Turning Point Brands (NYSE:TPB) Reaches New 1-Year High - Here's What Happened

Key Points

• Turning Point Brands (NYSE:TPB) reached a new 52-week high of $82.25 during trading, showing a significant increase from its previous close of $79.68.
• Analysts have mixed views on the stock, with Oppenheimer raising its target price to $85.00, while Wall Street Zen downgraded it from a "buy" to a "hold" rating.
• The company reported Q1 earnings of $0.91 per share, exceeding analysts' expectations of $0.75 and achieving a year-over-year revenue increase of 28.2% to $106.44 million.

Turning Point Brands, Inc. (NYSE:TPB - Get Free Report) shares reached a new 52-week high on Wednesday . The stock traded as high as $82.25 and last traded at $81.88, with a volume of 292834 shares. The stock had previously closed at $79.68.

Analyst Upgrades and Downgrades

TPB has been the subject of a number of research reports. Wall Street Zen downgraded Turning Point Brands from a "buy" rating to a "hold" rating in a research note on Saturday, July 26th. Needham & Company LLC initiated coverage on shares of Turning Point Brands in a research report on Friday. They set a "hold" rating for the company. Finally, Oppenheimer upped their target price on shares of Turning Point Brands from $65.00 to $85.00 and gave the stock an "outperform" rating in a research report on Thursday, May 8th. Two research analysts have rated the stock with a hold rating, five have assigned a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, Turning Point Brands presently has a consensus rating of "Moderate Buy" and a consensus price target of $76.67.

Turning Point Brands Stock Down 2.4%

The business's 50 day moving average is $75.64 and its 200-day moving average is $67.42. The company has a debt-to-equity ratio of 1.44, a quick ratio of 2.64 and a current ratio of 4.42. The firm has a market capitalization of $1.45 billion, a price-to-earnings ratio of 35.51 and a beta of 0.66.

Turning Point Brands (NYSE:TPB - Get Free Report) last issued its quarterly earnings results on Wednesday, May 7th. The company reported $0.91 earnings per share for the quarter, beating analysts' consensus estimates of $0.75 by $0.16. Turning Point Brands had a net margin of 10.19% and a return on equity of 27.70%. The firm had revenue of $106.44 million during the quarter, compared to the consensus estimate of $95.75 million. During the same period in the prior year, the firm earned $0.63 EPS. The business's revenue was up 28.2% on a year-over-year basis. Equities analysts anticipate that Turning Point Brands, Inc. will post 2.59 EPS for the current fiscal year.

Turning Point Brands Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, July 1st. Shareholders of record on Friday, June 20th were issued a $0.075 dividend. The ex-dividend date of this dividend was Friday, June 20th. This represents a $0.30 dividend on an annualized basis and a yield of 0.4%. Turning Point Brands's dividend payout ratio is 13.16%.

Insider Transactions at Turning Point Brands

In other news, CAO Brian Wigginton sold 10,800 shares of the firm's stock in a transaction dated Monday, June 16th. The shares were sold at an average price of $75.67, for a total transaction of $817,236.00. Following the completion of the transaction, the chief accounting officer directly owned 10,171 shares of the company's stock, valued at approximately $769,639.57. This trade represents a 51.50% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, SVP Brittani Cushman sold 7,500 shares of Turning Point Brands stock in a transaction dated Tuesday, June 10th. The shares were sold at an average price of $74.36, for a total transaction of $557,700.00. Following the transaction, the senior vice president directly owned 34,687 shares of the company's stock, valued at $2,579,325.32. This represents a 17.78% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 115,300 shares of company stock worth $8,666,867. 6.60% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Turning Point Brands

A number of institutional investors have recently modified their holdings of TPB. GAMMA Investing LLC grew its position in shares of Turning Point Brands by 90.7% during the 2nd quarter. GAMMA Investing LLC now owns 328 shares of the company's stock worth $25,000 after buying an additional 156 shares during the period. Briaud Financial Planning Inc acquired a new position in Turning Point Brands during the second quarter valued at approximately $31,000. Virtus Fund Advisers LLC acquired a new stake in Turning Point Brands in the fourth quarter worth $48,000. Sunbelt Securities Inc. bought a new position in shares of Turning Point Brands during the fourth quarter worth $96,000. Finally, Tower Research Capital LLC TRC boosted its position in shares of Turning Point Brands by 29.0% during the fourth quarter. Tower Research Capital LLC TRC now owns 2,364 shares of the company's stock worth $142,000 after purchasing an additional 532 shares in the last quarter. 96.12% of the stock is owned by institutional investors.

Turning Point Brands Company Profile

Turning Point Brands, Inc, together with its subsidiaries, manufactures, markets, and distributes branded consumer products. The company operates through three segments: Zig-Zag Products, Stoker's Products, and Creative Distribution Solutions. Zig-Zag Products segment markets and distributes rolling papers, tubes, finished cigars, make-your-own cigar wraps, and related products, as well as lighters and other accessories under the Zig-Zag brand.