Royal Bank Of Canada Issues Positive Forecast for Heico (NYSE:HEI) Stock Price

Key Points

• Royal Bank of Canada has raised Heico's price target from $315.00 to $335.00, suggesting an 8.91% upside from its current price with an "outperform" rating.
• The aerospace company reported $1.12 earnings per share for the most recent quarter, surpassing estimates of $1.03 and marking a 14.9% increase in revenue year-over-year.
• Institutional investors own 27.12% of Heico stock, with several firms, including Ridgewood Investments, making significant increases in their holdings during the first quarter.

Heico (NYSE:HEI - Get Free Report) had its price objective upped by research analysts at Royal Bank Of Canada from $315.00 to $335.00 in a note issued to investors on Friday, MarketBeat reports. The brokerage presently has an "outperform" rating on the aerospace company's stock. Royal Bank Of Canada's price objective would suggest a potential upside of 4.68% from the stock's current price.

HEI has been the subject of several other research reports. Wall Street Zen cut shares of Heico from a "buy" rating to a "hold" rating in a research note on Friday, July 18th. Zacks Research upgraded shares of Heico to a "hold" rating in a report on Monday, August 11th. Stifel Nicolaus set a $352.00 target price on shares of Heico and gave the company a "buy" rating in a research report on Tuesday, June 24th. Jefferies Financial Group reissued a "buy" rating on shares of Heico in a research note on Monday, August 18th. Finally, Wells Fargo & Company raised their target price on shares of Heico from $244.00 to $278.00 and gave the company an "equal weight" rating in a research note on Friday, May 30th. Eight research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $336.00.

Heico Price Performance

Shares of NYSE:HEI traded down $12.15 during trading on Friday, hitting $320.01. 309,118 shares of the company's stock were exchanged, compared to its average volume of 515,491. The company has a debt-to-equity ratio of 0.56, a current ratio of 3.43 and a quick ratio of 1.56. Heico has a 52-week low of $216.68 and a 52-week high of $338.92. The business's 50-day simple moving average is $318.17 and its 200 day simple moving average is $281.14. The company has a market cap of $44.51 billion, a price-to-earnings ratio of 69.89, a PEG ratio of 3.80 and a beta of 1.11.

Heico (NYSE:HEI - Get Free Report) last announced its quarterly earnings data on Monday, August 25th. The aerospace company reported $1.26 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.12 by $0.14. Heico had a net margin of 14.96% and a return on equity of 16.68%. The business had revenue of $1.15 billion during the quarter, compared to the consensus estimate of $1.11 billion. During the same quarter last year, the firm earned $0.97 earnings per share. The firm's quarterly revenue was up 15.7% compared to the same quarter last year. As a group, equities analysts predict that Heico will post 4.2 EPS for the current year.

Insider Activity at Heico

In other Heico news, Director Alan Schriesheim sold 35,000 shares of the firm's stock in a transaction dated Tuesday, June 3rd. The stock was sold at an average price of $298.36, for a total value of $10,442,600.00. Following the completion of the transaction, the director owned 122,197 shares in the company, valued at $36,458,696.92. This trade represents a 22.27% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, Chairman Laurans A. Mendelson sold 56,300 shares of the company's stock in a transaction on Tuesday, July 15th. The stock was sold at an average price of $319.45, for a total value of $17,985,035.00. Following the completion of the sale, the chairman directly owned 1,253,127 shares in the company, valued at approximately $400,311,420.15. The trade was a 4.30% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 91,656 shares of company stock valued at $28,534,115. 9.55% of the stock is owned by corporate insiders.

Institutional Trading of Heico

A number of institutional investors and hedge funds have recently added to or reduced their stakes in HEI. Avalon Capital Management increased its stake in shares of Heico by 0.9% in the 2nd quarter. Avalon Capital Management now owns 3,895 shares of the aerospace company's stock valued at $1,278,000 after purchasing an additional 33 shares in the last quarter. Ridgewood Investments LLC increased its stake in Heico by 36.5% during the 2nd quarter. Ridgewood Investments LLC now owns 131 shares of the aerospace company's stock worth $43,000 after buying an additional 35 shares in the last quarter. Barrett & Company Inc. increased its stake in Heico by 1.6% during the 2nd quarter. Barrett & Company Inc. now owns 3,216 shares of the aerospace company's stock worth $1,055,000 after buying an additional 50 shares in the last quarter. Emerald Advisers LLC grew its position in shares of Heico by 1.9% in the second quarter. Emerald Advisers LLC now owns 3,000 shares of the aerospace company's stock valued at $984,000 after purchasing an additional 56 shares in the last quarter. Finally, Moody Lynn & Lieberson LLC grew its position in shares of Heico by 1.4% in the second quarter. Moody Lynn & Lieberson LLC now owns 4,230 shares of the aerospace company's stock valued at $1,387,000 after purchasing an additional 60 shares in the last quarter. Institutional investors and hedge funds own 27.12% of the company's stock.

Heico Company Profile

HEICO Corporation, through its subsidiaries, designs, manufactures, and sells aerospace, defense, and electronic related products and services in the United States and internationally. Its Flight Support Group segment provides jet engine and aircraft component replacement parts; thermal insulation blankets and parts; renewable/reusable insulation systems; and specialty components.