Ingredion (NYSE:INGR) Hits New 1-Year Low - Time to Sell?

Key Points

• Ingredion's stock price recently hit a new **52-week low** of **$118.47**, marking a potential concern for investors.
• While some analysts have upgraded the stock rating to **"buy,"** others have set a **"strong sell"** recommendation, reflecting mixed opinions about the company's future performance.
• The company reported a quarterly EPS of **$2.87**, exceeding estimates, but experienced a **2.4% decline** in revenue year-over-year.

Ingredion Incorporated (NYSE:INGR - Get Free Report)'s stock price reached a new 52-week low on Friday . The stock traded as low as $118.47 and last traded at $119.00, with a volume of 28947 shares trading hands. The stock had previously closed at $119.23.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on INGR. Wall Street Zen upgraded shares of Ingredion from a "hold" rating to a "buy" rating in a report on Sunday, October 19th. UBS Group decreased their price objective on shares of Ingredion from $144.00 to $130.00 and set a "neutral" rating on the stock in a report on Monday, October 6th. Weiss Ratings restated a "buy (b)" rating on shares of Ingredion in a report on Wednesday, October 8th. Oppenheimer set a $136.00 price objective on shares of Ingredion in a report on Wednesday. Finally, Zacks Research lowered shares of Ingredion from a "hold" rating to a "strong sell" rating in a report on Wednesday. Three research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $143.40.

Ingredion Stock Performance

The company has a market capitalization of $7.61 billion, a price-to-earnings ratio of 11.56, a price-to-earnings-growth ratio of 0.98 and a beta of 0.74. The company has a current ratio of 2.78, a quick ratio of 1.81 and a debt-to-equity ratio of 0.41. The stock's fifty day simple moving average is $124.02 and its 200-day simple moving average is $130.53.

Ingredion (NYSE:INGR - Get Free Report) last released its earnings results on Friday, August 1st. The company reported $2.87 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.78 by $0.09. The company had revenue of $1.83 billion for the quarter, compared to analyst estimates of $1.89 billion. Ingredion had a net margin of 9.24% and a return on equity of 19.04%. The firm's quarterly revenue was down 2.4% on a year-over-year basis. During the same period in the prior year, the business earned $2.87 EPS. Ingredion has set its FY 2025 guidance at 11.100-11.600 EPS. Analysts predict that Ingredion Incorporated will post 11.14 EPS for the current year.

Ingredion Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, October 21st. Shareholders of record on Wednesday, October 1st were given a $0.82 dividend. The ex-dividend date of this dividend was Wednesday, October 1st. This represents a $3.28 dividend on an annualized basis and a dividend yield of 2.8%. This is a boost from Ingredion's previous quarterly dividend of $0.80. Ingredion's payout ratio is currently 32.00%.

Insider Buying and Selling

In other Ingredion news, SVP Larry Fernandes sold 850 shares of the stock in a transaction that occurred on Monday, August 4th. The shares were sold at an average price of $128.39, for a total value of $109,131.50. Following the sale, the senior vice president directly owned 31,171 shares of the company's stock, valued at approximately $4,002,044.69. This represents a 2.65% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, CEO James P. Zallie sold 36,287 shares of the stock in a transaction that occurred on Tuesday, August 12th. The shares were sold at an average price of $126.52, for a total transaction of $4,591,031.24. Following the completion of the sale, the chief executive officer directly owned 50,129 shares in the company, valued at approximately $6,342,321.08. This represents a 41.99% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 37,137 shares of company stock worth $4,700,163. Insiders own 2.30% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. Alpine Bank Wealth Management purchased a new position in shares of Ingredion in the 1st quarter valued at $26,000. Bank Julius Baer & Co. Ltd Zurich purchased a new position in shares of Ingredion in the 1st quarter valued at $32,000. Hantz Financial Services Inc. grew its position in shares of Ingredion by 810.7% in the 2nd quarter. Hantz Financial Services Inc. now owns 255 shares of the company's stock valued at $35,000 after buying an additional 227 shares during the last quarter. Migdal Insurance & Financial Holdings Ltd. grew its position in shares of Ingredion by 40.2% in the 1st quarter. Migdal Insurance & Financial Holdings Ltd. now owns 279 shares of the company's stock valued at $38,000 after buying an additional 80 shares during the last quarter. Finally, Ameritas Advisory Services LLC purchased a new position in shares of Ingredion in the 2nd quarter valued at $40,000. 85.27% of the stock is owned by hedge funds and other institutional investors.

Ingredion Company Profile

Ingredion Incorporated, together with its subsidiaries, manufactures and sells sweeteners, starches, nutrition ingredients, and biomaterial solutions derived from wet milling and processing corn, and other starch-based materials to a range of industries in North America, South America, the Asia Pacific, Europe, the Middle East, and Africa.

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