Astec Industries (NASDAQ:ASTE) Reaches New 1-Year Low Following Weak Earnings

Key Points

• Astec Industries shares hit a new 52-week low after quarterly results missed expectations: EPS was a loss of $0.01 versus consensus earnings of $0.47, while revenue of $352.4 million fell short of the $375.5 million estimate.
• The company declared a quarterly dividend of $0.13 per share, equivalent to $0.52 annually and a 1.4% yield.
• Analyst views were mixed, though MarketBeat reported a consensus “Buy” rating; two analysts rated the stock a Strong Buy and two rated it Hold.

Shares of Astec Industries, Inc. (NASDAQ:ASTE - Get Free Report) hit a new 52-week low on Thursday after the company announced weaker than expected quarterly earnings. The company traded as low as $35.20 and last traded at $38.3050, with a volume of 24,754 shares changing hands. The stock had previously closed at $39.30.

The industrial products company reported ($0.01) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.47 by ($0.48). The firm had revenue of $352.40 million for the quarter, compared to analyst estimates of $375.47 million. Astec Industries had a net margin of 1.26% and a return on equity of 10.26%. During the same period in the previous year, the business posted ($0.18) EPS.

Astec Industries Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, December 4th. Stockholders of record on Monday, November 16th will be issued a dividend of $0.13 per share. The ex-dividend date is Monday, November 16th. This represents a $0.52 dividend on an annualized basis and a dividend yield of 1.4%. Astec Industries's dividend payout ratio (DPR) is currently 61.18%.

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on ASTE shares. Weiss Ratings reiterated a "hold (c)" rating on shares of Astec Industries in a report on Monday. Zacks Research raised Astec Industries from a "strong sell" rating to a "hold" rating in a research report on Monday, October 5th. Two equities research analysts have rated the stock with a Strong Buy rating and two have issued a Hold rating to the stock. According to MarketBeat, the company currently has a consensus rating of "Buy".

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the company. BlackRock Inc. acquired a new position in Astec Industries during the 2nd quarter valued at $212,732,000. Dimensional Fund Advisors LP grew its position in Astec Industries by 1.6% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,433,501 shares of the industrial products company's stock worth $77,176,000 after purchasing an additional 22,154 shares during the last quarter. Heartland Advisors Inc. acquired a new stake in Astec Industries in the 2nd quarter worth $14,783,000. Bank of New York Mellon Corp bought a new position in shares of Astec Industries during the 2nd quarter worth about $13,538,000. Finally, Assenagon Asset Management S.A. increased its holdings in shares of Astec Industries by 105.5% during the 3rd quarter. Assenagon Asset Management S.A. now owns 301,598 shares of the industrial products company's stock worth $12,136,000 after purchasing an additional 154,802 shares during the period. Institutional investors own 93.16% of the company's stock.

Astec Industries Stock Performance

The firm's fifty day moving average price is $40.70 and its 200-day moving average price is $50.51. The company has a market cap of $857.20 million, a P/E ratio of 43.81, a P/E/G ratio of 1.09 and a beta of 1.37. The company has a current ratio of 2.52, a quick ratio of 1.10 and a debt-to-equity ratio of 0.53.

Astec Industries Company Profile

Astec Industries, Inc NASDAQ: ASTE designs, engineers and manufactures equipment used in the construction of roads, bridges and other infrastructure. The company serves businesses involved in the production and processing of aggregates, asphalt, concrete and other construction materials.

Its product portfolio includes asphalt plants and related equipment, concrete production systems, aggregate crushing, screening and material-handling equipment, wood-processing equipment, and machinery used in road construction and rehabilitation.

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