Quaker Houghton (NYSE:KWR) Raised to "Strong-Buy" at Zacks Research

Key Points

• Zacks Research upgraded Quaker Houghton to “strong buy” from “hold.” Other analysts have also raised ratings or price targets, with the stock carrying a consensus “buy” rating and an average target of $187.67.
• Quaker Houghton reported quarterly EPS of $2.19, exceeding the $1.66 estimate, while revenue rose 10.2% year over year to $532.55 million.
• The company authorized a $250 million share-repurchase program, allowing it to buy back up to 10.1% of outstanding shares; KWR recently traded at $170, up 1.6%.

Quaker Houghton (NYSE:KWR - Get Free Report) was upgraded by investment analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a report released on Thursday,Zacks.com reports.

Several other brokerages have also recently issued reports on KWR. Truist Financial reaffirmed a "buy" rating and set a $190.00 price objective (up from $172.00) on shares of Quaker Houghton in a report on Monday, August 3rd. Wall Street Zen raised Quaker Houghton from a "hold" rating to a "buy" rating in a report on Saturday, August 1st. Royal Bank Of Canada raised their price target on Quaker Houghton from $177.00 to $198.00 and gave the company an "outperform" rating in a research report on Monday. Seaport Research Partners raised Quaker Houghton from a "neutral" rating to a "buy" rating and set a $175.00 price target for the company in a research note on Friday, April 17th. Finally, Weiss Ratings upgraded shares of Quaker Houghton from a "sell (d+)" rating to a "hold (c)" rating in a research report on Monday. One equities research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has an average rating of "Buy" and a consensus price target of $187.67.

Quaker Houghton Stock Up 1.6%

KWR stock opened at $170.00 on Thursday. The company has a current ratio of 2.46, a quick ratio of 1.70 and a debt-to-equity ratio of 0.62. The company's 50-day moving average price is $152.25 and its 200 day moving average price is $146.21. Quaker Houghton has a 52 week low of $112.18 and a 52 week high of $183.01. The company has a market cap of $2.93 billion, a P/E ratio of 30.30, a P/E/G ratio of 1.21 and a beta of 1.40.

Quaker Houghton (NYSE:KWR - Get Free Report) last issued its earnings results on Thursday, July 30th. The specialty chemicals company reported $2.19 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.66 by $0.53. Quaker Houghton had a net margin of 4.94% and a return on equity of 9.55%. The company had revenue of $532.55 million during the quarter, compared to analysts' expectations of $504.63 million. During the same period last year, the company posted $1.71 earnings per share. The firm's quarterly revenue was up 10.2% compared to the same quarter last year. On average, research analysts expect that Quaker Houghton will post 7.59 earnings per share for the current fiscal year.

Quaker Houghton announced that its board has approved a share repurchase plan on Wednesday, May 13th that authorizes the company to buyback $250.00 million in outstanding shares. This buyback authorization authorizes the specialty chemicals company to buy up to 10.1% of its shares through open market purchases. Shares buyback plans are typically an indication that the company's leadership believes its shares are undervalued.

Insider Transactions at Quaker Houghton

In other Quaker Houghton news, EVP Jeewat Bijlani sold 731 shares of the company's stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $145.77, for a total value of $106,557.87. Following the transaction, the executive vice president directly owned 6,748 shares in the company, valued at approximately $983,655.96. This represents a 9.77% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director William H. Osborne sold 600 shares of the firm's stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $168.31, for a total transaction of $100,986.00. Following the sale, the director directly owned 616 shares in the company, valued at $103,678.96. This represents a 49.34% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 1.00% of the company's stock.

Hedge Funds Weigh In On Quaker Houghton

Institutional investors and hedge funds have recently modified their holdings of the company. AQR Capital Management LLC raised its holdings in Quaker Houghton by 114.3% in the 1st quarter. AQR Capital Management LLC now owns 23,139 shares of the specialty chemicals company's stock valued at $2,860,000 after acquiring an additional 12,341 shares during the last quarter. Integrated Wealth Concepts LLC boosted its holdings in shares of Quaker Houghton by 7.1% during the first quarter. Integrated Wealth Concepts LLC now owns 1,650 shares of the specialty chemicals company's stock worth $204,000 after purchasing an additional 109 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in shares of Quaker Houghton by 4.4% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 8,211 shares of the specialty chemicals company's stock valued at $1,015,000 after purchasing an additional 345 shares during the period. Goldman Sachs Group Inc. grew its position in shares of Quaker Houghton by 29.2% in the first quarter. Goldman Sachs Group Inc. now owns 95,751 shares of the specialty chemicals company's stock valued at $11,836,000 after purchasing an additional 21,665 shares during the period. Finally, Intech Investment Management LLC increased its stake in Quaker Houghton by 44.4% in the first quarter. Intech Investment Management LLC now owns 9,873 shares of the specialty chemicals company's stock valued at $1,220,000 after purchasing an additional 3,034 shares during the last quarter. Hedge funds and other institutional investors own 77.46% of the company's stock.

Quaker Houghton Company Profile

Quaker Houghton is a global provider of process fluids, chemical specialties and sustainable solutions for industrial applications. The company develops and supplies metalworking fluids, coatings, and corrosion inhibitors, as well as heat transfer, lubrication and additive products designed to improve productivity and extend equipment life. Its portfolio addresses a range of end markets including automotive, aerospace, defense, energy, mining, agriculture and heavy industry.

The company traces its roots back to the founding of Quaker Chemical Corporation in 1918 and Houghton International in 1865.

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