Makita (OTCMKTS:MKTAY) Shares Gap Up Following Strong Earnings

Key Points

• Shares surged after an earnings beat: Makita gapped up from a $33.62 close to a $35.50 open and last traded at $35.70 after reporting quarterly EPS of $0.53 versus the $0.44 consensus.
• Analyst views are mixed but skew negative: Goldman Sachs downgraded the stock to "sell" while Wall Street Zen upgraded to "buy," and MarketBeat reports an average rating of "Sell."
• Solid valuation and fundamentals: Market capitalization is $9.44 billion with a P/E of 18.89, net margin of 9.96%, ROE of 7.85%, and 50-/200-day SMAs of $35.07 and $32.69 respectively.

Shares of Makita Corp. (OTCMKTS:MKTAY - Get Free Report) gapped up before the market opened on Tuesday following a better than expected earnings announcement. The stock had previously closed at $33.62, but opened at $35.50. Makita shares last traded at $35.70, with a volume of 766 shares trading hands.

The company reported $0.53 earnings per share for the quarter, beating analysts' consensus estimates of $0.44 by $0.09. Makita had a net margin of 9.96% and a return on equity of 7.85%.

Wall Street Analyst Weigh In

A number of equities research analysts recently weighed in on the stock. The Goldman Sachs Group lowered shares of Makita from a "hold" rating to a "sell" rating in a report on Wednesday, January 14th. Wall Street Zen raised shares of Makita from a "hold" rating to a "buy" rating in a report on Saturday, January 31st. One research analyst has rated the stock with a Sell rating, According to MarketBeat, the stock has an average rating of "Sell".

Makita Stock Performance

The company has a market capitalization of $9.44 billion, a price-to-earnings ratio of 18.89 and a beta of 0.60. The company's fifty day simple moving average is $35.07 and its two-hundred day simple moving average is $32.69.

Makita Company Profile

Makita Corporation OTCMKTS: MKTAY is a global manufacturer of professional and consumer power tools headquartered in Anjō, Aichi Prefecture, Japan. Founded in 1915 as an electric motor sales and repair company, it incorporated as Makita Electric Works, Ltd. in 1958 and has since expanded its product portfolio to serve both industrial and residential markets. The company's core business activities encompass the design, production and distribution of power tools, outdoor power equipment and accessories.

Makita's product lineup includes cordless and corded electric drills, drivers, saws, grinders, sanders and rotary hammers, as well as pneumatic and gasoline-powered machinery.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.