Patrick Industries, Inc. (NASDAQ:PATK) Given Consensus Rating of "Moderate Buy" by Analysts

Key Points

• Analysts rate Patrick Industries a “Moderate Buy.” Of the 10 firms covering the stock, seven have buy ratings, two hold, and one sell, with an average 12-month price target of about $122.63.
• Recent earnings topped expectations. Patrick Industries reported $1.10 EPS versus the $1.08 estimate and revenue of $997.17 million, though revenue was slightly below last year’s level.
• Insiders have been buying shares. CEO Andy L. Nemeth and Director M. Scott Welch each purchased about 10,000 shares in early May, and insiders bought 37,410 shares over the past three months.

Shares of Patrick Industries, Inc. (NASDAQ:PATK - Get Free Report) have been assigned a consensus rating of "Moderate Buy" from the ten research firms that are presently covering the firm, MarketBeat.com reports. One equities research analyst has rated the stock with a sell recommendation, two have assigned a hold recommendation and seven have assigned a buy recommendation to the company. The average twelve-month price objective among brokers that have issued a report on the stock in the last year is $122.6250.

PATK has been the subject of several recent analyst reports. Robert W. Baird set a $110.00 target price on shares of Patrick Industries in a report on Friday, May 1st. Roth Mkm set a $128.00 price objective on shares of Patrick Industries in a report on Tuesday, May 5th. Benchmark decreased their price objective on shares of Patrick Industries from $150.00 to $135.00 and set a "buy" rating for the company in a report on Friday, May 1st. Zacks Research cut shares of Patrick Industries from a "hold" rating to a "strong sell" rating in a report on Tuesday, May 5th. Finally, KeyCorp decreased their price objective on shares of Patrick Industries from $140.00 to $125.00 and set an "overweight" rating for the company in a report on Friday, May 1st.

Insider Activity

In related news, CEO Andy L. Nemeth acquired 10,000 shares of the firm's stock in a transaction dated Tuesday, May 5th. The stock was purchased at an average cost of $88.00 per share, with a total value of $880,000.00. Following the completion of the acquisition, the chief executive officer directly owned 287,745 shares of the company's stock, valued at approximately $25,321,560. This trade represents a 3.60% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director M Scott Welch acquired 10,050 shares of the firm's stock in a transaction dated Tuesday, May 5th. The shares were bought at an average cost of $88.23 per share, with a total value of $886,711.50. Following the completion of the acquisition, the director directly owned 156,000 shares of the company's stock, valued at $13,763,880. The trade was a 6.89% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders bought 37,410 shares of company stock valued at $3,550,239 over the last three months. Corporate insiders own 3.80% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in PATK. Vanguard Group Inc. increased its holdings in Patrick Industries by 0.7% during the fourth quarter. Vanguard Group Inc. now owns 2,470,559 shares of the construction company's stock valued at $267,883,000 after buying an additional 16,959 shares during the last quarter. Wellington Management Group LLP increased its holdings in Patrick Industries by 19.9% during the fourth quarter. Wellington Management Group LLP now owns 2,217,107 shares of the construction company's stock valued at $240,401,000 after buying an additional 367,802 shares during the last quarter. Capital Research Global Investors increased its holdings in Patrick Industries by 24.4% during the fourth quarter. Capital Research Global Investors now owns 1,137,530 shares of the construction company's stock valued at $123,342,000 after buying an additional 223,014 shares during the last quarter. Geode Capital Management LLC increased its holdings in Patrick Industries by 0.6% during the fourth quarter. Geode Capital Management LLC now owns 819,488 shares of the construction company's stock valued at $88,870,000 after buying an additional 4,816 shares during the last quarter. Finally, Price T Rowe Associates Inc. MD increased its holdings in Patrick Industries by 17.7% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 748,904 shares of the construction company's stock valued at $81,205,000 after buying an additional 112,766 shares during the last quarter. 93.29% of the stock is owned by hedge funds and other institutional investors.

Patrick Industries Price Performance

Shares of Patrick Industries stock opened at $90.87 on Monday. The company has a debt-to-equity ratio of 1.16, a quick ratio of 1.04 and a current ratio of 2.71. The stock has a market capitalization of $2.99 billion, a PE ratio of 23.30 and a beta of 1.12. Patrick Industries has a 52-week low of $82.24 and a 52-week high of $148.50. The company has a 50-day simple moving average of $103.88 and a two-hundred day simple moving average of $113.22.

Patrick Industries (NASDAQ:PATK - Get Free Report) last issued its earnings results on Thursday, April 30th. The construction company reported $1.10 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.08 by $0.02. The business had revenue of $997.17 million during the quarter, compared to analysts' expectations of $989.06 million. Patrick Industries had a net margin of 3.46% and a return on equity of 13.24%. The business's revenue for the quarter was down .6% compared to the same quarter last year. During the same period in the previous year, the company earned $1.11 earnings per share. On average, analysts anticipate that Patrick Industries will post 4.94 EPS for the current fiscal year.

Patrick Industries Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, June 8th. Stockholders of record on Tuesday, May 26th will be issued a dividend of $0.47 per share. This represents a $1.88 annualized dividend and a dividend yield of 2.1%. The ex-dividend date of this dividend is Tuesday, May 26th. Patrick Industries's payout ratio is presently 48.21%.

Patrick Industries Company Profile

Patrick Industries, Inc is a leading manufacturer and distributor of component products and building materials for the recreational vehicle (RV), manufactured housing, marine and industrial markets. The company supplies a broad array of interior and exterior products, including cabinetry, countertops, flooring, wall panels and decorative trim. Patrick Industries also offers engineered composites, adhesives, sealants and insulation solutions that cater to both original equipment manufacturers (OEMs) and aftermarket customers across North America.

Founded in 1959 and headquartered in Elkhart, Indiana, Patrick Industries began as a small distributor of hardwood and millwork products.

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