Gates Industrial Corporation PLC (NYSE:GTES) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• Gates Industrial Corporation has received a consensus recommendation of "Moderate Buy" from nine analysts, with an average target price of $26.67.
• The company's recent earnings report showed an EPS of $0.39, surpassing estimates and reflecting a slight revenue drop compared to the previous year.
• Institutional investors hold 98.50% of Gates Industrial's stock, indicating significant institutional support and investment in the company.

Gates Industrial Corporation PLC (NYSE:GTES - Get Free Report) has been assigned an average recommendation of "Moderate Buy" from the nine analysts that are covering the firm, MarketBeat.com reports. Three equities research analysts have rated the stock with a hold recommendation and six have issued a buy recommendation on the company. The average 12 month price target among brokerages that have updated their coverage on the stock in the last year is $26.6667.

A number of equities research analysts have recently commented on GTES shares. Morgan Stanley lowered their price target on shares of Gates Industrial from $24.00 to $22.00 and set an "equal weight" rating for the company in a report on Thursday, May 1st. Barclays reaffirmed an "overweight" rating and issued a $28.00 target price (up from $26.00) on shares of Gates Industrial in a research note on Monday, August 4th. Royal Bank Of Canada boosted their price target on Gates Industrial from $28.00 to $29.00 and gave the company an "outperform" rating in a report on Thursday, July 31st. The Goldman Sachs Group raised their price objective on Gates Industrial from $20.00 to $23.00 and gave the stock a "neutral" rating in a report on Tuesday, May 27th. Finally, Wall Street Zen upgraded Gates Industrial from a "buy" rating to a "strong-buy" rating in a research note on Saturday, July 12th.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the company. EP Wealth Advisors LLC lifted its position in Gates Industrial by 3.6% during the fourth quarter. EP Wealth Advisors LLC now owns 14,468 shares of the company's stock valued at $298,000 after buying an additional 504 shares in the last quarter. MetLife Investment Management LLC lifted its holdings in shares of Gates Industrial by 15.8% during the 4th quarter. MetLife Investment Management LLC now owns 4,157 shares of the company's stock valued at $86,000 after acquiring an additional 567 shares in the last quarter. Allworth Financial LP lifted its holdings in shares of Gates Industrial by 43.0% during the 2nd quarter. Allworth Financial LP now owns 2,096 shares of the company's stock valued at $48,000 after acquiring an additional 630 shares in the last quarter. Personal CFO Solutions LLC boosted its position in Gates Industrial by 6.4% during the 1st quarter. Personal CFO Solutions LLC now owns 11,175 shares of the company's stock worth $206,000 after purchasing an additional 670 shares during the period. Finally, Utah Retirement Systems increased its holdings in Gates Industrial by 6.4% in the 4th quarter. Utah Retirement Systems now owns 11,700 shares of the company's stock valued at $241,000 after purchasing an additional 700 shares in the last quarter. 98.50% of the stock is owned by hedge funds and other institutional investors.

Gates Industrial Price Performance

Gates Industrial stock traded down $0.26 during mid-day trading on Thursday, hitting $23.62. 1,529,360 shares of the company were exchanged, compared to its average volume of 2,057,343. Gates Industrial has a 12-month low of $14.70 and a 12-month high of $25.66. The company has a market capitalization of $6.08 billion, a P/E ratio of 30.28 and a beta of 1.24. The business's 50 day simple moving average is $23.44 and its two-hundred day simple moving average is $21.16. The company has a debt-to-equity ratio of 0.66, a current ratio of 3.46 and a quick ratio of 2.46.

Gates Industrial (NYSE:GTES - Get Free Report) last posted its quarterly earnings data on Wednesday, July 30th. The company reported $0.39 EPS for the quarter, topping analysts' consensus estimates of $0.38 by $0.01. Gates Industrial had a return on equity of 10.17% and a net margin of 5.98%. The firm had revenue of $883.70 million during the quarter, compared to analysts' expectations of $873.34 million. During the same quarter last year, the business posted $0.36 EPS. The firm's quarterly revenue was down .2% compared to the same quarter last year. Analysts forecast that Gates Industrial will post 1.36 earnings per share for the current fiscal year.

About Gates Industrial

Gates Industrial Corporation PLC designs and manufactures power transmission equipment. Its products serves harsh and hazardous industries such as agriculture, construction, manufacturing and energy, to everyday consumer applications such as printers, power washers, automatic doors and vacuum cleaners and virtually every form of transportation.