Lindsay (NYSE:LNN) Reaches New 1-Year Low on Disappointing Earnings

Key Points

• Lindsay Corporation's shares reached a 52-week low of $111.75 after a disappointing earnings report that showed EPS of $0.99, falling short of the consensus estimate by $0.05.
• Several research firms maintain a "hold" rating on Lindsay, with a target price raised to $136.00 from $128.00 by Stifel Nicolaus.
• Insider activity has been noted, with Director Robert E. Brunner selling 1,856 shares, representing a significant 36.18% decrease in his ownership stake.

Lindsay Corporation (NYSE:LNN - Get Free Report) shares hit a new 52-week low during mid-day trading on Thursday following a weaker than expected earnings announcement. The company traded as low as $111.75 and last traded at $113.07, with a volume of 148995 shares trading hands. The stock had previously closed at $122.65.

The industrial products company reported $0.99 EPS for the quarter, missing the consensus estimate of $1.04 by ($0.05). Lindsay had a return on equity of 15.09% and a net margin of 11.21%.During the same quarter in the previous year, the firm earned $1.17 earnings per share. The business's revenue for the quarter was down .9% on a year-over-year basis.

Wall Street Analysts Forecast Growth

Several research firms have recently commented on LNN. Stifel Nicolaus raised their target price on shares of Lindsay from $128.00 to $136.00 and gave the stock a "hold" rating in a research report on Friday, June 27th. Weiss Ratings reaffirmed a "hold (c+)" rating on shares of Lindsay in a research report on Wednesday, October 8th. Two investment analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, Lindsay has a consensus rating of "Hold" and an average price target of $136.00.

Insider Activity at Lindsay

In other news, Director Robert E. Brunner sold 1,856 shares of Lindsay stock in a transaction that occurred on Wednesday, August 13th. The shares were sold at an average price of $142.08, for a total value of $263,700.48. Following the completion of the sale, the director directly owned 3,274 shares in the company, valued at $465,169.92. The trade was a 36.18% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. 1.70% of the stock is owned by corporate insiders.

Institutional Trading of Lindsay

Large investors have recently made changes to their positions in the stock. USA Financial Formulas bought a new stake in shares of Lindsay in the second quarter worth approximately $26,000. Banque Cantonale Vaudoise bought a new stake in shares of Lindsay in the first quarter worth approximately $31,000. State of Wyoming bought a new stake in shares of Lindsay in the first quarter worth approximately $52,000. GAMMA Investing LLC grew its stake in shares of Lindsay by 55.8% in the first quarter. GAMMA Investing LLC now owns 430 shares of the industrial products company's stock worth $54,000 after acquiring an additional 154 shares during the period. Finally, Skandinaviska Enskilda Banken AB publ bought a new stake in shares of Lindsay in the second quarter worth approximately $159,000. 89.94% of the stock is currently owned by institutional investors.

Lindsay Price Performance

The firm's 50-day moving average is $137.83 and its 200-day moving average is $136.25. The company has a debt-to-equity ratio of 0.22, a current ratio of 3.64 and a quick ratio of 2.64. The company has a market capitalization of $1.22 billion, a P/E ratio of 16.13 and a beta of 0.82.

About Lindsay

Lindsay Corporation, together with its subsidiaries, provides water management and road infrastructure products and services in the United States and internationally. It operates in two segments, Irrigation and Infrastructure. The Irrigation segment manufactures and markets center pivot, lateral move irrigation systems, and irrigation controls under the Zimmatic brand; hose reel travelers under the Perrot brand; and chemical injection systems, variable rate irrigation systems, flow meters, weather stations, soil moisture sensors, and remote monitoring and control systems.

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