Matson (NYSE:MATX) Reaches New 12-Month High - Time to Buy?

Key Points

• Matson shares hit a new 52-week high, trading as high as $208.33 after closing previously at $204.77. The move comes amid relatively light volume of 9,253 shares.
• Analyst sentiment is mixed but slightly positive, with three Buy ratings and three Hold ratings, resulting in an average “Moderate Buy” view and a consensus price target of $181.25. JPMorgan is notably more bullish, assigning an Overweight rating and a $230 target.
• The company continues to show solid fundamentals, including a recent earnings beat of $1.85 per share versus $1.65 expected and a low debt-to-equity ratio of 0.11. Matson also raised its quarterly dividend to $0.38 from $0.36.

Shares of Matson, Inc. (NYSE:MATX - Get Free Report) hit a new 52-week high on Monday . The stock traded as high as $208.33 and last traded at $207.49, with a volume of 9253 shares trading hands. The stock had previously closed at $204.77.

Wall Street Analysts Forecast Growth

MATX has been the topic of a number of recent analyst reports. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Matson in a research note on Friday, May 29th. Zacks Research raised shares of Matson to a "hold" rating in a research report on Wednesday, April 29th. JPMorgan Chase & Co. began coverage on shares of Matson in a report on Monday, April 27th. They set an "overweight" rating and a $230.00 price target for the company. Finally, Wall Street Zen downgraded shares of Matson from a "buy" rating to a "hold" rating in a research report on Sunday, March 15th. Three analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $181.25.

Matson Stock Performance

The company has a debt-to-equity ratio of 0.11, a quick ratio of 0.82 and a current ratio of 0.82. The stock has a fifty day simple moving average of $190.50 and a two-hundred day simple moving average of $168.43. The stock has a market capitalization of $6.29 billion, a price-to-earnings ratio of 15.26 and a beta of 1.28.

Matson (NYSE:MATX - Get Free Report) last posted its quarterly earnings data on Monday, May 4th. The shipping company reported $1.85 earnings per share for the quarter, topping the consensus estimate of $1.65 by $0.20. Matson had a return on equity of 15.90% and a net margin of 12.92%.The firm had revenue of $757.80 million during the quarter, compared to analyst estimates of $777.55 million. During the same period last year, the company posted $2.18 EPS. The business's quarterly revenue was down 3.1% on a year-over-year basis. Analysts forecast that Matson, Inc. will post 13.96 earnings per share for the current fiscal year.

Matson Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 3rd. Shareholders of record on Thursday, August 6th will be paid a $0.38 dividend. This represents a $1.52 annualized dividend and a yield of 0.7%. This is a boost from Matson's previous quarterly dividend of $0.36. The ex-dividend date of this dividend is Thursday, August 6th. Matson's payout ratio is presently 10.58%.

Insider Activity

In other news, EVP Peter T. Heilmann sold 7,173 shares of Matson stock in a transaction on Tuesday, May 12th. The shares were sold at an average price of $180.19, for a total value of $1,292,502.87. Following the completion of the sale, the executive vice president owned 25,506 shares in the company, valued at $4,595,926.14. The trade was a 21.95% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, SVP Kuuhaku T. Park sold 2,500 shares of the business's stock in a transaction on Tuesday, May 12th. The shares were sold at an average price of $180.19, for a total transaction of $450,475.00. Following the transaction, the senior vice president owned 10,984 shares in the company, valued at $1,979,206.96. The trade was a 18.54% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 23,963 shares of company stock worth $4,349,268. Company insiders own 2.51% of the company's stock.

Institutional Investors Weigh In On Matson

A number of large investors have recently bought and sold shares of the stock. Norges Bank bought a new position in Matson in the fourth quarter worth approximately $17,276,000. Fideuram Intesa Sanpaolo Private Banking S.P.A. bought a new stake in shares of Matson during the fourth quarter valued at approximately $2,017,000. Tudor Investment Corp ET AL increased its holdings in shares of Matson by 2,944.7% during the third quarter. Tudor Investment Corp ET AL now owns 57,850 shares of the shipping company's stock valued at $5,703,000 after acquiring an additional 55,950 shares in the last quarter. Allspring Global Investments Holdings LLC raised its position in shares of Matson by 97.5% during the fourth quarter. Allspring Global Investments Holdings LLC now owns 79,767 shares of the shipping company's stock worth $9,868,000 after purchasing an additional 39,370 shares during the period. Finally, Lighthouse Investment Partners LLC acquired a new position in shares of Matson during the third quarter worth approximately $8,241,000. 84.76% of the stock is currently owned by institutional investors and hedge funds.

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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