MGP Ingredients (NASDAQ:MGPI) Stock Price Down 5.2% - Should You Sell?

MGP Ingredients, Inc. (NASDAQ:MGPI - Get Free Report)'s stock price was down 5.2% on Thursday . The stock traded as low as $28.24 and last traded at $28.31. Approximately 44,826 shares were traded during mid-day trading, a decline of 87% from the average daily volume of 346,629 shares. The stock had previously closed at $29.85.

Wall Street Analyst Weigh In

Several equities analysts have weighed in on MGPI shares. Lake Street Capital raised MGP Ingredients from a "hold" rating to a "buy" rating and cut their target price for the company from $55.00 to $45.00 in a research note on Thursday, February 27th. Wells Fargo & Company cut their target price on MGP Ingredients from $40.00 to $37.00 and set an "overweight" rating on the stock in a research note on Wednesday, April 2nd. Truist Financial cut their target price on MGP Ingredients from $40.00 to $35.00 and set a "buy" rating on the stock in a research note on Thursday, April 24th. Finally, Wall Street Zen lowered MGP Ingredients from a "hold" rating to a "sell" rating in a research note on Saturday, May 10th. One equities research analyst has rated the stock with a sell rating, one has given a hold rating and four have assigned a buy rating to the company's stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $50.33.

MGP Ingredients Stock Up 3.2%

The firm has a fifty day simple moving average of $29.70 and a 200-day simple moving average of $34.36. The company has a market capitalization of $602.42 million, a P/E ratio of 5.89 and a beta of 0.32. The company has a quick ratio of 1.94, a current ratio of 6.46 and a debt-to-equity ratio of 0.31.

MGP Ingredients (NASDAQ:MGPI - Get Free Report) last announced its quarterly earnings results on Thursday, May 1st. The company reported $0.36 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.31 by $0.05. MGP Ingredients had a return on equity of 14.39% and a net margin of 14.44%. The company had revenue of $121.65 million during the quarter, compared to the consensus estimate of $119.14 million. During the same period in the prior year, the company earned $1.07 earnings per share. The company's revenue for the quarter was down 28.7% compared to the same quarter last year. On average, equities research analysts expect that MGP Ingredients, Inc. will post 5.56 EPS for the current fiscal year.

MGP Ingredients Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, May 30th. Shareholders of record on Friday, May 16th were issued a $0.12 dividend. The ex-dividend date was Friday, May 16th. This represents a $0.48 annualized dividend and a dividend yield of 1.69%. MGP Ingredients's dividend payout ratio (DPR) is currently 106.67%.

Insiders Place Their Bets

In other news, Director Martin Roper acquired 15,000 shares of the firm's stock in a transaction that occurred on Thursday, May 8th. The stock was acquired at an average cost of $33.10 per share, for a total transaction of $496,500.00. Following the completion of the acquisition, the director now owns 18,180 shares in the company, valued at $601,758. This represents a 471.70% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director Karen Seaberg sold 28,304 shares of the stock in a transaction dated Thursday, March 13th. The stock was sold at an average price of $30.82, for a total value of $872,329.28. Following the transaction, the director now owns 283,569 shares of the company's stock, valued at approximately $8,739,596.58. The trade was a 9.08% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 29,417 shares of company stock worth $905,556 over the last ninety days. 36.20% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of MGPI. Brooklyn Investment Group grew its holdings in shares of MGP Ingredients by 2,365.7% during the first quarter. Brooklyn Investment Group now owns 863 shares of the company's stock worth $25,000 after buying an additional 828 shares in the last quarter. Penserra Capital Management LLC grew its holdings in shares of MGP Ingredients by 333.3% during the first quarter. Penserra Capital Management LLC now owns 897 shares of the company's stock worth $26,000 after buying an additional 690 shares in the last quarter. GAMMA Investing LLC grew its holdings in shares of MGP Ingredients by 114.8% during the first quarter. GAMMA Investing LLC now owns 1,497 shares of the company's stock worth $44,000 after buying an additional 800 shares in the last quarter. CWM LLC grew its holdings in shares of MGP Ingredients by 127.4% during the first quarter. CWM LLC now owns 2,051 shares of the company's stock worth $60,000 after buying an additional 1,149 shares in the last quarter. Finally, Signaturefd LLC grew its stake in MGP Ingredients by 1,055.2% in the first quarter. Signaturefd LLC now owns 2,218 shares of the company's stock valued at $65,000 after purchasing an additional 2,026 shares in the last quarter. 77.11% of the stock is currently owned by institutional investors.

MGP Ingredients Company Profile

MGP Ingredients, Inc, together with its subsidiaries, engages in the production and supply of distilled spirits, branded spirits, and food ingredients in the United States and internationally. The company operates through three segments: Distillery Solutions; Branded Spirits; and Ingredient Solutions.