Lsb Industries (NYSE:LXU) Shares Gap Down on Disappointing Earnings

Key Points

• Lsb Industries Inc. shares experienced a significant gap down on Wednesday, starting at $7.74 after closing at $8.71, following a weaker than expected earnings announcement.
• The company reported earnings per share of $0.04, missing the consensus estimate of $0.18, alongside a revenue of $151.30 million, below analyst expectations of $156.76 million.
• Analysts have recently adjusted their ratings for Lsb Industries; UBS downgraded the stock from "buy" to "neutral," while Wall Street Zen upgraded it from "sell" to "hold."

Lsb Industries Inc. (NYSE:LXU - Get Free Report)'s stock price gapped down before the market opened on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $8.71, but opened at $7.74. Lsb Industries shares last traded at $7.87, with a volume of 184,279 shares trading hands.

The conglomerate reported $0.04 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.18 by ($0.14). The business had revenue of $151.30 million for the quarter, compared to the consensus estimate of $156.76 million. Lsb Industries had a negative return on equity of 0.34% and a negative net margin of 6.15%.

Analysts Set New Price Targets

Several research firms have recently commented on LXU. Wall Street Zen upgraded Lsb Industries from a "sell" rating to a "hold" rating in a research note on Saturday, May 31st. UBS Group lowered Lsb Industries from a "buy" rating to a "neutral" rating and set a $9.25 target price for the company. in a research note on Wednesday, July 23rd.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the stock. Vanguard Group Inc. boosted its holdings in shares of Lsb Industries by 0.4% during the fourth quarter. Vanguard Group Inc. now owns 3,089,060 shares of the conglomerate's stock worth $23,446,000 after acquiring an additional 12,345 shares during the period. Systematic Financial Management LP boosted its position in Lsb Industries by 1.3% during the first quarter. Systematic Financial Management LP now owns 1,785,125 shares of the conglomerate's stock valued at $11,764,000 after acquiring an additional 22,655 shares during the last quarter. American Century Companies Inc. grew its stake in shares of Lsb Industries by 9.6% in the 1st quarter. American Century Companies Inc. now owns 1,776,513 shares of the conglomerate's stock valued at $11,707,000 after buying an additional 155,477 shares during the period. Geode Capital Management LLC lifted its position in Lsb Industries by 0.6% in the 4th quarter. Geode Capital Management LLC now owns 1,218,218 shares of the conglomerate's stock valued at $9,249,000 after acquiring an additional 7,496 shares in the last quarter. Finally, CenterBook Partners LP lifted its position in shares of Lsb Industries by 264.4% during the 1st quarter. CenterBook Partners LP now owns 629,845 shares of the conglomerate's stock worth $4,151,000 after buying an additional 457,009 shares in the last quarter. Institutional investors and hedge funds own 73.67% of the company's stock.

Lsb Industries Stock Performance

The company's 50-day simple moving average is $8.10 and its 200 day simple moving average is $7.44. The company has a current ratio of 2.64, a quick ratio of 2.29 and a debt-to-equity ratio of 0.90. The stock has a market cap of $521.85 million, a P/E ratio of -15.79 and a beta of 1.21.

Lsb Industries Company Profile

LSB Industries, Inc engages in the manufacture, marketing, and sale of chemical products. The company provides nitrogen-based fertilizers, such as ammonia, fertilizer grade high density ammonium nitrate (HDAN), and urea ammonia nitrate for fertilizer for corn, pastures, and other crops, as well as nitrogen, phosphorus, and potassium (NPK) fertilizer blends application.