Standard Motor Products (NYSE:SMP) Share Price Passes Above 200 Day Moving Average - Time to Sell?

Key Points

• Standard Motor Products shares crossed above their 200-day moving average, reaching $38.34 before last trading at $37.56, while the 200-day average stood at $38.12.
• Analysts maintain a cautiously bullish view, with two Buy ratings and one Hold rating producing a consensus “Moderate Buy” recommendation and an average price target of $49.00.
• The company exceeded quarterly expectations, reporting $1.40 in EPS on $526.72 million in revenue, and continues to offer a 3.5% dividend yield; however, insiders sold 18,349 shares worth about $712,000 in the last quarter.

Standard Motor Products, Inc. (NYSE:SMP - Get Free Report) crossed above its two hundred day moving average during trading on Wednesday . The stock has a two hundred day moving average of $38.12 and traded as high as $38.34. Standard Motor Products shares last traded at $37.5620, with a volume of 208,551 shares traded.

Analysts Set New Price Targets

Several equities research analysts have recently weighed in on SMP shares. Wall Street Zen raised shares of Standard Motor Products from a "hold" rating to a "buy" rating in a research note on Sunday, August 16th. Weiss Ratings raised shares of Standard Motor Products from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Tuesday, July 28th. Two analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat.com, Standard Motor Products presently has a consensus rating of "Moderate Buy" and an average price target of $49.00.

Standard Motor Products Stock Performance

The company has a market cap of $839.14 million, a P/E ratio of 16.77 and a beta of 0.82. The firm has a 50 day moving average of $38.69 and a 200-day moving average of $38.12. The company has a quick ratio of 0.80, a current ratio of 2.00 and a debt-to-equity ratio of 0.73.

Standard Motor Products (NYSE:SMP - Get Free Report) last issued its earnings results on Tuesday, August 4th. The auto parts company reported $1.40 earnings per share for the quarter, beating analysts' consensus estimates of $1.39 by $0.01. Standard Motor Products had a return on equity of 13.28% and a net margin of 2.78%.The business had revenue of $526.72 million during the quarter, compared to analyst estimates of $511.68 million. During the same period in the previous year, the company posted $1.13 EPS. As a group, sell-side analysts anticipate that Standard Motor Products, Inc. will post 4.23 EPS for the current fiscal year.

Standard Motor Products Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, September 1st. Shareholders of record on Friday, August 14th were issued a $0.33 dividend. This represents a $1.32 annualized dividend and a yield of 3.5%. The ex-dividend date of this dividend was Friday, August 14th. Standard Motor Products's payout ratio is currently 58.93%.

Insiders Place Their Bets

In related news, EVP Dale Burks sold 9,051 shares of the business's stock in a transaction on Friday, August 14th. The stock was sold at an average price of $38.71, for a total transaction of $350,364.21. Following the transaction, the executive vice president directly owned 56,955 shares in the company, valued at $2,204,728.05. The trade was a 13.71% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. In the last quarter, insiders sold 18,349 shares of company stock worth $712,146. 5.50% of the stock is owned by insiders.

Institutional Investors Weigh In On Standard Motor Products

Several institutional investors have recently added to or reduced their stakes in SMP. BlackRock Inc. acquired a new position in shares of Standard Motor Products during the second quarter valued at about $158,258,000. Royce & Associates LP boosted its stake in Standard Motor Products by 3.4% in the 4th quarter. Royce & Associates LP now owns 1,101,199 shares of the auto parts company's stock worth $40,579,000 after purchasing an additional 36,688 shares in the last quarter. Gamco Investors INC. ET AL grew its position in Standard Motor Products by 1.7% during the 1st quarter. Gamco Investors INC. ET AL now owns 996,928 shares of the auto parts company's stock worth $34,633,000 after purchasing an additional 16,664 shares during the last quarter. Bank of New York Mellon Corp purchased a new stake in Standard Motor Products during the 2nd quarter worth approximately $10,882,000. Finally, Algert Global LLC increased its stake in Standard Motor Products by 11.7% during the 2nd quarter. Algert Global LLC now owns 276,773 shares of the auto parts company's stock valued at $10,786,000 after purchasing an additional 29,063 shares in the last quarter. Institutional investors and hedge funds own 81.26% of the company's stock.

About Standard Motor Products

Standard Motor Products, Inc NYSE: SMP is an automotive parts manufacturer and distributor serving the aftermarket for replacement vehicle components. The company develops and supplies parts used in engine management, ignition, fuel systems, emissions control, sensors, and vehicle temperature-control systems.

Its product portfolio includes electronic and electromechanical components, heating and air-conditioning parts, and other replacement products sold under brands such as Standard, Intermotor, Blue Streak and Four Seasons.

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