Knowles (NYSE:KN) Shares Cross Below Fifty Day Moving Average - Here's What Happened

Key Points

• Knowles shares fell below their 50-day moving average, reaching $35.43 before last trading at $36.11, compared with a 50-day average of $36.20.
• Analyst sentiment remains positive overall, with a consensus “Moderate Buy” rating and an average price target of $40.67; individual targets included $40 from Susquehanna and $44 from Robert W. Baird.
• Knowles exceeded quarterly expectations, reporting $0.33 in EPS versus the $0.31 consensus and revenue of $166.8 million, up 14.3% year over year. Institutional investors own 96.35% of the company, while two insiders recently sold shares.

Knowles Corporation (NYSE:KN - Get Free Report)'s stock price passed below its 50 day moving average during trading on Monday . The stock has a 50 day moving average of $36.20 and traded as low as $35.43. Knowles shares last traded at $36.11, with a volume of 590,887 shares traded.

Analysts Set New Price Targets

A number of research analysts have weighed in on KN shares. Zacks Research raised shares of Knowles from a "hold" rating to a "strong-buy" rating in a research note on Tuesday, July 28th. Susquehanna upped their price target on Knowles from $33.00 to $40.00 and gave the company a "neutral" rating in a research report on Friday, July 24th. Robert W. Baird set a $44.00 price objective on Knowles in a research report on Friday, July 24th. Wall Street Zen lowered Knowles from a "strong-buy" rating to a "buy" rating in a research note on Saturday, August 1st. Finally, Weiss Ratings cut Knowles from a "buy (b-)" rating to a "hold (c+)" rating in a report on Monday, August 31st. One investment analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat.com, Knowles has a consensus rating of "Moderate Buy" and an average price target of $40.67.

Knowles Stock Up 1.6%

The company has a current ratio of 3.20, a quick ratio of 1.75 and a debt-to-equity ratio of 0.16. The company has a market capitalization of $3.08 billion, a PE ratio of 46.90 and a beta of 1.59. The business has a fifty day moving average of $36.20 and a 200 day moving average of $34.07.

Knowles (NYSE:KN - Get Free Report) last issued its quarterly earnings results on Thursday, July 23rd. The communications equipment provider reported $0.33 earnings per share for the quarter, topping the consensus estimate of $0.31 by $0.02. Knowles had a return on equity of 11.45% and a net margin of 10.63%.The company had revenue of $166.80 million for the quarter, compared to the consensus estimate of $156.97 million. During the same quarter in the prior year, the business earned $0.24 EPS. Knowles's revenue was up 14.3% on a year-over-year basis. Knowles has set its Q3 2026 guidance at 0.340-0.380 EPS. Equities research analysts anticipate that Knowles Corporation will post 1.02 EPS for the current year.

Insiders Place Their Bets

In related news, SVP Raymond Cabrera sold 6,178 shares of the business's stock in a transaction on Monday, July 27th. The shares were sold at an average price of $36.28, for a total transaction of $224,137.84. Following the completion of the transaction, the senior vice president owned 127,945 shares in the company, valued at approximately $4,641,844.60. The trade was a 4.61% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Cheryl Shavers sold 6,618 shares of the stock in a transaction on Monday, August 17th. The shares were sold at an average price of $39.27, for a total value of $259,888.86. Following the completion of the transaction, the director directly owned 35,723 shares in the company, valued at $1,402,842.21. This trade represents a 15.63% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 2.24% of the company's stock.

Institutional Investors Weigh In On Knowles

Several institutional investors have recently added to or reduced their stakes in the business. BlackRock Inc. acquired a new stake in Knowles during the 2nd quarter worth $571,614,000. Andar Capital Management HK Ltd acquired a new position in Knowles in the second quarter valued at $117,000,000. Barrow Hanley Mewhinney & Strauss LLC acquired a new position in Knowles in the second quarter valued at $102,398,000. Arrowstreet Capital Limited Partnership grew its holdings in shares of Knowles by 3.3% during the first quarter. Arrowstreet Capital Limited Partnership now owns 809,015 shares of the communications equipment provider's stock worth $20,776,000 after purchasing an additional 25,778 shares during the last quarter. Finally, Bank of America Corp DE acquired a new stake in shares of Knowles during the second quarter worth about $30,158,000. Hedge funds and other institutional investors own 96.35% of the company's stock.

Knowles Company Profile

Knowles Corporation NYSE: KN is a global supplier of advanced audio, electronic and specialty component technologies. The company develops products that enable sound capture, processing and delivery in applications ranging from consumer electronics and communications equipment to medical devices and industrial systems.

Knowles' product portfolio includes microelectromechanical systems (MEMS) microphones, audio processors, speakers and related acoustic components. It also provides capacitors, resistors and other specialty electronic components, as well as precision devices used in medical, defense, aerospace and other demanding applications.

With operations and customers across North America, Europe, Asia and other international markets, Knowles serves manufacturers in the consumer electronics, mobile communications, hearing health, automotive, industrial and aerospace and defense sectors.

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