Omega Flex (NASDAQ:OFLX) Share Price Crosses Below 200 Day Moving Average - Should You Sell?

Key Points

• Omega Flex's stock has fallen below its 200-day moving average, trading at $32.38, which raises concerns about its performance.
• The company was recently downgraded by Wall Street Zen from a "buy" to a "hold" rating, indicating a potential shift in analyst sentiment.
• Omega Flex has announced a quarterly dividend of $0.34, offering a yield of 4.2% and a payout ratio of 80.95%.

Shares of Omega Flex, Inc. (NASDAQ:OFLX - Get Free Report) passed below its two hundred day moving average during trading on Monday . The stock has a two hundred day moving average of $34.40 and traded as low as $31.45. Omega Flex shares last traded at $32.38, with a volume of 16,206 shares trading hands.

Wall Street Analyst Weigh In

Separately, Wall Street Zen cut shares of Omega Flex from a "buy" rating to a "hold" rating in a research note on Thursday, May 15th.

Omega Flex Stock Performance

The firm's 50 day moving average is $33.49 and its 200-day moving average is $34.27. The stock has a market capitalization of $331.66 million, a price-to-earnings ratio of 19.57 and a beta of 0.31.

Omega Flex (NASDAQ:OFLX - Get Free Report) last issued its quarterly earnings results on Wednesday, July 30th. The industrial products company reported $0.41 earnings per share (EPS) for the quarter. The company had revenue of $25.52 million during the quarter. Omega Flex had a net margin of 16.91% and a return on equity of 20.48%.

Omega Flex Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, July 10th. Stockholders of record on Monday, June 30th were paid a dividend of $0.34 per share. The ex-dividend date of this dividend was Monday, June 30th. This represents a $1.36 dividend on an annualized basis and a dividend yield of 4.1%. Omega Flex's dividend payout ratio is currently 80.95%.

Insider Transactions at Omega Flex

In related news, Chairman Kevin R. Hoben sold 972 shares of the stock in a transaction that occurred on Thursday, June 12th. The shares were sold at an average price of $31.55, for a total transaction of $30,666.60. Following the completion of the sale, the chairman directly owned 898,533 shares of the company's stock, valued at $28,348,716.15. This represents a 0.11% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 65.20% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in OFLX. JPMorgan Chase & Co. lifted its stake in shares of Omega Flex by 49.4% during the fourth quarter. JPMorgan Chase & Co. now owns 20,186 shares of the industrial products company's stock valued at $847,000 after acquiring an additional 6,674 shares during the period. Geode Capital Management LLC lifted its holdings in Omega Flex by 0.9% during the 4th quarter. Geode Capital Management LLC now owns 90,131 shares of the industrial products company's stock worth $3,783,000 after purchasing an additional 769 shares during the last quarter. Wells Fargo & Company MN increased its stake in shares of Omega Flex by 14.1% in the 4th quarter. Wells Fargo & Company MN now owns 75,279 shares of the industrial products company's stock valued at $3,159,000 after purchasing an additional 9,311 shares during the last quarter. Envestnet Asset Management Inc. boosted its holdings in shares of Omega Flex by 3.3% during the 4th quarter. Envestnet Asset Management Inc. now owns 28,295 shares of the industrial products company's stock valued at $1,188,000 after acquiring an additional 911 shares in the last quarter. Finally, Renaissance Technologies LLC lifted its holdings in Omega Flex by 0.8% during the 4th quarter. Renaissance Technologies LLC now owns 52,680 shares of the industrial products company's stock worth $2,211,000 after buying an additional 400 shares during the period. 36.06% of the stock is owned by institutional investors.

Omega Flex Company Profile

Omega Flex, Inc, together with its subsidiaries, manufactures and sells flexible metal hoses and accessories in North America and internationally. It offers flexible gas piping for use in residential and commercial buildings; fittings; containment pining; and corrugated medical tubing for use in hospitals, ambulatory care centers, dental, physician and veterinary clinics, laboratories, and other facilities.