MKS (NASDAQ:MKSI) Shares Down 7.2% - Here's What Happened

Key Points

• MKS Inc. shares fell by 7.2% on a recent trading day, with a notable decline in trading volume down by 80% compared to its average session.
• Analysts have downgraded MKS from a "strong-buy" to a "hold" rating, with the consensus price target currently at $119.80.
• The company reported better-than-expected earnings with $1.77 EPS for the last quarter, exceeding analysts' estimates and achieving a revenue of $973 million.

Shares of MKS Inc. (NASDAQ:MKSI - Get Free Report) traded down 7.2% on Tuesday . The company traded as low as $131.61 and last traded at $129.41. 243,637 shares changed hands during trading, a decline of 80% from the average session volume of 1,205,864 shares. The stock had previously closed at $139.47.

Analysts Set New Price Targets

A number of research analysts recently weighed in on the company. Zacks Research lowered MKS from a "strong-buy" rating to a "hold" rating in a report on Tuesday, August 26th. Weiss Ratings reissued a "hold (c)" rating on shares of MKS in a report on Saturday, September 27th. Needham & Company LLC reduced their price target on MKS from $140.00 to $130.00 and set a "buy" rating for the company in a research note on Thursday, August 7th. Mizuho boosted their price target on MKS from $105.00 to $118.00 and gave the company an "outperform" rating in a research note on Monday, July 14th. Finally, The Goldman Sachs Group started coverage on MKS in a research note on Thursday, July 10th. They issued a "sell" rating and a $90.00 price target for the company. Eight equities research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat.com, MKS presently has an average rating of "Moderate Buy" and a consensus price target of $119.80.

MKS Trading Down 6.2%

The business has a 50-day moving average price of $110.18 and a two-hundred day moving average price of $94.42. The stock has a market capitalization of $8.79 billion, a P/E ratio of 33.08, a P/E/G ratio of 1.59 and a beta of 1.97. The company has a current ratio of 2.99, a quick ratio of 1.88 and a debt-to-equity ratio of 1.71.

MKS (NASDAQ:MKSI - Get Free Report) last released its earnings results on Wednesday, August 6th. The scientific and technical instruments company reported $1.77 earnings per share for the quarter, beating analysts' consensus estimates of $1.61 by $0.16. The firm had revenue of $973.00 million during the quarter, compared to the consensus estimate of $931.05 million. MKS had a return on equity of 20.65% and a net margin of 7.11%.The company's revenue was up 9.7% compared to the same quarter last year. During the same period in the prior year, the company posted $1.53 EPS. On average, analysts expect that MKS Inc. will post 6.94 EPS for the current fiscal year.

MKS Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, September 5th. Stockholders of record on Monday, August 25th were issued a dividend of $0.22 per share. The ex-dividend date of this dividend was Monday, August 25th. This represents a $0.88 dividend on an annualized basis and a dividend yield of 0.7%. MKS's payout ratio is 22.34%.

Insider Transactions at MKS

In other news, EVP David Philip Henry sold 5,000 shares of the business's stock in a transaction on Thursday, September 18th. The stock was sold at an average price of $130.00, for a total transaction of $650,000.00. Following the completion of the transaction, the executive vice president owned 15,571 shares of the company's stock, valued at approximately $2,024,230. The trade was a 24.31% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Jacqueline F. Moloney sold 300 shares of the company's stock in a transaction dated Wednesday, October 1st. The stock was sold at an average price of $122.14, for a total value of $36,642.00. Following the completion of the transaction, the director directly owned 11,562 shares of the company's stock, valued at approximately $1,412,182.68. The trade was a 2.53% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 5,900 shares of company stock valued at $744,227. Corporate insiders own 0.51% of the company's stock.

Hedge Funds Weigh In On MKS

A number of institutional investors and hedge funds have recently bought and sold shares of MKSI. MAI Capital Management boosted its position in shares of MKS by 12.5% during the 2nd quarter. MAI Capital Management now owns 956 shares of the scientific and technical instruments company's stock valued at $95,000 after purchasing an additional 106 shares in the last quarter. ProShare Advisors LLC boosted its position in shares of MKS by 1.1% during the 2nd quarter. ProShare Advisors LLC now owns 10,964 shares of the scientific and technical instruments company's stock valued at $1,089,000 after purchasing an additional 114 shares in the last quarter. Optimum Investment Advisors boosted its position in shares of MKS by 25.0% during the 2nd quarter. Optimum Investment Advisors now owns 625 shares of the scientific and technical instruments company's stock valued at $62,000 after purchasing an additional 125 shares in the last quarter. Steph & Co. boosted its position in shares of MKS by 30.4% during the 3rd quarter. Steph & Co. now owns 553 shares of the scientific and technical instruments company's stock valued at $68,000 after purchasing an additional 129 shares in the last quarter. Finally, EP Wealth Advisors LLC boosted its position in shares of MKS by 4.4% during the 2nd quarter. EP Wealth Advisors LLC now owns 3,620 shares of the scientific and technical instruments company's stock valued at $360,000 after purchasing an additional 154 shares in the last quarter. Institutional investors and hedge funds own 99.79% of the company's stock.

MKS Company Profile

MKS Instruments, Inc provides foundational technology solutions to semiconductor manufacturing, electronics and packaging, and specialty industrial applications in the United States, Germany, China, South Korea, and internationally. It operates through Vacuum Solutions Division (VSD), Photonics Solutions Division (PSD), and Material Solutions Division (MSD) segments.

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