TechnipFMC (NYSE:FTI) Hits New 1-Year High After Better-Than-Expected Earnings

Key Points

• TechnipFMC's shares surged to a new 52-week high of $41.35 after the company reported quarterly earnings of $0.75 EPS, exceeding expectations.
• The company also announced a quarterly dividend of $0.05 per share, with an ex-dividend date of November 18th, reflecting a 0.5% yield.
• TechnipFMC's Board of Directors approved a stock buyback plan to repurchase up to $2.00 billion worth of shares, indicating confidence in the stock's valuation.

TechnipFMC plc (NYSE:FTI - Get Free Report) shares hit a new 52-week high during mid-day trading on Friday after the company announced better than expected quarterly earnings. The stock traded as high as $41.35 and last traded at $40.83, with a volume of 11642139 shares traded. The stock had previously closed at $37.51.

The oil and gas company reported $0.75 EPS for the quarter, beating the consensus estimate of $0.65 by $0.10. TechnipFMC had a return on equity of 29.42% and a net margin of 9.60%.The company had revenue of $2.65 billion for the quarter, compared to analyst estimates of $2.60 billion. During the same quarter in the prior year, the company earned $0.64 EPS. The firm's revenue for the quarter was up 12.7% compared to the same quarter last year. TechnipFMC has set its FY 2025 guidance at EPS.

TechnipFMC Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, December 3rd. Investors of record on Tuesday, November 18th will be given a dividend of $0.05 per share. The ex-dividend date is Tuesday, November 18th. This represents a $0.20 annualized dividend and a dividend yield of 0.5%. TechnipFMC's dividend payout ratio is presently 9.43%.

TechnipFMC announced that its Board of Directors has approved a stock repurchase plan on Wednesday, October 22nd that allows the company to buyback $2.00 billion in outstanding shares. This buyback authorization allows the oil and gas company to reacquire up to 13.3% of its stock through open market purchases. Stock buyback plans are often an indication that the company's board of directors believes its shares are undervalued.

Wall Street Analyst Weigh In

Several brokerages recently commented on FTI. Susquehanna upped their target price on TechnipFMC from $40.00 to $45.00 and gave the company a "positive" rating in a research report on Friday, July 25th. Weiss Ratings reiterated a "buy (b)" rating on shares of TechnipFMC in a report on Wednesday, October 8th. BTIG Research lowered TechnipFMC from a "buy" rating to a "neutral" rating in a report on Monday, July 14th. Zacks Research upgraded TechnipFMC from a "hold" rating to a "strong-buy" rating in a report on Friday, October 10th. Finally, BNP Paribas set a $47.00 price target on TechnipFMC and gave the stock an "outperform" rating in a report on Friday, October 10th. Three equities research analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and two have issued a Hold rating to the company's stock. According to MarketBeat.com, the stock has a consensus rating of "Buy" and a consensus target price of $41.93.

Insider Transactions at TechnipFMC

In other news, CEO Douglas J. Pferdehirt sold 80,304 shares of the stock in a transaction that occurred on Monday, September 22nd. The stock was sold at an average price of $38.35, for a total value of $3,079,658.40. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Thierry Conti sold 50,000 shares of the stock in a transaction that occurred on Monday, September 22nd. The stock was sold at an average price of $38.64, for a total value of $1,932,000.00. Following the completion of the sale, the insider directly owned 56,352 shares of the company's stock, valued at approximately $2,177,441.28. This trade represents a 47.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 876,603 shares of company stock valued at $33,832,588 over the last ninety days. 1.80% of the stock is currently owned by insiders.

Institutional Trading of TechnipFMC

Institutional investors and hedge funds have recently modified their holdings of the business. Bank of New York Mellon Corp increased its position in shares of TechnipFMC by 0.6% during the first quarter. Bank of New York Mellon Corp now owns 1,462,924 shares of the oil and gas company's stock valued at $46,360,000 after acquiring an additional 8,823 shares during the last quarter. Cambridge Investment Research Advisors Inc. purchased a new stake in shares of TechnipFMC during the first quarter valued at approximately $205,000. Credit Agricole S A increased its position in shares of TechnipFMC by 170.3% during the first quarter. Credit Agricole S A now owns 94,097 shares of the oil and gas company's stock valued at $2,982,000 after acquiring an additional 59,281 shares during the last quarter. Stephens Investment Management Group LLC increased its position in shares of TechnipFMC by 0.8% during the first quarter. Stephens Investment Management Group LLC now owns 3,439,595 shares of the oil and gas company's stock valued at $109,001,000 after acquiring an additional 27,884 shares during the last quarter. Finally, OMNI 360 Wealth Inc. purchased a new stake in shares of TechnipFMC during the second quarter valued at approximately $226,000. 96.58% of the stock is owned by hedge funds and other institutional investors.

TechnipFMC Stock Up 8.9%

The company has a quick ratio of 0.86, a current ratio of 1.10 and a debt-to-equity ratio of 0.15. The company has a market capitalization of $16.78 billion, a PE ratio of 19.26, a P/E/G ratio of 1.10 and a beta of 1.04. The stock has a 50-day moving average of $37.86 and a 200 day moving average of $33.89.

TechnipFMC Company Profile

TechnipFMC plc engages in the energy projects, technologies, and systems and services businesses in Europe, Central Asia, North America, Latin America, the Asia Pacific, Africa, the Middle East, and internationally. It operates through two segments: Subsea and Surface Technologies. The Subsea segment engages in the design, engineering, procurement, manufacturing, fabrication, installation, and life of field services for subsea systems, subsea field infrastructure, and subsea pipe systems used in oil and gas production and transportation.

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