Astec Industries (NASDAQ:ASTE) Reaches New 52-Week Low - Should You Sell?

Key Points

• Astec Industries shares hit a new 52-week low, trading as low as $39.38 and below both the 50-day and 200-day moving averages, signaling recent weakness.
• Analyst opinions have deteriorated, including downgrades to “hold” and “strong sell,” although the overall consensus remains “Moderate Buy” based on two Strong Buy, one Hold, and one Sell rating.
• The company missed quarterly EPS expectations ($0.94 versus $1.04) despite slightly exceeding revenue estimates, while maintaining a quarterly dividend of $0.13, or a 1.3% annualized yield.

Astec Industries, Inc. (NASDAQ:ASTE - Get Free Report) reached a new 52-week low on Thursday. The stock traded as low as $39.38 and last traded at $39.7110, with a volume of 2059 shares changing hands. The stock had previously closed at $40.24.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently weighed in on ASTE shares. Wall Street Zen lowered Astec Industries from a "buy" rating to a "hold" rating in a research report on Saturday, July 4th. Zacks Research downgraded Astec Industries from a "hold" rating to a "strong sell" rating in a research note on Thursday, August 6th. Finally, Weiss Ratings reiterated a "hold (c)" rating on shares of Astec Industries in a report on Tuesday, August 4th. Two analysts have rated the stock with a Strong Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy".

Astec Industries Price Performance

The company has a current ratio of 2.52, a quick ratio of 1.10 and a debt-to-equity ratio of 0.53. The business's 50-day simple moving average is $44.41 and its two-hundred day simple moving average is $51.15. The firm has a market cap of $914.12 million, a price-to-earnings ratio of 46.74, a P/E/G ratio of 1.10 and a beta of 1.34.

Astec Industries (NASDAQ:ASTE - Get Free Report) last issued its quarterly earnings results on Wednesday, August 5th. The industrial products company reported $0.94 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.04 by ($0.10). Astec Industries had a return on equity of 10.26% and a net margin of 1.26%.The firm had revenue of $408.10 million during the quarter, compared to analyst estimates of $405.50 million. During the same quarter last year, the firm posted $0.72 EPS. As a group, research analysts expect that Astec Industries, Inc. will post 3.36 EPS for the current fiscal year.

Astec Industries Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, August 28th. Investors of record on Monday, August 10th were issued a $0.13 dividend. The ex-dividend date was Monday, August 10th. This represents a $0.52 annualized dividend and a yield of 1.3%. Astec Industries's payout ratio is presently 61.18%.

Institutional Trading of Astec Industries

A number of large investors have recently bought and sold shares of ASTE. BlackRock Inc. acquired a new position in shares of Astec Industries in the 2nd quarter valued at about $212,732,000. Dimensional Fund Advisors LP grew its stake in Astec Industries by 1.6% during the first 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 period. Kennedy Capital Management LLC grew its stake in Astec Industries by 15.2% during the fourth quarter. Kennedy Capital Management LLC now owns 342,563 shares of the industrial products company's stock worth $14,840,000 after purchasing an additional 45,203 shares during the period. Heartland Advisors Inc. bought a new stake in Astec Industries in the second quarter worth approximately $14,783,000. Finally, Bank of New York Mellon Corp bought a new stake in Astec Industries in the second quarter worth approximately $13,538,000. 93.16% of the stock is currently owned by institutional investors and hedge funds.

Astec Industries Company Profile

Astec Industries, Inc designs, engineers and manufactures equipment used in the infrastructure, aggregate processing, mining and energy industries. Its products support the production and handling of asphalt, concrete and other construction materials, as well as road building, recycling and related industrial applications.

The company's product portfolio includes asphalt production plants, concrete plants, rock crushers, screens, feeders, material-handling systems, thermal-processing equipment and industrial heaters.

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