Turning Point Brands (NYSE:TPB) Hits New 52-Week High - Time to Buy?

Key Points

• Turning Point Brands' stock reached a new 52-week high of $103.33, indicating strong performance in the market.
• Recent analyst ratings show a mix of opinions, with Zacks Research upgrading the stock to a "strong-buy" while others have given it a "hold" rating.
• The company reported a profit of $0.98 per share in its last quarterly earnings, surpassing expectations and reflecting a 25.1% year-over-year revenue increase.

Turning Point Brands, Inc. (NYSE:TPB - Get Free Report) shares reached a new 52-week high during mid-day trading on Monday . The stock traded as high as $103.31 and last traded at $103.33, with a volume of 14139 shares trading hands. The stock had previously closed at $102.34.

Wall Street Analyst Weigh In

TPB has been the topic of a number of research reports. Wall Street Zen downgraded shares of Turning Point Brands from a "buy" rating to a "hold" rating in a report on Saturday, July 26th. Oppenheimer raised their target price on shares of Turning Point Brands from $85.00 to $98.00 and gave the stock an "outperform" rating in a research note on Thursday, August 7th. Zacks Research upgraded shares of Turning Point Brands from a "hold" rating to a "strong-buy" rating in a research note on Thursday, August 14th. Finally, Needham & Company LLC initiated coverage on shares of Turning Point Brands in a research note on Friday, August 1st. They set a "hold" rating on the stock. Two research analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating and one has given a Hold rating to the stock. According to data from MarketBeat.com, Turning Point Brands currently has an average rating of "Buy" and a consensus price target of $78.83.

Turning Point Brands Trading Up 1.2%

The stock's fifty day moving average price is $89.37 and its 200 day moving average price is $74.34. The company has a debt-to-equity ratio of 1.30, a current ratio of 4.22 and a quick ratio of 2.67. The stock has a market capitalization of $1.87 billion, a P/E ratio of 43.52 and a beta of 0.76.

Turning Point Brands (NYSE:TPB - Get Free Report) last released its quarterly earnings data on Wednesday, August 6th. The company reported $0.98 earnings per share for the quarter, topping analysts' consensus estimates of $0.79 by $0.19. Turning Point Brands had a net margin of 10.34% and a return on equity of 25.32%. The company had revenue of $116.63 million during the quarter, compared to analyst estimates of $107.30 million. During the same period in the prior year, the firm earned $0.68 earnings per share. The firm's revenue for the quarter was up 25.1% compared to the same quarter last year. Research analysts forecast that Turning Point Brands, Inc. will post 2.59 earnings per share for the current year.

Turning Point Brands Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, October 10th. Investors of record on Friday, September 19th will be paid a $0.075 dividend. The ex-dividend date of this dividend is Friday, September 19th. This represents a $0.30 dividend on an annualized basis and a yield of 0.3%. Turning Point Brands's dividend payout ratio is 12.55%.

Insider Activity at Turning Point Brands

In related news, Director Lawrence Wexler sold 25,000 shares of the stock in a transaction that occurred on Tuesday, June 17th. The shares were sold at an average price of $75.94, for a total value of $1,898,500.00. Following the completion of the transaction, the director directly owned 330,186 shares of the company's stock, valued at $25,074,324.84. This trade represents a 7.04% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. 6.60% of the stock is owned by insiders.

Hedge Funds Weigh In On Turning Point Brands

Hedge funds and other institutional investors have recently modified their holdings of the stock. Divisadero Street Capital Management LP raised its position in Turning Point Brands by 187.5% during the 2nd quarter. Divisadero Street Capital Management LP now owns 943,784 shares of the company's stock worth $71,511,000 after buying an additional 615,521 shares during the last quarter. Thrivent Financial for Lutherans increased its holdings in shares of Turning Point Brands by 10.3% during the 2nd quarter. Thrivent Financial for Lutherans now owns 722,897 shares of the company's stock valued at $54,774,000 after purchasing an additional 67,552 shares in the last quarter. Geode Capital Management LLC increased its holdings in shares of Turning Point Brands by 1.4% during the 2nd quarter. Geode Capital Management LLC now owns 509,743 shares of the company's stock valued at $38,629,000 after purchasing an additional 7,104 shares in the last quarter. Arrowstreet Capital Limited Partnership increased its holdings in shares of Turning Point Brands by 15.4% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 330,182 shares of the company's stock valued at $25,018,000 after purchasing an additional 44,179 shares in the last quarter. Finally, Maple Rock Capital Partners Inc. purchased a new position in shares of Turning Point Brands during the 2nd quarter valued at approximately $18,458,000. 96.12% of the stock is owned by hedge funds and other 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.

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