Preformed Line Products (NASDAQ:PLPC) Shares Up 8.6% - Still a Buy?

Key Points

• Shares jumped 8.6% intraday to about $336.42 on Tuesday, but the move occurred on just 6,710 shares traded—roughly a 95% decline from average volume, suggesting the rally was on light volume.
• Several firms have downgraded PLPC recently, leaving a MarketBeat consensus rating of Hold and a consensus price target of $275, down from prior buy/strong-buy calls.
• Company fundamentals are mixed: Q4/Q1 EPS of $2.14 beat estimates by $0.32 while revenue of $176.3M slightly missed expectations; market cap is about $1.73B, debt is low, and the dividend yield is roughly 0.2%.

Shares of Preformed Line Products Company (NASDAQ:PLPC - Get Free Report) shot up 8.6% during mid-day trading on Tuesday . The stock traded as high as $330.22 and last traded at $336.4180. 6,710 shares changed hands during trading, a decline of 95% from the average session volume of 144,610 shares. The stock had previously closed at $309.76.

Analysts Set New Price Targets

Several research firms have issued reports on PLPC. Wall Street Zen downgraded Preformed Line Products from a "buy" rating to a "hold" rating in a report on Saturday, March 7th. Loop Capital set a $275.00 price objective on Preformed Line Products in a report on Monday, March 9th. Weiss Ratings downgraded Preformed Line Products from a "buy (b-)" rating to a "hold (c+)" rating in a report on Wednesday, April 29th. Finally, Freedom Capital downgraded Preformed Line Products from a "strong-buy" rating to a "hold" rating in a report on Friday. Two equities research analysts have rated the stock with a Hold rating, According to data from MarketBeat, Preformed Line Products presently has an average rating of "Hold" and a consensus price target of $275.00.

Preformed Line Products Stock Performance

The company has a market cap of $1.73 billion, a P/E ratio of 51.00 and a beta of 0.88. The company has a 50 day moving average price of $285.91 and a 200-day moving average price of $248.94. The company has a quick ratio of 1.87, a current ratio of 3.17 and a debt-to-equity ratio of 0.07.

Preformed Line Products (NASDAQ:PLPC - Get Free Report) last released its quarterly earnings results on Wednesday, April 29th. The technology company reported $2.14 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.82 by $0.32. Preformed Line Products had a return on equity of 8.99% and a net margin of 4.92%.The company had revenue of $176.28 million during the quarter, compared to analysts' expectations of $178.00 million.

Preformed Line Products Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Monday, April 20th. Stockholders of record on Wednesday, April 1st were issued a $0.21 dividend. The ex-dividend date was Wednesday, April 1st. This represents a $0.84 annualized dividend and a dividend yield of 0.2%. Preformed Line Products's dividend payout ratio is 12.09%.

Institutional Trading of Preformed Line Products

Several institutional investors have recently modified their holdings of the company. Principal Financial Group Inc. lifted its holdings in shares of Preformed Line Products by 9.9% in the first quarter. Principal Financial Group Inc. now owns 11,548 shares of the technology company's stock valued at $3,127,000 after buying an additional 1,038 shares during the period. Fifth Third Bancorp acquired a new stake in shares of Preformed Line Products in the first quarter valued at $85,000. Sequoia Financial Advisors LLC acquired a new stake in shares of Preformed Line Products in the first quarter valued at $255,000. Hsbc Holdings PLC acquired a new stake in shares of Preformed Line Products in the first quarter valued at $417,000. Finally, Azzad Asset Management Inc. ADV acquired a new stake in shares of Preformed Line Products during the first quarter worth $358,000. Institutional investors and hedge funds own 41.19% of the company's stock.

Preformed Line Products Company Profile

Preformed Line Products Company NASDAQ: PLPC is a global manufacturer of engineered solutions for electric, telecommunications and industrial infrastructure networks. The company designs, engineers and produces a broad portfolio of products, including preformed wire and cable fittings, anchors, suspension and tension clamps, splice closures and optical fiber hardware. These durable components support the installation, repair and maintenance of overhead and underground systems, helping utilities and contractors manage reliability and safety in demanding environments.

Founded in 1947 and headquartered in Mayfield Village, Ohio, Preformed Line Products operates manufacturing facilities and distribution centers across North America, Europe and the Asia Pacific region.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.