Curtiss-Wright (NYSE:CW) Shares Gap Down - Here's What Happened

Key Points

• Curtiss-Wright shares fell 7.7%, opening at $523.45 versus a prior close of $553.35 and later trading near $517. The stock remains below its 50-day and 200-day moving averages.
• Analyst sentiment remains generally positive, with a consensus rating of “Moderate Buy” and an average price target of $768.25, despite recent downgrades and neutral ratings.
• The company exceeded quarterly EPS expectations and reported 5.4% year-over-year revenue growth. Curtiss-Wright also raised its quarterly dividend to $0.26 per share, while insiders recently sold shares.

Curtiss-Wright Corporation (NYSE:CW - Get Free Report)'s share price gapped down before the market opened on Wednesday. The stock had previously closed at $553.35, but opened at $523.45. Curtiss-Wright shares last traded at $517.0380, with a volume of 93,425 shares.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on the stock. Wall Street Zen cut shares of Curtiss-Wright from a "buy" rating to a "hold" rating in a research note on Saturday, August 15th. Morgan Stanley reaffirmed an "overweight" rating and set a $860.00 price target on shares of Curtiss-Wright in a research report on Wednesday, July 15th. Piper Sandler assumed coverage on shares of Curtiss-Wright in a research note on Wednesday, September 2nd. They issued a "neutral" rating and a $665.00 price target for the company. Citigroup lifted their price objective on shares of Curtiss-Wright from $775.00 to $793.00 and gave the company a "neutral" rating in a research report on Wednesday, July 1st. Finally, Deutsche Bank Aktiengesellschaft set a $801.00 price objective on shares of Curtiss-Wright in a research note on Wednesday, August 12th. One investment analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Curtiss-Wright has an average rating of "Moderate Buy" and an average target price of $768.25.

Curtiss-Wright Trading Down 7.7%

The business has a 50 day moving average of $614.29 and a two-hundred day moving average of $689.86. The firm has a market cap of $18.87 billion, a P/E ratio of 34.93, a PEG ratio of 2.44 and a beta of 0.88. The company has a current ratio of 1.60, a quick ratio of 1.12 and a debt-to-equity ratio of 0.27.

Curtiss-Wright (NYSE:CW - Get Free Report) last released its quarterly earnings data on Thursday, August 6th. The aerospace company reported $3.72 EPS for the quarter, beating the consensus estimate of $3.62 by $0.10. The firm had revenue of $924.01 million for the quarter, compared to the consensus estimate of $926.17 million. Curtiss-Wright had a net margin of 14.81% and a return on equity of 20.49%. The company's quarterly revenue was up 5.4% on a year-over-year basis. During the same period in the previous year, the company earned $3.23 earnings per share. Analysts predict that Curtiss-Wright Corporation will post 15.27 earnings per share for the current year.

Curtiss-Wright Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, October 9th. Shareholders of record on Friday, September 25th will be issued a $0.26 dividend. The ex-dividend date of this dividend is Friday, September 25th. This represents a $1.04 annualized dividend and a yield of 0.2%. This is an increase from Curtiss-Wright's previous quarterly dividend of $0.24. Curtiss-Wright's payout ratio is currently 7.16%.

Insider Activity

In related news, EVP John C. Watts sold 1,035 shares of Curtiss-Wright stock in a transaction that occurred on Thursday, August 27th. The stock was sold at an average price of $619.46, for a total transaction of $641,141.10. Following the completion of the sale, the executive vice president directly owned 2,736 shares of the company's stock, valued at approximately $1,694,842.56. This trade represents a 27.45% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Larry D. Wyche sold 100 shares of the business's stock in a transaction on Friday, August 28th. The shares were sold at an average price of $596.74, for a total value of $59,674.00. Following the completion of the sale, the director owned 1,414 shares of the company's stock, valued at $843,790.36. This trade represents a 6.61% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.51% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Curtiss-Wright

A number of institutional investors have recently modified their holdings of the business. BlackRock Inc. bought a new position in Curtiss-Wright during the second quarter worth about $3,448,649,000. Primecap Management Co. CA acquired a new position in shares of Curtiss-Wright during the 2nd quarter worth approximately $390,106,000. Bank of New York Mellon Corp bought a new position in shares of Curtiss-Wright during the second quarter worth approximately $270,458,000. Franklin Resources Inc. increased its holdings in shares of Curtiss-Wright by 61.0% during the fourth quarter. Franklin Resources Inc. now owns 490,489 shares of the aerospace company's stock worth $270,392,000 after purchasing an additional 185,887 shares during the period. Finally, William Blair Investment Management LLC acquired a new stake in shares of Curtiss-Wright in the second quarter valued at approximately $240,442,000. Institutional investors own 82.71% of the company's stock.

Curtiss-Wright Company Profile

Curtiss-Wright Corporation is a diversified manufacturer and service provider serving the aerospace, defense, commercial power and industrial markets. The company develops and produces highly engineered components and systems used in applications where reliability, performance and safety are critical.

Its products and services include aircraft and industrial actuation systems, sensors and controls, electronic components, embedded computing systems, data-acquisition equipment, valves, pumps, motors and other flow-control products.

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