MSC Industrial Direct (NYSE:MSM) Shares Gap Up Following Strong Earnings

MSC Industrial Direct Company, Inc. (NYSE:MSM - Get Free Report) gapped up before the market opened on Tuesday following a better than expected earnings announcement. The stock had previously closed at $85.02, but opened at $89.07. MSC Industrial Direct shares last traded at $88.01, with a volume of 326,225 shares traded.

The industrial products company reported $1.08 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.03 by $0.05. The business had revenue of $971.15 million during the quarter, compared to analyst estimates of $969.72 million. MSC Industrial Direct had a return on equity of 14.99% and a net margin of 5.30%. The business's revenue was down .8% compared to the same quarter last year. During the same period in the prior year, the business earned $1.33 earnings per share.

MSC Industrial Direct Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, July 23rd. Shareholders of record on Wednesday, July 9th will be issued a dividend of $0.85 per share. The ex-dividend date is Wednesday, July 9th. This represents a $3.40 dividend on an annualized basis and a yield of 3.78%. MSC Industrial Direct's dividend payout ratio (DPR) is presently 89.71%.

Analyst Upgrades and Downgrades

MSM has been the topic of a number of recent research reports. JPMorgan Chase & Co. raised MSC Industrial Direct from a "neutral" rating to an "overweight" rating and upped their price objective for the stock from $73.00 to $89.00 in a research report on Tuesday, May 27th. Industrial Alliance Securities set a $89.00 price target on MSC Industrial Direct in a report on Tuesday, May 27th. Stephens lifted their price objective on MSC Industrial Direct from $85.00 to $90.00 and gave the company an "equal weight" rating in a research note on Wednesday. Wolfe Research upgraded shares of MSC Industrial Direct to a "strong-buy" rating in a research note on Sunday, April 6th. Finally, Robert W. Baird raised their target price on shares of MSC Industrial Direct from $84.00 to $95.00 and gave the company a "neutral" rating in a report on Wednesday. Three investment analysts have rated the stock with a hold rating, one has assigned a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat, MSC Industrial Direct currently has a consensus rating of "Moderate Buy" and a consensus target price of $90.33.

Insider Buying and Selling

In related news, Director Mitchell Jacobson acquired 27,642 shares of the firm's stock in a transaction on Tuesday, April 8th. The stock was bought at an average price of $69.77 per share, for a total transaction of $1,928,582.34. Following the completion of the purchase, the director directly owned 1,951,725 shares of the company's stock, valued at approximately $136,171,853.25. The trade was a 1.44% increase in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. 18.30% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of MSM. Proficio Capital Partners LLC purchased a new stake in shares of MSC Industrial Direct in the fourth quarter valued at about $920,000. Charles Schwab Investment Management Inc. raised its stake in shares of MSC Industrial Direct by 8.1% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 1,693,256 shares of the industrial products company's stock worth $126,469,000 after buying an additional 126,218 shares during the last quarter. Raymond James Financial Inc. acquired a new stake in shares of MSC Industrial Direct in the fourth quarter valued at approximately $4,871,000. Edgestream Partners L.P. acquired a new stake in MSC Industrial Direct during the 4th quarter valued at $930,000. Finally, Ceera Investments LLC increased its position in MSC Industrial Direct by 30.4% during the 4th quarter. Ceera Investments LLC now owns 14,348 shares of the industrial products company's stock worth $1,072,000 after purchasing an additional 3,342 shares in the last quarter. 79.26% of the stock is currently owned by institutional investors and hedge funds.

MSC Industrial Direct Trading Up 0.4%

The company has a debt-to-equity ratio of 0.21, a current ratio of 1.92 and a quick ratio of 0.88. The firm has a market cap of $5.01 billion, a price-to-earnings ratio of 25.42 and a beta of 0.87. The business's 50-day moving average price is $81.07 and its two-hundred day moving average price is $79.49.

MSC Industrial Direct Company Profile

MSC Industrial Direct Co, Inc, together with its subsidiaries, distributes metalworking and maintenance, repair, and operations (MRO) products and services in the United States, Canada, Mexico, the United Kingdom, and internationally. The company's MRO products include cutting tools, measuring instruments, tooling components, metalworking products, fasteners, flat stock products, raw materials, abrasives, machinery hand and power tools, safety and janitorial supplies, plumbing supplies, materials handling products, power transmission components, and electrical supplies.