Titan America (NYSE:TTAM) Sets New 52-Week Low After Earnings Miss

Key Points

• Titan America missed earnings expectations: Quarterly EPS was $0.22 versus the $0.37 consensus and $0.31 a year earlier. Shares hit a new 52-week low, trading as low as $12.71 after closing previously at $14.30.
• Revenue rose 5.7% year over year to $461.64 million, despite the earnings decline; the company reported a 10.35% net margin and 17.03% return on equity.
• Analyst views remain mixed, with a consensus “Hold” rating and an average price target of $18.10. Titan America also declared a quarterly dividend of $0.04 per share, equivalent to a 1.3% yield.

Titan America SA (NYSE:TTAM - Get Free Report) reached a new 52-week low during trading on Thursday following a weaker than expected earnings announcement. The stock traded as low as $12.71 and last traded at $12.44, with a volume of 167,635 shares changing hands. The stock had previously closed at $14.30.

The company reported $0.22 earnings per share for the quarter, missing the consensus estimate of $0.37 by ($0.15). Titan America had a net margin of 10.35% and a return on equity of 17.03%. The firm had revenue of $461.64 million during the quarter. During the same period last year, the business posted $0.31 EPS. The firm's quarterly revenue was up 5.7% compared to the same quarter last year.

Titan America Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, January 11th. Stockholders of record on Friday, December 18th will be given a $0.04 dividend. The ex-dividend date of this dividend is Friday, December 18th. This represents a $0.16 dividend on an annualized basis and a dividend yield of 1.3%. Titan America's dividend payout ratio (DPR) is presently 16.67%.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on the company. Weiss Ratings lowered Titan America from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Tuesday, October 20th. Stifel Nicolaus decreased their price target on Titan America from $19.00 to $17.00 and set a "hold" rating for the company in a research note on Wednesday, October 28th. Zacks Research downgraded Titan America from a "hold" rating to a "strong sell" rating in a report on Friday, October 16th. Finally, Citigroup dropped their price target on Titan America from $21.00 to $18.00 and set a "buy" rating on the stock in a research note on Friday, October 2nd. Two research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, Titan America presently has a consensus rating of "Hold" and an average price target of $18.10.

Hedge Funds Weigh In On Titan America

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Diamond Hill Capital Management LLC Investment Advisor purchased a new position in shares of Titan America in the second quarter worth about $7,623,000. Renaissance Technologies LLC acquired a new stake in shares of Titan America during the first quarter worth about $1,489,000. Lazard Asset Management LLC purchased a new stake in Titan America in the first quarter valued at approximately $1,452,000. Principal Financial Group Inc. purchased a new stake in Titan America in the first quarter valued at approximately $1,167,000. Finally, Squarepoint Ops LLC acquired a new position in Titan America in the 2nd quarter worth approximately $915,000.

Titan America Trading Down 12.8%

The company has a debt-to-equity ratio of 0.51, a quick ratio of 1.17 and a current ratio of 2.08. The company has a market cap of $2.30 billion, a price-to-earnings ratio of 13.05, a P/E/G ratio of 1.21 and a beta of 1.06. The company's fifty day moving average is $13.96 and its two-hundred day moving average is $15.99.

Titan America Company Profile

Titan America is a building materials company that produces and supplies cement, ready-mix concrete, aggregates and other construction products. Its materials are used in residential, commercial, infrastructure and other construction projects.

The company operates cement manufacturing facilities, distribution terminals, aggregate quarries and ready-mix concrete plants. Its product portfolio also includes concrete masonry products and related materials used by contractors, concrete producers and construction companies.

Titan America serves customers primarily across the eastern and southeastern United States, with operations and distribution capabilities covering markets including Florida, Virginia, the Carolinas, the Mid-Atlantic and the Northeast.

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