Wall Street Zen Upgrades MKS (NASDAQ:MKSI) to "Strong-Buy"

Key Points

• MKS Instruments was upgraded from a "buy" rating to a "strong-buy" rating by Wall Street Zen, indicating increased investor confidence in the company's future performance.
• Multiple firms have raised their price targets for MKS, with a consensus target price of $119.80, reflecting a positive outlook among analysts despite one firm rating it as a sell.
• The company reported earnings of $1.77 per share in its latest quarterly earnings, exceeding expectations, and demonstrated a year-over-year revenue growth of 9.7%.

Wall Street Zen upgraded shares of MKS (NASDAQ:MKSI - Free Report) from a buy rating to a strong-buy rating in a research note published on Saturday.

Other analysts also recently issued research reports about the stock. The Goldman Sachs Group started coverage on shares of MKS in a report on Thursday, July 10th. They set a "sell" rating and a $90.00 target price for the company. Cantor Fitzgerald lifted their target price on shares of MKS from $110.00 to $120.00 and gave the stock an "overweight" rating in a report on Tuesday, June 24th. Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating on shares of MKS in a report on Friday. Needham & Company LLC reduced their target price on shares of MKS from $140.00 to $130.00 and set a "buy" rating for the company in a report on Thursday. Finally, Morgan Stanley lifted their target price on shares of MKS from $100.00 to $112.00 and gave the stock an "overweight" rating in a report on Tuesday, July 22nd. One research analyst has rated the stock with a sell rating, one has issued a hold rating, eight have issued a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $119.80.

MKS Stock Performance

Shares of MKS stock traded down $1.20 during trading on Friday, hitting $98.17. 1,069,571 shares of the stock were exchanged, compared to its average volume of 1,204,230. The stock has a market capitalization of $6.62 billion, a price-to-earnings ratio of 24.92, a price-to-earnings-growth ratio of 1.35 and a beta of 1.86. The company has a fifty day moving average price of $97.49 and a 200-day moving average price of $90.24. MKS has a 1-year low of $54.84 and a 1-year high of $125.33. 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 quarterly earnings data on Wednesday, August 6th. The scientific and technical instruments company reported $1.77 earnings per share for the quarter, topping the consensus estimate of $1.61 by $0.16. The company had revenue of $973.00 million for the quarter, compared to analyst estimates of $931.05 million. MKS had a net margin of 7.11% and a return on equity of 20.65%. MKS's revenue for the quarter was up 9.7% compared to the same quarter last year. During the same period in the previous year, the business earned $1.53 EPS. As a group, equities analysts predict that MKS will post 6.94 EPS for the current fiscal year.

MKS Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, September 5th. Stockholders of record on Monday, August 25th will be issued a dividend of $0.22 per share. This represents a $0.88 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date of this dividend is Monday, August 25th. MKS's dividend payout ratio is 22.34%.

Insider Buying and Selling

In related news, Director Jacqueline F. Moloney sold 300 shares of the company's stock in a transaction that occurred on Friday, August 1st. The shares were sold at an average price of $92.10, for a total transaction of $27,630.00. Following the completion of the transaction, the director directly owned 11,862 shares in the company, valued at $1,092,490.20. This represents a 2.47% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP David Philip Henry sold 2,000 shares of the company's stock in a transaction that occurred on Thursday, July 3rd. The stock was sold at an average price of $105.00, for a total transaction of $210,000.00. Following the transaction, the executive vice president owned 20,571 shares of the company's stock, valued at approximately $2,159,955. This represents a 8.86% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 0.57% of the company's stock.

Institutional Investors Weigh In On MKS

Institutional investors have recently modified their holdings of the company. Bayforest Capital Ltd bought a new stake in shares of MKS in the 2nd quarter valued at $39,000. Optimum Investment Advisors boosted its stake in shares of MKS by 66.7% in the 1st quarter. Optimum Investment Advisors now owns 500 shares of the scientific and technical instruments company's stock valued at $40,000 after purchasing an additional 200 shares during the last quarter. Steph & Co. bought a new stake in shares of MKS in the 2nd quarter valued at $42,000. Atlantic Union Bankshares Corp bought a new stake in shares of MKS in the 2nd quarter valued at $46,000. Finally, Parallel Advisors LLC boosted its stake in shares of MKS by 89.3% in the 1st quarter. Parallel Advisors LLC now owns 581 shares of the scientific and technical instruments company's stock valued at $47,000 after purchasing an additional 274 shares during the last quarter. 99.79% of the stock is owned by institutional investors.

About MKS

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.