United Services Automobile Association Invests $436,000 in ESAB Corporation $ESAB

Key Points

• United Services Automobile Association acquired a new position in ESAB Corporation worth approximately $436,000 by purchasing 3,764 shares in the first quarter.
• ESAB Corporation reported quarterly earnings of $1.36 EPS, exceeding analysts' estimates of $1.34, with a revenue of $715.59 million for the quarter.
• Research analysts have given ESAB an average rating of "Moderate Buy", with target prices ranging from $125.00 to $150.00.

United Services Automobile Association purchased a new stake in ESAB Corporation (NYSE:ESAB - Free Report) in the 1st quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor purchased 3,764 shares of the company's stock, valued at approximately $436,000.

A number of other hedge funds and other institutional investors have also made changes to their positions in ESAB. Caitong International Asset Management Co. Ltd bought a new position in ESAB during the 1st quarter worth about $33,000. First Horizon Advisors Inc. grew its holdings in shares of ESAB by 204.8% during the first quarter. First Horizon Advisors Inc. now owns 320 shares of the company's stock worth $37,000 after buying an additional 215 shares in the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. lifted its stake in ESAB by 706.7% in the 1st quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 363 shares of the company's stock valued at $42,000 after acquiring an additional 318 shares in the last quarter. Farther Finance Advisors LLC lifted its stake in ESAB by 1,128.9% in the 1st quarter. Farther Finance Advisors LLC now owns 467 shares of the company's stock valued at $56,000 after acquiring an additional 429 shares in the last quarter. Finally, UMB Bank n.a. boosted its position in ESAB by 323.8% during the 1st quarter. UMB Bank n.a. now owns 534 shares of the company's stock worth $62,000 after acquiring an additional 408 shares during the last quarter. 91.13% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of analysts have recently commented on ESAB shares. Evercore ISI boosted their price objective on shares of ESAB from $120.00 to $125.00 and gave the stock an "in-line" rating in a research report on Monday, May 19th. Oppenheimer dropped their price objective on ESAB from $144.00 to $142.00 and set an "outperform" rating on the stock in a research note on Thursday, August 7th. Stifel Nicolaus raised ESAB from a "hold" rating to a "buy" rating and set a $141.00 price objective for the company in a report on Thursday, August 7th. JPMorgan Chase & Co. lowered their target price on shares of ESAB from $137.00 to $125.00 and set an "overweight" rating on the stock in a report on Thursday, August 7th. Finally, Roth Capital initiated coverage on shares of ESAB in a research note on Friday, September 5th. They issued a "buy" rating and a $150.00 price target for the company. Seven analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $141.44.

Insiders Place Their Bets

In related news, Director Rhonda L. Jordan sold 4,067 shares of the company's stock in a transaction dated Wednesday, August 13th. The shares were sold at an average price of $113.05, for a total value of $459,774.35. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider Olivier Biebuyck sold 1,440 shares of the firm's stock in a transaction dated Thursday, July 31st. The stock was sold at an average price of $133.49, for a total transaction of $192,225.60. Following the transaction, the insider directly owned 14,989 shares in the company, valued at approximately $2,000,881.61. This represents a 8.76% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 7.30% of the company's stock.

ESAB Stock Performance

ESAB stock traded down $2.62 during midday trading on Friday, reaching $110.46. 457,160 shares of the company were exchanged, compared to its average volume of 393,307. ESAB Corporation has a one year low of $97.88 and a one year high of $135.97. The firm has a market capitalization of $6.70 billion, a price-to-earnings ratio of 26.43, a price-to-earnings-growth ratio of 2.49 and a beta of 1.26. The business has a 50-day moving average price of $120.72 and a two-hundred day moving average price of $120.73. The company has a debt-to-equity ratio of 0.50, a current ratio of 1.95 and a quick ratio of 1.26.

ESAB (NYSE:ESAB - Get Free Report) last posted its earnings results on Wednesday, August 6th. The company reported $1.36 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.34 by $0.02. ESAB had a net margin of 9.36% and a return on equity of 16.32%. The company had revenue of $715.59 million during the quarter, compared to analysts' expectations of $670.80 million. During the same quarter last year, the company posted $1.32 EPS. ESAB's quarterly revenue was up 1.3% compared to the same quarter last year. Equities research analysts forecast that ESAB Corporation will post 5.16 EPS for the current year.

ESAB Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, October 17th. Investors of record on Friday, October 3rd will be paid a $0.10 dividend. The ex-dividend date is Friday, October 3rd. This represents a $0.40 annualized dividend and a yield of 0.4%. ESAB's payout ratio is 9.57%.

ESAB Company Profile

ESAB Corporation engages in the formulation, development, manufacture, and supply of consumable products and equipment for use in cutting, joining, automated welding, and gas control equipment. Its comprehensive range of welding consumables includes electrodes, cored and solid wires, and fluxes using a range of specialty and other materials; and cutting consumables comprising electrodes, nozzles, shields, and tips.