Valhi (NYSE:VHI) Issues Earnings Results, Misses Expectations By $0.73 EPS

Key Points

• Valhi's earnings report showed a significant miss, with earnings per share of $0.03 compared to analysts' expectations of $0.76, resulting in a shortfall of $0.73.
• The company declared a quarterly dividend of $0.08 per share, with a yield of 2.1%, scheduled to be paid on September 25th.
• Valhi's stock has seen adjustments, with Barclays lowering its price target from $20.00 to $12.00 and changing its rating to "underweight".

Valhi (NYSE:VHI - Get Free Report) posted its earnings results on Thursday. The basic materials company reported $0.03 earnings per share for the quarter, missing analysts' consensus estimates of $0.76 by ($0.73), Zacks reports. The business had revenue of $540.40 million during the quarter. Valhi had a net margin of 4.69% and a return on equity of 7.08%.

Valhi Price Performance

Valhi stock traded up $0.22 during trading hours on Friday, hitting $15.50. 5,231 shares of the stock were exchanged, compared to its average volume of 10,483. The company has a debt-to-equity ratio of 0.37, a quick ratio of 1.29 and a current ratio of 2.67. The stock has a market capitalization of $438.51 million, a P/E ratio of 4.52 and a beta of 1.32. Valhi has a 12 month low of $14.10 and a 12 month high of $41.75. The business's 50-day moving average is $16.62 and its two-hundred day moving average is $17.25.

Valhi Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 25th. Shareholders of record on Friday, September 5th will be paid a dividend of $0.08 per share. This represents a $0.32 annualized dividend and a yield of 2.1%. The ex-dividend date of this dividend is Friday, September 5th. Valhi's dividend payout ratio is currently 7.80%.

Analyst Upgrades and Downgrades

A number of research firms recently weighed in on VHI. Wall Street Zen raised shares of Valhi from a "hold" rating to a "buy" rating in a research note on Tuesday, May 20th. Barclays decreased their price objective on shares of Valhi from $20.00 to $12.00 and set an "underweight" rating on the stock in a research note on Wednesday, May 28th.

Institutional Trading of Valhi

An institutional investor recently raised its position in Valhi stock. Geode Capital Management LLC lifted its stake in shares of Valhi, Inc. (NYSE:VHI - Free Report) by 3.6% during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 56,110 shares of the basic materials company's stock after purchasing an additional 1,933 shares during the period. Geode Capital Management LLC owned approximately 0.20% of Valhi worth $907,000 at the end of the most recent reporting period. Institutional investors own 3.83% of the company's stock.

Valhi Company Profile

Valhi, Inc engages in the chemicals, component products, and real estate management and development businesses in Europe, North America, the Asia Pacific, and internationally. The company's Chemicals segment produces and markets titanium dioxide pigments (TiO2), which are white inorganic pigments used in various applications by paint, plastics, decorative laminate, and paper manufacturers.

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