TriMas (NASDAQ:TRS) Shares Gap Up After Strong Earnings

Key Points

• TriMas Corporation's shares saw a significant increase, opening at $36.47 after reporting $0.61 EPS for the quarter, exceeding analyst expectations of $0.50.
• The company also announced a quarterly dividend of $0.04 per share, which results in an annualized yield of 0.47%.
• Increased insider buying was noted, with Director Shawn Sedaghat purchasing 410,172 shares, raising their ownership by 29.28% in the company.

TriMas Corporation (NASDAQ:TRS - Get Free Report)'s stock price gapped up prior to trading on Tuesday after the company announced better than expected quarterly earnings. The stock had previously closed at $31.48, but opened at $36.47. TriMas shares last traded at $35.05, with a volume of 125,737 shares trading hands.

The industrial products company reported $0.61 earnings per share for the quarter, beating analysts' consensus estimates of $0.50 by $0.11. TriMas had a net margin of 3.83% and a return on equity of 11.49%. The business had revenue of $274.76 million during the quarter, compared to analyst estimates of $251.18 million. During the same period last year, the business earned $0.43 EPS. The business's revenue was up 14.2% on a year-over-year basis.

TriMas Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, August 12th. Shareholders of record on Tuesday, August 5th will be paid a dividend of $0.04 per share. This represents a $0.16 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date is Tuesday, August 5th. TriMas's dividend payout ratio is 17.58%.

Analysts Set New Price Targets

A number of research analysts have commented on TRS shares. BWS Financial reiterated a "buy" rating and set a $45.00 price objective (up from $40.00) on shares of TriMas in a research note on Wednesday. Wall Street Zen upgraded shares of TriMas from a "hold" rating to a "buy" rating in a research report on Sunday, June 1st.

Insider Transactions at TriMas

In other TriMas news, Director Adrianne Shapira purchased 4,000 shares of TriMas stock in a transaction dated Thursday, June 5th. The shares were bought at an average cost of $25.82 per share, for a total transaction of $103,280.00. Following the transaction, the director owned 8,476 shares in the company, valued at $218,850.32. This represents a 89.37% increase in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Shawn Sedaghat purchased 410,172 shares of TriMas stock in a transaction dated Wednesday, May 21st. The stock was acquired at an average price of $25.43 per share, for a total transaction of $10,430,673.96. Following the completion of the transaction, the director owned 1,810,821 shares in the company, valued at approximately $46,049,178.03. The trade was a 29.28% increase in their position. The disclosure for this purchase can be found here. Over the last 90 days, insiders bought 848,261 shares of company stock worth $21,645,007. Insiders own 14.20% of the company's stock.

Institutional Trading of TriMas

A number of large investors have recently modified their holdings of TRS. Sterling Capital Management LLC increased its holdings in shares of TriMas by 815.5% in the 4th quarter. Sterling Capital Management LLC now owns 1,300 shares of the industrial products company's stock worth $32,000 after acquiring an additional 1,158 shares during the period. State of Wyoming acquired a new stake in shares of TriMas in the 4th quarter worth about $50,000. KLP Kapitalforvaltning AS acquired a new stake in shares of TriMas in the 4th quarter worth about $202,000. Apexium Financial LP acquired a new position in TriMas during the 2nd quarter valued at about $243,000. Finally, Comerica Bank increased its stake in TriMas by 214.5% during the 1st quarter. Comerica Bank now owns 11,119 shares of the industrial products company's stock valued at $261,000 after buying an additional 7,584 shares during the period. Institutional investors and hedge funds own 99.42% of the company's stock.

TriMas Stock Performance

The stock has a market cap of $1.42 billion, a price-to-earnings ratio of 38.37 and a beta of 0.66. The company has a debt-to-equity ratio of 0.59, a quick ratio of 1.49 and a current ratio of 2.59. The company's 50 day simple moving average is $28.94 and its 200 day simple moving average is $25.27.

TriMas Company Profile

TriMas Corporation engages in the design, development, manufacture, and sale of products for consumer products, aerospace, and industrial markets worldwide. The company operates through Packaging, Aerospace, and Specialty Products segments. The Packaging segment offers dispensing products, such as foaming and sanitizer pumps, lotion and hand soap pumps, beverage dispensers, perfume sprayers, and nasal and trigger sprayers; polymeric and steel caps and closures comprising food lids, flip-top and beverage closures, child resistance caps, drum and pail closures, and flexible spouts; polymeric jar products; integrated dispensers; bag-in-box products; and consumable vascular delivery and diagnostic test components under the Rieke, Taplast, Affaba & Ferrari, Intertech, Omega, and Rapak brands.