transaction dated Tuesday, June 17th. The stock was sold at an average price of $506.07, for a total value of $1,012,140.00. Following the transaction, the insider directly owned 4,636 shares in the company, valued at $2,346,140.52. This trade represents a 30.14% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Chad Michael Frazell sold 4,808 shares of the firm's stock in a transaction dated Tuesday, June 17th. The stock was sold at an average price of $503.97, for a total value of $2,423,087.76. Following the completion of the transaction, the insider owned 11,480 shares in the company, valued at approximately $5,785,575.60. This trade represents a 29.52% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 42,646 shares of company stock worth $21,634,454. Corporate insiders own 0.54% of the company's stock.

Analysts Set New Price Targets

Several analysts have weighed in on the company. Stephens reissued an "overweight" rating and issued a $530.00 target price on shares of Casey's General Stores in a report on Tuesday. The Goldman Sachs Group upped their target price on Casey's General Stores from $450.00 to $490.00 and gave the company a "neutral" rating in a report on Wednesday. Jefferies Financial Group increased their price objective on Casey's General Stores from $575.00 to $600.00 and gave the company a "buy" rating in a research note on Tuesday. Royal Bank Of Canada increased their price objective on Casey's General Stores from $468.00 to $542.00 and gave the company a "sector perform" rating in a research note on Wednesday, July 9th. Finally, KeyCorp increased their price objective on Casey's General Stores from $550.00 to $575.00 and gave the company an "overweight" rating in a research note on Friday, July 25th. Eight analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $505.25.

Casey's General Stores Company Profile

Casey's General Stores, Inc engages in the provision of management and operation of convenience stores and gasoline stations. It provides self-service gasoline, a wide selection of grocery items, and an array of freshly prepared food items. The firm offers food, beverages, tobacco products, health and beauty aids, automotive products, and other non-food items.