Elbit Systems (NASDAQ:ESLT) Shares Gap Up - Time to Buy?

Key Points

• Elbit Systems shares jumped, opening at $704.89 versus a prior close of $667.67, but remained below their 50-day and 200-day moving averages.
• Analyst sentiment is mixed but leans neutral: five analysts rate the stock “Hold,” with a consensus price target of $840, while recent actions included an upgrade to “Buy” and a price-target cut by JPMorgan.
• The company exceeded quarterly expectations, reporting $4.14 in EPS on $2.29 billion in revenue, and declared a quarterly dividend of $1.00 per share, equal to a 0.6% yield.

Shares of Elbit Systems Ltd. (NASDAQ:ESLT - Get Free Report) gapped up prior to trading on Wednesday. The stock had previously closed at $667.67, but opened at $704.89. Elbit Systems shares last traded at $702.0290, with a volume of 41,738 shares traded.

Analysts Set New Price Targets

ESLT has been the subject of several research analyst reports. Wall Street Zen upgraded Elbit Systems from a "hold" rating to a "buy" rating in a research report on Saturday, September 26th. Weiss Ratings raised shares of Elbit Systems from a "hold (c)" rating to a "hold (c+)" rating in a research note on Thursday, October 8th. Zacks Research cut shares of Elbit Systems from a "strong-buy" rating to a "hold" rating in a report on Wednesday, June 24th. JPMorgan Chase & Co. reduced their price target on shares of Elbit Systems from $950.00 to $885.00 and set a "neutral" rating on the stock in a research note on Wednesday, August 19th. Finally, Morgan Stanley set a $845.00 price objective on shares of Elbit Systems in a report on Wednesday, July 15th. Five equities research analysts have rated the stock with a Hold rating. According to data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus target price of $840.00.

Elbit Systems Price Performance

The company has a debt-to-equity ratio of 0.04, a current ratio of 1.39 and a quick ratio of 0.89. The firm has a fifty day moving average of $733.15 and a two-hundred day moving average of $788.47. The stock has a market capitalization of $31.02 billion, a P/E ratio of 52.56, a P/E/G ratio of 2.68 and a beta of 0.13.

Elbit Systems (NASDAQ:ESLT - Get Free Report) last announced its quarterly earnings results on Tuesday, August 11th. The aerospace company reported $4.14 earnings per share for the quarter, topping the consensus estimate of $3.69 by $0.45. The firm had revenue of $2.29 billion during the quarter, compared to analysts' expectations of $2.25 billion. Elbit Systems had a net margin of 7.44% and a return on equity of 16.66%. On average, analysts predict that Elbit Systems Ltd. will post 15.86 EPS for the current year.

Elbit Systems Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, October 26th. Stockholders of record on Tuesday, October 13th will be given a $1.00 dividend. This represents a $4.00 annualized dividend and a dividend yield of 0.6%. The ex-dividend date of this dividend is Tuesday, October 13th. Elbit Systems's payout ratio is presently 25.09%.

Institutional Investors Weigh In On Elbit Systems

Hedge funds have recently made changes to their positions in the stock. Harel Insurance Investments & Financial Services Ltd. grew its stake in Elbit Systems by 206.1% during the 1st quarter. Harel Insurance Investments & Financial Services Ltd. now owns 269,599 shares of the aerospace company's stock valued at $228,914,000 after purchasing an additional 181,524 shares during the last quarter. Jennison Associates LLC purchased a new position in shares of Elbit Systems in the first quarter worth about $128,135,000. Clal Insurance Enterprises Holdings Ltd raised its stake in shares of Elbit Systems by 4.5% in the first quarter. Clal Insurance Enterprises Holdings Ltd now owns 1,619,783 shares of the aerospace company's stock worth $1,351,958,000 after purchasing an additional 69,165 shares during the last quarter. Meitav Investment House Ltd. raised its stake in shares of Elbit Systems by 8.9% in the first quarter. Meitav Investment House Ltd. now owns 397,089 shares of the aerospace company's stock worth $332,985,000 after purchasing an additional 32,617 shares during the last quarter. Finally, Swiss National Bank lifted its holdings in shares of Elbit Systems by 27.7% during the first quarter. Swiss National Bank now owns 102,740 shares of the aerospace company's stock worth $85,619,000 after purchasing an additional 22,315 shares during the period. 17.88% of the stock is currently owned by hedge funds and other institutional investors.

Elbit Systems Company Profile

Elbit Systems Ltd. is an Israel-based international defense technology company that develops and supplies integrated solutions for military, homeland security, and commercial aviation customers. Its offerings support airborne, land, naval, and command, control, communications, computers, intelligence, surveillance, and reconnaissance (C4ISR) applications.

The company's products and services include unmanned aircraft systems, electro-optical and night-vision systems, electronic warfare and signals intelligence solutions, communications equipment, tactical radios, artillery and precision munitions, armored vehicle systems, and military training and simulation technologies.

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.