Fomento Economico Mexicano S.A.B. de C.V. (NYSE:FMX) Sees Significant Decrease in Short Interest

Key Points

• Short interest in Fomento Economico Mexicano S.A.B. de C.V. has decreased by 30.1% in August, with total short interest now at 601,700 shares.
• The company increased its quarterly dividend to $1.3625 per share, resulting in an annualized dividend of $5.45 and a dividend yield of 6.4%.
• Fomento Economico Mexicano recently reported a quarterly earnings miss, with earnings per share of $0.42 against an expected $0.91.

Fomento Economico Mexicano S.A.B. de C.V. (NYSE:FMX - Get Free Report) saw a large drop in short interest in August. As of August 15th, there was short interest totaling 601,700 shares, a drop of 30.1% from the July 31st total of 861,300 shares. Based on an average daily volume of 793,300 shares, the short-interest ratio is presently 0.8 days. Currently, 0.3% of the company's stock are sold short. Currently, 0.3% of the company's stock are sold short. Based on an average daily volume of 793,300 shares, the short-interest ratio is presently 0.8 days.

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on FMX. UBS Group increased their target price on Fomento Economico Mexicano from $112.00 to $115.00 and gave the stock a "neutral" rating in a report on Thursday, July 10th. Zacks Research lowered shares of Fomento Economico Mexicano from a "hold" rating to a "strong sell" rating in a report on Friday, September 5th. Citigroup upgraded shares of Fomento Economico Mexicano from a "neutral" rating to a "buy" rating and upped their target price for the stock from $93.00 to $97.00 in a report on Tuesday. Barclays lowered their target price on shares of Fomento Economico Mexicano from $110.00 to $107.00 and set an "equal weight" rating on the stock in a report on Thursday, July 31st. Finally, Morgan Stanley reiterated an "equal weight" rating and set a $97.00 price target (down previously from $132.00) on shares of Fomento Economico Mexicano in a report on Tuesday, August 19th. Three analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, Fomento Economico Mexicano currently has a consensus rating of "Hold" and a consensus price target of $103.80.

Institutional Investors Weigh In On Fomento Economico Mexicano

Several hedge funds have recently added to or reduced their stakes in the company. Caitong International Asset Management Co. Ltd bought a new stake in Fomento Economico Mexicano in the first quarter valued at $29,000. Northwestern Mutual Wealth Management Co. raised its stake in shares of Fomento Economico Mexicano by 2,006.3% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 337 shares of the company's stock worth $35,000 after purchasing an additional 321 shares during the last quarter. Farther Finance Advisors LLC raised its stake in shares of Fomento Economico Mexicano by 41.4% in the second quarter. Farther Finance Advisors LLC now owns 369 shares of the company's stock worth $38,000 after purchasing an additional 108 shares during the last quarter. Steward Partners Investment Advisory LLC bought a new stake in shares of Fomento Economico Mexicano in the second quarter worth approximately $40,000. Finally, Tower Research Capital LLC TRC grew its stake in shares of Fomento Economico Mexicano by 42.5% in the second quarter. Tower Research Capital LLC TRC now owns 439 shares of the company's stock worth $45,000 after acquiring an additional 131 shares during the period. Institutional investors own 61.00% of the company's stock.

Fomento Economico Mexicano Stock Down 0.2%

NYSE:FMX traded down $0.22 on Wednesday, hitting $86.82. The stock had a trading volume of 233,429 shares, compared to its average volume of 669,907. The company has a debt-to-equity ratio of 0.42, a quick ratio of 1.06 and a current ratio of 1.34. The stock has a market cap of $31.06 billion, a P/E ratio of 29.52, a price-to-earnings-growth ratio of 5.08 and a beta of 0.70. Fomento Economico Mexicano has a 1 year low of $81.07 and a 1 year high of $108.74. The firm's fifty day simple moving average is $92.24 and its two-hundred day simple moving average is $98.09.

Fomento Economico Mexicano (NYSE:FMX - Get Free Report) last released its earnings results on Monday, July 28th. The company reported $0.42 earnings per share for the quarter, missing analysts' consensus estimates of $0.91 by ($0.49). Fomento Economico Mexicano had a net margin of 2.60% and a return on equity of 5.32%. The company had revenue of $11.27 billion during the quarter, compared to analysts' expectations of $216.71 billion. Analysts predict that Fomento Economico Mexicano will post 5.32 earnings per share for the current year.

Fomento Economico Mexicano Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, July 28th. Stockholders of record on Thursday, July 17th were issued a $1.3625 dividend. This represents a $5.45 dividend on an annualized basis and a dividend yield of 6.3%. The ex-dividend date of this dividend was Thursday, July 17th. This is a positive change from Fomento Economico Mexicano's previous quarterly dividend of $0.73. Fomento Economico Mexicano's payout ratio is currently 74.83%.

About Fomento Economico Mexicano

Fomento Económico Mexicano, SAB. de C.V., through its subsidiaries, operates as a bottler of Coca-Cola trademark beverages. The company produces, markets, and distributes Coca-Cola trademark beverages in Mexico, Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Venezuela, Brazil, Argentina, and Uruguay.