Standard Motor Products (NYSE:SMP) Sets New 52-Week High After Earnings Beat

Key Points

• Standard Motor Products hit a new 52-week high of $36.21 after reporting earnings per share of $1.29, exceeding expectations by $0.32, alongside revenues of $493.85 million for the quarter.
• The company announced a quarterly dividend of $0.31, resulting in an annualized dividend yield of 3.4%, with a payout ratio of 88.57%.
• Major hedge funds including Vanguard Group and Gamco Investors have increased their stakes in Standard Motor Products, indicating strong institutional interest in the company.

Shares of Standard Motor Products, Inc. (NYSE:SMP - Get Free Report) reached a new 52-week high on Wednesday after the company announced better than expected quarterly earnings. The company traded as high as $36.09 and last traded at $36.21, with a volume of 121867 shares traded. The stock had previously closed at $34.92.

The auto parts company reported $1.29 earnings per share for the quarter, topping the consensus estimate of $0.97 by $0.32. The company had revenue of $493.85 million during the quarter, compared to the consensus estimate of $450.21 million. Standard Motor Products had a return on equity of 12.98% and a net margin of 2.39%. Standard Motor Products's revenue was up 26.7% compared to the same quarter last year. During the same quarter last year, the business posted $0.98 earnings per share.

Standard Motor Products Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 2nd. Stockholders of record on Friday, August 15th will be given a $0.31 dividend. The ex-dividend date of this dividend is Friday, August 15th. This represents a $1.24 dividend on an annualized basis and a dividend yield of 3.3%. Standard Motor Products's payout ratio is currently 70.45%.

Wall Street Analyst Weigh In

Separately, Wall Street Zen upgraded Standard Motor Products from a "buy" rating to a "strong-buy" rating in a report on Saturday, July 26th.

Hedge Funds Weigh In On Standard Motor Products

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. grew its stake in shares of Standard Motor Products by 4.3% during the 4th quarter. Vanguard Group Inc. now owns 1,655,886 shares of the auto parts company's stock valued at $51,299,000 after buying an additional 69,000 shares during the period. Royce & Associates LP grew its position in Standard Motor Products by 2.1% during the first quarter. Royce & Associates LP now owns 1,309,714 shares of the auto parts company's stock valued at $32,651,000 after acquiring an additional 26,712 shares during the period. Gamco Investors INC. ET AL increased its stake in Standard Motor Products by 10.1% during the first quarter. Gamco Investors INC. ET AL now owns 790,210 shares of the auto parts company's stock worth $19,700,000 after acquiring an additional 72,753 shares during the last quarter. American Century Companies Inc. raised its holdings in shares of Standard Motor Products by 8.2% in the 1st quarter. American Century Companies Inc. now owns 538,266 shares of the auto parts company's stock worth $13,419,000 after purchasing an additional 41,008 shares during the period. Finally, Geode Capital Management LLC increased its position in shares of Standard Motor Products by 1.4% during the second quarter. Geode Capital Management LLC now owns 498,980 shares of the auto parts company's stock worth $15,330,000 after acquiring an additional 6,696 shares during the last quarter. Institutional investors and hedge funds own 81.26% of the company's stock.

Standard Motor Products Stock Performance

The company's fifty day simple moving average is $31.86 and its two-hundred day simple moving average is $29.10. The company has a market capitalization of $822.43 million, a price-to-earnings ratio of 21.25 and a beta of 0.63. The company has a debt-to-equity ratio of 0.86, a quick ratio of 0.87 and a current ratio of 2.16.

About Standard Motor Products

Standard Motor Products, Inc manufactures and distributes replacement automotive parts in the United States and internationally. The company operates through three segments: Vehicle Control, Temperature Control, and Engineered Solutions segments. The company provides components for the ignition, emissions, and fuel delivery systems, such as air injection and induction components, air management valves, regulators and solenoids, exhaust gas recirculation components, fuel injectors and related components, fuel valves, ignition coils, connectors and sockets, modules, pumps, relays and fuses, starting and charging system parts, and vapor and purge components.