Greif (NYSE:GEF) Sets New 52-Week High - What's Next?

Key Points

• Greif shares hit a new 52-week high during Friday trading, reaching as high as $77.14 before closing near $76.14.
• Analyst sentiment remains cautious, with most ratings around Hold/Reduce and an average price target of about $74.25; Bank of America is the most bearish with an Underperform rating.
• The company recently raised its quarterly dividend to $0.62 per share, though its payout ratio is high at 95.02%, and its latest earnings missed analyst estimates on both EPS and revenue.

Greif, Inc. (NYSE:GEF - Get Free Report)'s share price reached a new 52-week high during mid-day trading on Friday . The stock traded as high as $77.14 and last traded at $76.14, with a volume of 9903 shares traded. The stock had previously closed at $76.10.

Analysts Set New Price Targets

A number of equities analysts have recently commented on the stock. Zacks Research raised shares of Greif from a "strong sell" rating to a "hold" rating in a research note on Thursday, May 21st. Truist Financial decreased their price target on shares of Greif from $79.00 to $78.00 and set a "hold" rating for the company in a research report on Monday, May 4th. Weiss Ratings upgraded Greif from a "hold (c-)" rating to a "hold (c)" rating in a report on Wednesday, June 17th. Wells Fargo & Company raised their price objective on Greif from $70.00 to $74.00 and gave the company an "equal weight" rating in a research report on Wednesday. Finally, Bank of America cut Greif from a "neutral" rating to an "underperform" rating and set a $70.00 price objective on the stock. in a research note on Tuesday. Four equities research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Reduce" and an average target price of $74.25.

Greif Price Performance

The company has a market cap of $3.52 billion, a PE ratio of 29.22, a price-to-earnings-growth ratio of 0.79 and a beta of 0.76. The business's 50 day moving average price is $68.31 and its 200-day moving average price is $69.38. The company has a quick ratio of 1.00, a current ratio of 1.28 and a debt-to-equity ratio of 0.24.

Greif (NYSE:GEF - Get Free Report) last posted its earnings results on Wednesday, April 29th. The industrial products company reported $1.10 EPS for the quarter, missing analysts' consensus estimates of $1.16 by ($0.06). The firm had revenue of $1.07 billion for the quarter, compared to analyst estimates of $1.10 billion. Greif had a return on equity of 7.50% and a net margin of 7.27%.The company's revenue for the quarter was down .5% on a year-over-year basis. During the same period in the previous year, the firm posted $1.19 earnings per share. As a group, analysts forecast that Greif, Inc. will post 3.82 earnings per share for the current year.

Greif Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, July 1st. Shareholders of record on Wednesday, June 17th were issued a $0.62 dividend. The ex-dividend date was Wednesday, June 17th. This represents a $2.48 dividend on an annualized basis and a yield of 3.3%. This is an increase from Greif's previous quarterly dividend of $0.56. Greif's dividend payout ratio (DPR) is presently 95.02%.

Insiders Place Their Bets

In other Greif news, SVP Timothy Bergwall sold 2,000 shares of the company's stock in a transaction dated Friday, July 10th. The shares were sold at an average price of $73.14, for a total value of $146,280.00. Following the completion of the transaction, the senior vice president directly owned 63,832 shares of the company's stock, valued at $4,668,672.48. This represents a 3.04% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 6,000 shares of company stock valued at $412,120. Corporate insiders own 7.70% of the company's stock.

Institutional Trading of Greif

A number of hedge funds and other institutional investors have recently modified their holdings of GEF. Thrivent Financial for Lutherans boosted its holdings in Greif by 0.4% in the fourth quarter. Thrivent Financial for Lutherans now owns 899,137 shares of the industrial products company's stock valued at $60,872,000 after purchasing an additional 3,793 shares during the last quarter. Deprince Race & Zollo Inc. increased its holdings in Greif by 10.5% during the 4th quarter. Deprince Race & Zollo Inc. now owns 837,742 shares of the industrial products company's stock worth $56,715,000 after purchasing an additional 79,813 shares during the last quarter. Charles Schwab Investment Management Inc. increased its holdings in Greif by 0.3% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 567,333 shares of the industrial products company's stock worth $38,408,000 after purchasing an additional 1,455 shares during the last quarter. Ameriprise Financial Inc. raised its position in shares of Greif by 75.5% in the 3rd quarter. Ameriprise Financial Inc. now owns 524,603 shares of the industrial products company's stock valued at $31,352,000 after purchasing an additional 225,659 shares in the last quarter. Finally, Invesco Ltd. raised its position in shares of Greif by 119.1% in the 4th quarter. Invesco Ltd. now owns 325,951 shares of the industrial products company's stock valued at $22,067,000 after purchasing an additional 177,203 shares in the last quarter. 45.74% of the stock is owned by hedge funds and other institutional investors.

Greif Company Profile

Greif, Inc is a global leader in industrial packaging products and services, with a history dating back to its founding in 1877. Headquartered in Cleveland, Ohio, the company has evolved from a regional barrel and drum manufacturer into a diversified packaging provider serving a wide range of end markets. Greif's longstanding heritage in container solutions has positioned it as a trusted partner for customers seeking reliable, high-quality packaging options.

The company's core business revolves around the design, manufacture and sale of industrial packaging products, including steel, plastic and fiber drums; intermediate bulk containers (IBCs); safety closures; rigid, flexible and reconditioned packaging; containerboard and protective packaging.

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