Loar (NYSE:LOAR) Releases FY 2025 Earnings Guidance

Key Points

• Loar Holdings provided FY 2025 earnings guidance with an EPS estimate of 0.830-0.88, exceeding the consensus estimate of 0.743, and projected revenues between $486 million and $494 million, close to the consensus of $490.9 million.
• Analysts' ratings for Loar show mixed sentiment, as Citigroup raised its target price to $99.00 with a "buy" rating, while Wall Street Zen downgraded the stock from "buy" to "hold".
• Loar's insider trading activity included significant sales by directors, with over 5.7 million shares sold in recent months, indicating possible changes in investor confidence.

Loar (NYSE:LOAR - Get Free Report) issued an update on its FY 2025 earnings guidance on Wednesday morning. The company provided EPS guidance of 0.830-0.88 for the period, compared to the consensus EPS estimate of 0.743. The company issued revenue guidance of $486.0 million-$494.0 million, compared to the consensus revenue estimate of $490.9 million.

Loar Stock Up 1.0%

LOAR stock traded up $0.68 during mid-day trading on Friday, hitting $70.32. 1,132,877 shares of the company were exchanged, compared to its average volume of 956,972. The company has a market capitalization of $6.58 billion, a PE ratio of 118.76 and a beta of 0.11. The company has a current ratio of 6.15, a quick ratio of 4.01 and a debt-to-equity ratio of 0.25. Loar has a twelve month low of $62.10 and a twelve month high of $99.67. The firm has a fifty day simple moving average of $77.69 and a 200 day simple moving average of $78.65.

Loar (NYSE:LOAR - Get Free Report) last announced its quarterly earnings data on Wednesday, August 13th. The company reported $0.23 earnings per share for the quarter, topping the consensus estimate of $0.19 by $0.04. The company had revenue of $123.12 million during the quarter, compared to analyst estimates of $122.17 million. Loar had a net margin of 9.82% and a return on equity of 5.50%. The firm's revenue for the quarter was up 26.8% compared to the same quarter last year. During the same period last year, the business earned $0.13 EPS. On average, research analysts forecast that Loar will post 0.28 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

LOAR has been the subject of several recent analyst reports. Wall Street Zen raised shares of Loar from a "hold" rating to a "buy" rating in a report on Saturday. Morgan Stanley began coverage on shares of Loar in a report on Friday, May 23rd. They issued an "overweight" rating and a $100.00 price target for the company. Finally, Citigroup lifted their price target on shares of Loar from $91.00 to $99.00 and gave the company a "buy" rating in a report on Thursday, May 15th.

Insiders Place Their Bets

In related news, Director Paul S. Levy sold 175,923 shares of Loar stock in a transaction dated Monday, May 19th. The shares were sold at an average price of $80.91, for a total value of $14,233,929.93. Following the sale, the director directly owned 8,012,580 shares in the company, valued at $648,297,847.80. This trade represents a 2.15% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Chairman Brett N. Milgrim sold 84,115 shares of Loar stock in a transaction dated Monday, May 19th. The shares were sold at an average price of $80.91, for a total transaction of $6,805,744.65. Following the completion of the sale, the chairman owned 3,222,517 shares in the company, valued at approximately $260,733,850.47. This represents a 2.54% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 388,428 shares of company stock worth $31,427,709. Corporate insiders own 22.60% of the company's stock.

Institutional Trading of Loar

Hedge funds have recently bought and sold shares of the company. Rakuten Securities Inc. bought a new stake in shares of Loar during the 2nd quarter worth about $27,000. Tower Research Capital LLC TRC raised its position in shares of Loar by 347.0% during the 2nd quarter. Tower Research Capital LLC TRC now owns 970 shares of the company's stock worth $84,000 after buying an additional 753 shares in the last quarter. Raymond James Financial Inc. bought a new stake in shares of Loar during the 2nd quarter worth about $99,000. WINTON GROUP Ltd bought a new stake in shares of Loar during the 2nd quarter worth about $204,000. Finally, Oxford Asset Management LLP bought a new stake in shares of Loar during the 2nd quarter worth about $208,000.

About Loar

Loar Holdings Inc, through its subsidiaries, designs, manufactures, and markets aerospace and defense components for aircraft, and aerospace and defense systems in the United States and internationally. It offers products in various categories, which include airframe components, structural components, avionics, composites, braking system components, de-ice and ice protection, electro-mechanical, engineered materials, flight controls, fluid and motion controls, environmental, metal forming, molded components, and restraints and safety devices.