Kimball Electronics (NASDAQ:KE) Shares Gap Up - Here's Why

Key Points

• Kimball Electronics shares experienced a significant gap up, opening at $29.64 after closing at $28.36, with recent trading at $28.50 and a volume of 94,741 shares.
• Analysts have upgraded their ratings for Kimball Electronics, with Wall Street Zen and Zacks Research both raising their ratings to "strong-buy," contributing to an average rating of "buy" across analysts.
• The electronics maker's latest earnings report indicated an earnings per share (EPS) of $0.34, surpassing projections, with quarterly revenue of $380.47 million exceeding estimates of $333.19 million.

Kimball Electronics, Inc. (NASDAQ:KE - Get Free Report) gapped up before the market opened on Thursday . The stock had previously closed at $28.36, but opened at $29.64. Kimball Electronics shares last traded at $28.50, with a volume of 94,741 shares.

Wall Street Analyst Weigh In

Several research firms recently issued reports on KE. Wall Street Zen raised shares of Kimball Electronics from a "buy" rating to a "strong-buy" rating in a report on Monday, September 1st. Zacks Research raised shares of Kimball Electronics from a "hold" rating to a "strong-buy" rating in a report on Thursday, August 28th. Lake Street Capital increased their target price on shares of Kimball Electronics from $21.00 to $28.00 and gave the company a "buy" rating in a report on Friday, August 15th. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Kimball Electronics in a report on Saturday, September 27th. Finally, B. Riley reissued a "buy" rating on shares of Kimball Electronics in a research note on Thursday. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and one has assigned a Hold rating to the company's stock. Based on data from MarketBeat, Kimball Electronics currently has an average rating of "Buy" and an average price target of $28.00.

Kimball Electronics Stock Performance

The stock's 50-day moving average is $27.45 and its 200-day moving average is $20.82. The stock has a market cap of $697.96 million, a price-to-earnings ratio of 42.72 and a beta of 1.23. The company has a debt-to-equity ratio of 0.23, a current ratio of 2.20 and a quick ratio of 1.34.

Kimball Electronics (NASDAQ:KE - Get Free Report) last announced its earnings results on Wednesday, August 13th. The electronics maker reported $0.34 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.20 by $0.14. Kimball Electronics had a net margin of 1.14% and a return on equity of 5.11%. The firm had revenue of $380.47 million for the quarter, compared to analyst estimates of $333.19 million. Kimball Electronics has set its FY 2025 guidance at EPS. Analysts anticipate that Kimball Electronics, Inc. will post 0.89 EPS for the current fiscal year.

Hedge Funds Weigh In On Kimball Electronics

A number of hedge funds have recently made changes to their positions in KE. Founders Capital Management acquired a new position in shares of Kimball Electronics in the 2nd quarter valued at $29,000. Raymond James Financial Inc. purchased a new position in shares of Kimball Electronics in the 2nd quarter valued at $34,000. Tower Research Capital LLC TRC raised its stake in shares of Kimball Electronics by 197.2% in the 2nd quarter. Tower Research Capital LLC TRC now owns 2,865 shares of the electronics maker's stock valued at $55,000 after acquiring an additional 1,901 shares during the period. GAMMA Investing LLC raised its stake in shares of Kimball Electronics by 3,256.0% in the 1st quarter. GAMMA Investing LLC now owns 4,195 shares of the electronics maker's stock valued at $69,000 after acquiring an additional 4,070 shares during the period. Finally, Morgan Dempsey Capital Management LLC raised its stake in shares of Kimball Electronics by 12.1% in the 2nd quarter. Morgan Dempsey Capital Management LLC now owns 7,494 shares of the electronics maker's stock valued at $144,000 after acquiring an additional 806 shares during the period. Institutional investors and hedge funds own 75.99% of the company's stock.

Kimball Electronics Company Profile

Kimball Electronics, Inc engages in the provision of electronics manufacturing, engineering, and supply chain support services to customers in the automotive, medical, and industrial end markets. The Company also offers contract manufacturing services, including engineering and supply chain support for the production of electronic assemblies and other products, including non-electronic components, medical devices, medical disposables, and precision molded plastics, as well as automation, test, and inspection equipment primarily used in automotive, medical, and industrial applications.

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