Loar (NYSE:LOAR) Shares Gap Up After Earnings Beat

Key Points

• Loar Holdings Inc. shares experienced a gap up from a previous close of $69.77 to an opening price of $73.38, despite later trading down to $67.83.
• Analysts have mixed ratings for LOAR, with Wall Street Zen downgrading its rating to "hold," while Morgan Stanley and Citigroup maintain positive outlooks with price targets of $100.00 and $99.00 respectively.
• Insider trading activity was notable, with Director Paul S. Levy selling 175,923 shares at an average price of $80.91, leading to a 2.15% decrease in ownership for both Levy and another insider involved in significant stock sales.

Loar Holdings Inc. (NYSE:LOAR - Get Free Report) shares gapped up before the market opened on Wednesday following a better than expected earnings announcement. The stock had previously closed at $69.77, but opened at $73.38. Loar shares last traded at $67.83, with a volume of 401,365 shares.

The company reported $0.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.19 by $0.04. Loar had a return on equity of 5.50% and a net margin of 9.82%. The firm had revenue of $123.12 million for the quarter, compared to the consensus estimate of $122.17 million. During the same quarter in the prior year, the business earned $0.13 EPS. The business's revenue for the quarter was up 26.8% compared to the same quarter last year.

Analysts Set New Price Targets

Several research firms have issued reports on LOAR. Morgan Stanley started coverage on Loar in a report on Friday, May 23rd. They set an "overweight" rating and a $100.00 price objective on the stock. Wall Street Zen upgraded shares of Loar from a "hold" rating to a "buy" rating in a research report on Saturday. Finally, Citigroup upped their price objective on shares of Loar from $91.00 to $99.00 and gave the company a "buy" rating in a research report on Thursday, May 15th.

Hedge Funds Weigh In On Loar

Large investors have recently modified their holdings of the business. Rakuten Securities Inc. acquired a new position in shares of Loar during the 2nd quarter worth about $27,000. PNC Financial Services Group Inc. lifted its position in Loar by 390.1% during the second quarter. PNC Financial Services Group Inc. now owns 348 shares of the company's stock worth $30,000 after acquiring an additional 277 shares during the last quarter. GAMMA Investing LLC lifted its position in Loar by 204.9% during the first quarter. GAMMA Investing LLC now owns 372 shares of the company's stock worth $26,000 after acquiring an additional 250 shares during the last quarter. Sterling Capital Management LLC lifted its position in Loar by 141.5% during the fourth quarter. Sterling Capital Management LLC now owns 500 shares of the company's stock worth $37,000 after acquiring an additional 293 shares during the last quarter. Finally, State of Wyoming bought a new position in shares of Loar during the fourth quarter worth approximately $53,000.

Loar Price Performance

The company's fifty day moving average price is $77.69 and its 200 day moving average price is $78.65. The company has a market capitalization of $6.56 billion, a P/E ratio of 152.42 and a beta of 0.11. The company has a quick ratio of 4.01, a current ratio of 6.15 and a debt-to-equity ratio of 0.25.

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.