Preformed Line Products (NASDAQ:PLPC) Trading Down 5.2% - Should You Sell?

Key Points

• Shares fell 5.2% intraday to about $304.19 on Thursday on very light trading (≈6,173 shares, roughly 96% below the average daily volume), after a prior close of $320.85.
• Analyst coverage is mixed: the consensus rating is Strong Buy but the consensus price target is $275, which is notably below the current share price, with recent reports ranging from downgrades to upgrades.
• Fundamentals show an EPS beat ($1.72 vs. $1.64) but slight revenue shortfall, a $1.45B market cap, low debt and strong liquidity, and a modest quarterly dividend of $0.21 (≈0.3% yield).

Shares of Preformed Line Products Company (NASDAQ:PLPC - Get Free Report) were down 5.2% during trading on Thursday . The stock traded as low as $308.00 and last traded at $304.1920. Approximately 6,173 shares were traded during trading, a decline of 96% from the average daily volume of 142,228 shares. The stock had previously closed at $320.85.

Analyst Ratings Changes

Several analysts recently commented on PLPC shares. Weiss Ratings restated a "buy (b-)" rating on shares of Preformed Line Products in a report on Friday, March 27th. Wall Street Zen cut shares of 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 target on shares of Preformed Line Products in a report on Monday, March 9th. Finally, Freedom Capital upgraded shares of Preformed Line Products from a "hold" rating to a "strong-buy" rating in a report on Monday, March 9th. One analyst has rated the stock with a Strong Buy rating and one has given a Buy rating to the stock. According to MarketBeat.com, the company has a consensus rating of "Strong Buy" and a consensus price target of $275.00.

Preformed Line Products Stock Performance

The stock has a market cap of $1.45 billion, a P/E ratio of 41.53 and a beta of 0.75. The firm's 50-day moving average is $272.65 and its two-hundred day moving average is $238.62. 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, March 4th. The technology company reported $1.72 EPS for the quarter, beating analysts' consensus estimates of $1.64 by $0.08. Preformed Line Products had a net margin of 5.27% and a return on equity of 9.36%. The company had revenue of $173.11 million for the quarter, compared to analyst estimates of $177.00 million.

Preformed Line Products Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, April 20th. Shareholders of record on Wednesday, April 1st will be given a dividend of $0.21 per share. The ex-dividend date of this dividend is Wednesday, April 1st. This represents a $0.84 dividend on an annualized basis and a yield of 0.3%. Preformed Line Products's payout ratio is currently 11.76%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of PLPC. Prudential Financial Inc. acquired a new position in Preformed Line Products during the 2nd quarter worth $383,000. Hsbc Holdings PLC bought a new position in Preformed Line Products during the second quarter worth $286,000. Arrowstreet Capital Limited Partnership increased its position in Preformed Line Products by 45.4% during the second quarter. Arrowstreet Capital Limited Partnership now owns 23,497 shares of the technology company's stock worth $3,755,000 after acquiring an additional 7,332 shares during the period. First Trust Advisors LP increased its position in Preformed Line Products by 7.4% during the second quarter. First Trust Advisors LP now owns 24,412 shares of the technology company's stock worth $3,901,000 after acquiring an additional 1,689 shares during the period. Finally, Jump Financial LLC bought a new position in Preformed Line Products during the second quarter worth $585,000. 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.

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