Global Industrial (NYSE:GIC) Sets New 12-Month High - Still a Buy?

Key Points

• Global Industrial shares reached a new 52-week high of $44.73, with a market capitalization of approximately $1.66 billion and the stock trading above its 50-day and 200-day moving averages.
• Analyst sentiment remains mixed: the consensus rating is “Hold”, with an average price target of $39.00—below the stock’s recent trading level.
• The company reported quarterly revenue above expectations and maintained a $0.28 quarterly dividend, equivalent to a 2.6% yield; however, insiders sold 9,287 shares worth about $364,000 over the past 90 days.

Global Industrial Company (NYSE:GIC - Get Free Report) reached a new 52-week high during mid-day trading on Thursday. The company traded as high as $44.73 and last traded at $43.70, with a volume of 7,514 shares trading hands. The stock had previously closed at $44.09.

Analyst Ratings Changes

Several analysts have commented on the stock. Freedom Broker started coverage on shares of Global Industrial in a research report on Wednesday. They issued a "hold" rating and a $39.00 target price for the company. Wall Street Zen upgraded shares of Global Industrial from a "buy" rating to a "strong-buy" rating in a report on Saturday, August 8th. Finally, Weiss Ratings downgraded shares of Global Industrial from a "buy (b-)" rating to a "hold (c+)" rating in a report on Friday, September 25th. Three investment analysts have rated the stock with a Hold rating. According to MarketBeat, the company presently has a consensus rating of "Hold" and an average target price of $39.00.

Global Industrial Price Performance

The stock's 50 day moving average price is $40.55 and its two-hundred day moving average price is $35.31. The firm has a market capitalization of $1.66 billion, a price-to-earnings ratio of 19.42, a PEG ratio of 1.47 and a beta of 0.77.

Global Industrial (NYSE:GIC - Get Free Report) last posted its earnings results on Tuesday, August 4th. The company reported $0.54 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $0.54. The business had revenue of $386.60 million for the quarter, compared to analyst estimates of $377.40 million. Global Industrial had a net margin of 6.06% and a return on equity of 21.49%. As a group, equities research analysts anticipate that Global Industrial Company will post 1.87 EPS for the current fiscal year.

Global Industrial Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, August 24th. Shareholders of record on Monday, August 17th were issued a dividend of $0.28 per share. This represents a $1.12 dividend on an annualized basis and a yield of 2.6%. The ex-dividend date was Monday, August 17th. Global Industrial's dividend payout ratio is 50.00%.

Insider Transactions at Global Industrial

In other news, VP Thomas Axmacher sold 952 shares of the firm's stock in a transaction dated Thursday, August 13th. The stock was sold at an average price of $39.10, for a total value of $37,223.20. Following the sale, the vice president directly owned 6,414 shares of the company's stock, valued at approximately $250,787.40. This trade represents a 12.92% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, SVP Claudia Hughes sold 4,753 shares of Global Industrial stock in a transaction dated Friday, August 28th. The stock was sold at an average price of $39.78, for a total value of $189,074.34. Following the completion of the transaction, the senior vice president owned 32,167 shares in the company, valued at $1,279,603.26. The trade was a 12.87% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 9,287 shares of company stock valued at $363,904 over the last 90 days. Corporate insiders own 64.51% of the company's stock.

Institutional Trading of Global Industrial

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Tidal Investments LLC bought a new position in shares of Global Industrial during the 2nd quarter worth about $604,000. Corient Private Wealth LP acquired a new position in shares of Global Industrial during the second quarter valued at about $260,000. Odyssean LLC bought a new stake in shares of Global Industrial in the second quarter valued at about $217,000. Grandeur Peak Global Advisors LLC lifted its stake in shares of Global Industrial by 88.0% in the second quarter. Grandeur Peak Global Advisors LLC now owns 42,089 shares of the company's stock valued at $1,408,000 after buying an additional 19,703 shares during the period. Finally, Hsbc Holdings PLC grew its position in Global Industrial by 6.2% during the second quarter. Hsbc Holdings PLC now owns 81,296 shares of the company's stock worth $2,757,000 after buying an additional 4,775 shares in the last quarter. Institutional investors and hedge funds own 31.19% of the company's stock.

About Global Industrial

Global Industrial Company NYSE: GIC is a distributor of industrial and maintenance, repair and operations (MRO) products. The company serves businesses, government agencies and other organizations through digital commerce, direct sales and product catalogs.

Its product range includes material-handling and storage equipment, shelving, cabinets, workstations, safety supplies, janitorial and facility-maintenance products, packaging supplies, tools, HVAC equipment and office furnishings. Global Industrial offers products from its own brands as well as third-party manufacturers, with solutions designed for workplaces, warehouses, commercial facilities and industrial operations.

The company primarily serves customers in the United States and Canada.

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