Global Partners (NYSE:GLP) Sees Strong Trading Volume - Time to Buy?

Key Points

• Shares experienced above-average activity Monday with 51,726 shares traded (up 7%) and last priced at $45.40, reflecting a roughly 2.3% intraday gain versus the prior close.
• Analyst coverage has seen upgrades but remains mixed: several firms moved ratings up while the consensus stays at an average "Hold" with an average price target of $46.00.
• The company missed quarterly estimates (EPS $0.54 vs. $0.60; revenue $4.65B vs. $6.94B), yet it pays a generous dividend (annualized $3.04, a 6.6% yield) despite a high payout ratio of 144%, which may raise sustainability concerns.

Global Partners LP (NYSE:GLP - Get Free Report) shares saw strong trading volume on Monday . 51,726 shares changed hands during mid-day trading, an increase of 7% from the previous session's volume of 48,141 shares.The stock last traded at $45.40 and had previously closed at $45.00.

Analyst Ratings Changes

A number of equities research analysts recently issued reports on the company. Zacks Research raised Global Partners from a "strong sell" rating to a "hold" rating in a research report on Tuesday, January 6th. Wall Street Zen raised Global Partners from a "hold" rating to a "buy" rating in a report on Saturday, March 7th. Stifel Nicolaus increased their target price on Global Partners from $45.00 to $46.00 and gave the stock a "hold" rating in a report on Monday, March 2nd. Finally, Weiss Ratings restated a "hold (c)" rating on shares of Global Partners in a research report on Friday, March 27th. Three equities research analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $46.00.

Global Partners Trading Up 2.3%

The business's 50 day simple moving average is $47.02 and its two-hundred day simple moving average is $45.35. The stock has a market cap of $1.57 billion, a P/E ratio of 21.82 and a beta of 1.04. The company has a quick ratio of 0.63, a current ratio of 1.14 and a debt-to-equity ratio of 2.74.

Global Partners (NYSE:GLP - Get Free Report) last announced its quarterly earnings results on Friday, February 27th. The energy company reported $0.54 EPS for the quarter, missing analysts' consensus estimates of $0.60 by ($0.06). The firm had revenue of $4.65 billion during the quarter, compared to the consensus estimate of $6.94 billion. Global Partners had a net margin of 0.53% and a return on equity of 15.99%. As a group, analysts expect that Global Partners LP will post 2.13 EPS for the current year.

Global Partners Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, February 13th. Stockholders of record on Monday, February 9th were paid a dividend of $0.76 per share. The ex-dividend date of this dividend was Monday, February 9th. This is a positive change from Global Partners's previous quarterly dividend of $0.76. This represents a $3.04 dividend on an annualized basis and a dividend yield of 6.6%. Global Partners's payout ratio is 144.08%.

Insider Activity

In related news, COO Mark Romaine sold 7,500 shares of Global Partners stock in a transaction that occurred on Tuesday, March 17th. The shares were sold at an average price of $47.39, for a total transaction of $355,425.00. Following the sale, the chief operating officer directly owned 151,609 shares in the company, valued at $7,184,750.51. This trade represents a 4.71% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Insiders sold a total of 24,063 shares of company stock valued at $1,146,471 over the last three months. Corporate insiders own 41.50% of the company's stock.

Hedge Funds Weigh In On Global Partners

A number of hedge funds have recently modified their holdings of GLP. McMillan Office Inc. acquired a new stake in Global Partners in the fourth quarter valued at $29,000. Garton & Associates Financial Advisors LLC bought a new stake in shares of Global Partners during the 4th quarter valued at about $29,000. International Assets Investment Management LLC acquired a new stake in Global Partners during the fourth quarter worth approximately $41,000. PNC Financial Services Group Inc. acquired a new stake in Global Partners during the third quarter worth approximately $48,000. Finally, Smartleaf Asset Management LLC bought a new stake in Global Partners in the fourth quarter worth approximately $85,000. Institutional investors and hedge funds own 38.12% of the company's stock.

About Global Partners

Global Partners LP is a publicly traded master limited partnership engaged in the wholesale distribution and retail marketing of petroleum products. The company sources refined petroleum products from major refineries and suppliers and transports them through an integrated network of pipelines, terminals and storage facilities. Global Partners focuses on delivering fuel and related services to commercial, industrial and residential customers, positioning itself as a key midstream and downstream energy operator in its core markets.

Through its extensive terminal network in the northeastern United States and eastern Canada, Global Partners supplies gasoline, diesel, home heating oil, kerosene, propane and biofuels to a broad customer base.

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