Matson (NYSE:MATX) Issues Quarterly Earnings Results

Key Points

• Matson beat expectations, reporting EPS of $1.85 versus a $1.65 consensus (a $0.20 beat) with a 13.3% net margin and 16.63% return on equity.
• Shares fell about 1.7% to $170.61 after the report; the company has a $5.19B market cap and a trailing PE of 12.24, and declared a $0.36 quarterly dividend (annualized $1.44, 0.8% yield; ex-dividend May 7).
• Analyst sentiment is mixed—the average MarketBeat target is $171 with some firms raising targets (JPMorgan $230)—while insiders have sold 42,550 shares (~$7.0M) in the past 90 days.

Matson (NYSE:MATX - Get Free Report) announced its quarterly earnings data on Monday. The shipping company reported $1.85 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.65 by $0.20, Zacks reports. Matson had a net margin of 13.30% and a return on equity of 16.63%.

Matson Trading Down 1.7%

Shares of Matson stock traded down $2.94 on Monday, hitting $170.61. 309,445 shares of the company traded hands, compared to its average volume of 290,382. The stock's 50 day moving average price is $165.32 and its 200-day moving average price is $139.77. The company has a current ratio of 0.89, a quick ratio of 0.89 and a debt-to-equity ratio of 0.11. Matson has a 52 week low of $86.97 and a 52 week high of $180.88. The company has a market cap of $5.19 billion, a PE ratio of 12.24 and a beta of 1.30.

Matson Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, June 4th. Stockholders of record on Thursday, May 7th will be paid a dividend of $0.36 per share. This represents a $1.44 annualized dividend and a dividend yield of 0.8%. The ex-dividend date of this dividend is Thursday, May 7th. Matson's payout ratio is currently 10.33%.

Analyst Ratings Changes

Several brokerages have issued reports on MATX. Stephens raised their price objective on shares of Matson from $190.00 to $213.00 and gave the stock an "overweight" rating in a research note on Wednesday, January 21st. JPMorgan Chase & Co. began coverage on shares of Matson in a research note on Monday, April 27th. They issued an "overweight" rating and a $230.00 price objective for the company. Wall Street Zen downgraded shares of Matson from a "buy" rating to a "hold" rating in a research note on Sunday, March 15th. Zacks Research raised shares of Matson to a "hold" rating in a research note on Wednesday, April 29th. Finally, Wolfe Research reissued an "outperform" rating and issued a $167.00 price objective on shares of Matson in a research note on Thursday, January 8th. Three investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and an average target price of $171.00.

Insider Activity

In other news, SVP Kuuhaku T. Park sold 2,000 shares of Matson stock in a transaction that occurred on Tuesday, March 3rd. The shares were sold at an average price of $169.79, for a total transaction of $339,580.00. Following the completion of the sale, the senior vice president owned 13,484 shares of the company's stock, valued at approximately $2,289,448.36. The trade was a 12.92% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, EVP Peter T. Heilmann sold 13,000 shares of Matson stock in a transaction that occurred on Tuesday, March 3rd. The shares were sold at an average price of $165.46, for a total transaction of $2,150,980.00. Following the sale, the executive vice president directly owned 32,679 shares of the company's stock, valued at $5,407,067.34. This represents a 28.46% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 42,550 shares of company stock valued at $7,034,602. Insiders own 2.51% of the company's stock.

Institutional Trading of Matson

Several institutional investors and hedge funds have recently modified their holdings of the stock. Summit Global Investments raised its stake in shares of Matson by 23.8% during the fourth quarter. Summit Global Investments now owns 11,867 shares of the shipping company's stock valued at $1,466,000 after acquiring an additional 2,278 shares in the last quarter. XTX Topco Ltd purchased a new position in Matson during the fourth quarter valued at approximately $760,000. Uniplan Investment Counsel Inc. purchased a new position in Matson during the fourth quarter valued at approximately $201,000. Voloridge Investment Management LLC purchased a new position in Matson during the fourth quarter valued at approximately $1,725,000. Finally, SummitTX Capital L.P. purchased a new position in Matson during the fourth quarter valued at approximately $6,303,000. Institutional investors own 84.76% of the company's stock.

Matson Company Profile

Matson, Inc NYSE: MATX is a U.S.-based provider of ocean transportation and supply chain logistics services with a focus on Pacific trade lanes. The company operates a fleet of container ships that regularly service Hawaii, Alaska, Guam, Micronesia and other Pacific islands, as well as mainland U.S. ports. Matson's ocean transportation segment offers scheduled liner services, expedited shipping options and specialized project cargo handling for industries ranging from retail to heavy machinery.

In addition to its core liner operations, Matson offers ocean transportation services between Asia and the U.S.

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