Hillenbrand (NYSE:HI) Trading Up 13.9% Following Strong Earnings

Key Points

• Hillenbrand Inc shares rose by 13.9% following a strong earnings report that beat analysts' expectations, with earnings per share at $0.51 versus the projected $0.50.
• The company's revenue was $598.90 million for the quarter, surpassing expectations of $572.48 million, although it represents a 23.9% decrease year-over-year.
• Despite the positive earnings announcement, analysts' ratings have been mixed, with some firms reducing their price targets for Hillenbrand shares significantly.

Hillenbrand Inc (NYSE:HI - Get Free Report) shares were up 13.9% during mid-day trading on Tuesday following a better than expected earnings announcement. The company traded as high as $21.68 and last traded at $22.53. Approximately 82,182 shares were traded during mid-day trading, a decline of 84% from the average daily volume of 505,010 shares. The stock had previously closed at $19.78.

The company reported $0.51 EPS for the quarter, topping analysts' consensus estimates of $0.50 by $0.01. The business had revenue of $598.90 million during the quarter, compared to analysts' expectations of $572.48 million. Hillenbrand had a negative net margin of 8.82% and a positive return on equity of 15.03%. The company's quarterly revenue was down 23.9% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.85 earnings per share.

Analyst Ratings Changes

Several analysts recently issued reports on the stock. DA Davidson dropped their price objective on shares of Hillenbrand from $33.00 to $24.00 and set a "neutral" rating for the company in a research note on Thursday, May 1st. KeyCorp cut shares of Hillenbrand from an "overweight" rating to a "sector weight" rating in a research note on Thursday, May 8th.

Institutional Investors Weigh In On Hillenbrand

Large investors have recently added to or reduced their stakes in the business. Point72 Hong Kong Ltd acquired a new stake in Hillenbrand during the 4th quarter worth $42,000. Sterling Capital Management LLC boosted its stake in Hillenbrand by 712.8% during the 4th quarter. Sterling Capital Management LLC now owns 1,520 shares of the company's stock worth $47,000 after purchasing an additional 1,333 shares during the period. GAMMA Investing LLC lifted its stake in shares of Hillenbrand by 65.9% in the 1st quarter. GAMMA Investing LLC now owns 1,966 shares of the company's stock worth $47,000 after acquiring an additional 781 shares during the period. Public Employees Retirement System of Ohio lifted its stake in shares of Hillenbrand by 29.0% in the 2nd quarter. Public Employees Retirement System of Ohio now owns 2,432 shares of the company's stock worth $49,000 after acquiring an additional 547 shares during the period. Finally, BI Asset Management Fondsmaeglerselskab A S acquired a new stake in shares of Hillenbrand in the 1st quarter worth $84,000. 89.09% of the stock is owned by hedge funds and other institutional investors.

Hillenbrand Price Performance

The company has a market cap of $1.58 billion, a price-to-earnings ratio of -5.96 and a beta of 1.46. The company has a current ratio of 1.51, a quick ratio of 1.14 and a debt-to-equity ratio of 1.39. The company's 50 day moving average price is $20.99 and its 200 day moving average price is $23.81.

About Hillenbrand

Hillenbrand, Inc operates as an industrial company in the United States and internationally. The company operates through two segments, Advanced Process Solutions and Molding Technology Solutions. The Advanced Process Solutions segment designs, engineers, manufactures, markets, and services process and material handling equipment and systems comprising compounding, extrusion, and material handling equipment, equipment system design services, as well as offers mixing technology, ingredient automation, and portion process; and provides screening and separating equipment for various industries, including plastics, food and pharmaceuticals, chemicals, fertilizers, minerals, energy, wastewater treatment, forest products, and other general industrials.

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