Saputo Inc. (TSE:SAP) Receives Consensus Rating of "Moderate Buy" from Brokerages

Key Points

• Saputo Inc. received a consensus rating of "Moderate Buy" from analysts, with one hold and six buy recommendations, and an average 1-year price target of C$34.63.
• The company's insider, Leanne Cutts, purchased 4,000 shares at C$32.93 each, increasing her ownership by 20.51% to a total of 23,500 shares.
• Saputo recently raised its quarterly dividend from $0.19 to $0.20, resulting in an annualized dividend of $0.80 and a yield of 2.4%.

Shares of Saputo Inc. (TSE:SAP - Get Free Report) have received a consensus rating of "Moderate Buy" from the seven analysts that are covering the company, MarketBeat Ratings reports. One equities research analyst has rated the stock with a hold recommendation and six have given a buy recommendation to the company. The average 12-month price objective among brokers that have covered the stock in the last year is C$34.63.

Several equities analysts have issued reports on SAP shares. BMO Capital Markets boosted their price objective on shares of Saputo from C$27.00 to C$34.00 in a research note on Monday, August 11th. TD Securities increased their price target on Saputo from C$35.00 to C$38.00 and gave the stock a "buy" rating in a report on Monday, August 11th. Royal Bank Of Canada lifted their target price on Saputo from C$35.00 to C$37.00 and gave the stock an "outperform" rating in a report on Friday, August 8th. Desjardins raised their price target on Saputo from C$31.00 to C$36.00 and gave the company a "buy" rating in a research report on Monday, August 11th. Finally, National Bankshares lifted their target price on shares of Saputo from C$29.00 to C$35.00 and gave the stock an "outperform" rating in a research report on Monday, August 11th.

Insider Buying and Selling

In other news, insider Leanne Cutts purchased 4,000 shares of the firm's stock in a transaction on Friday, August 15th. The shares were bought at an average cost of C$32.93 per share, with a total value of C$131,720.00. Following the purchase, the insider directly owned 23,500 shares of the company's stock, valued at approximately C$773,855. This trade represents a 20.51% increase in their ownership of the stock. Insiders own 40.45% of the company's stock.

Saputo Price Performance

Shares of Saputo stock traded down C$0.47 during trading hours on Monday, reaching C$33.03. 652,836 shares of the company's stock were exchanged, compared to its average volume of 715,453. The company has a quick ratio of 0.67, a current ratio of 1.53 and a debt-to-equity ratio of 51.68. Saputo has a 1 year low of C$22.59 and a 1 year high of C$34.75. The business has a fifty day moving average of C$31.89 and a two-hundred day moving average of C$28.15. The company has a market capitalization of C$13.61 billion, a P/E ratio of -97.15, a price-to-earnings-growth ratio of 0.56 and a beta of 0.07.

Saputo Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, September 12th. Shareholders of record on Friday, September 12th were issued a dividend of $0.20 per share. This is a boost from Saputo's previous quarterly dividend of $0.19. The ex-dividend date was Tuesday, September 2nd. This represents a $0.80 annualized dividend and a yield of 2.4%. Saputo's dividend payout ratio (DPR) is presently -223.53%.

Saputo Company Profile

Saputo is a global dairy processor domiciled in Canada (28% of fiscal 2022 sales) with operations in the United States (43%), the U.K. (6%), and other international markets (23%). It sells cheese, cream, fluid milk, and other dairy products. In the retail segment (50% of revenue), its mix of brands include Saputo, Armstrong, Cheer, Cathedral City, and Frylight.