Exponent (NASDAQ:EXPO) Shares Break Above 200 Day Moving Average - Here's Why

Key Points

• Exponent shares broke above their 200-day moving average, reaching $70.94 and last trading at $70.67, compared with the moving average of $64.05.
• Analyst sentiment is generally positive: JPMorgan raised its price target to $90 with an overweight rating, while the consensus rating is “Moderate Buy” with an $81 target price.
• Exponent exceeded quarterly expectations, reporting $0.60 in EPS versus $0.55 expected and revenue of $171.61 million, up 12% year over year. The company also maintains a quarterly dividend of $0.31, yielding approximately 1.8%.

Exponent, Inc. (NASDAQ:EXPO - Get Free Report)'s share price passed above its 200-day moving average during trading on Monday. The stock has a 200-day moving average of $64.05 and traded as high as $70.94. Exponent shares last traded at $70.67, with a volume of 516,863 shares.

Analyst Ratings Changes

A number of analysts have commented on EXPO shares. JPMorgan Chase & Co. upped their price target on Exponent from $80.00 to $90.00 and gave the stock an "overweight" rating in a research report on Friday, July 31st. Weiss Ratings raised Exponent from a "hold (c-)" rating to a "hold (c)" rating in a research note on Friday. Finally, UBS Group set a $72.00 price objective on Exponent and gave the company a "neutral" rating in a research report on Friday, July 31st. Two equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $81.00.

Exponent Price Performance

The firm has a market capitalization of $3.36 billion, a P/E ratio of 31.69 and a beta of 0.69. The stock's 50-day simple moving average is $68.17 and its two-hundred day simple moving average is $64.05.

Exponent (NASDAQ:EXPO - Get Free Report) last announced its quarterly earnings data on Thursday, July 30th. The business services provider reported $0.60 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.55 by $0.05. The firm had revenue of $171.61 million during the quarter, compared to analysts' expectations of $144.99 million. Exponent had a net margin of 17.67% and a return on equity of 31.48%. The company's revenue for the quarter was up 12.0% compared to the same quarter last year. During the same period in the prior year, the company posted $0.52 earnings per share. On average, analysts forecast that Exponent, Inc. will post 2.31 earnings per share for the current fiscal year.

Exponent Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, September 18th. Shareholders of record on Friday, September 4th were paid a $0.31 dividend. This represents a $1.24 dividend on an annualized basis and a yield of 1.8%. The ex-dividend date was Friday, September 4th. Exponent's dividend payout ratio is presently 55.61%.

Insider Buying and Selling

In other Exponent news, CEO Catherine Corrigan sold 1,707 shares of the firm's stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $66.28, for a total transaction of $113,139.96. Following the sale, the chief executive officer directly owned 129,108 shares of the company's stock, valued at $8,557,278.24. This trade represents a 1.30% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 1.70% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Exponent

Hedge funds and other institutional investors have recently modified their holdings of the stock. GAMMA Investing LLC increased its position in shares of Exponent by 23.5% during the 3rd quarter. GAMMA Investing LLC now owns 3,099 shares of the business services provider's stock valued at $203,000 after purchasing an additional 590 shares during the last quarter. Farther Finance Advisors LLC raised its stake in shares of Exponent by 36.4% in the third quarter. Farther Finance Advisors LLC now owns 959 shares of the business services provider's stock valued at $63,000 after acquiring an additional 256 shares during the period. Fenimore Asset Management Inc raised its stake in shares of Exponent by 0.3% in the third quarter. Fenimore Asset Management Inc now owns 265,398 shares of the business services provider's stock valued at $17,362,000 after acquiring an additional 821 shares during the period. Everhart Financial Group Inc. bought a new stake in shares of Exponent in the 3rd quarter worth about $225,000. Finally, Tidal Investments LLC bought a new stake in shares of Exponent in the 2nd quarter worth about $522,000. Institutional investors own 92.37% of the company's stock.

Exponent Company Profile

Exponent, Inc is an engineering and scientific consulting company that helps clients investigate complex technical issues, manage risk, and improve the safety and performance of products, systems, and structures. Its multidisciplinary consulting services support legal, insurance, industrial, government, and other organizational clients.

The company's services include failure analysis, accident reconstruction, product safety and testing, materials and corrosion analysis, environmental and human health assessments, biomechanics, human factors, electrical and electronic systems analysis, civil and structural engineering, and data sciences.

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