Valmont Industries (NYSE:VMI) Hits New 12-Month High - Should You Buy?

Key Points

• Valmont Industries' stock hit a new 12-month high of $389.29 during trading, closing at $388.20 with a volume of 138,325 shares.
• Analysts have mixed opinions on the stock, with target prices ranging from $380.00 to $480.00 and a consensus rating of "Moderate Buy".
• The company reported $4.88 earnings per share for the last quarter, exceeding expectations, and has declared a quarterly dividend of $0.68 per share.

Valmont Industries, Inc. (NYSE:VMI - Get Free Report)'s stock price reached a new 52-week high during trading on Tuesday . The stock traded as high as $389.29 and last traded at $388.20, with a volume of 138325 shares traded. The stock had previously closed at $382.26.

Analyst Upgrades and Downgrades

VMI has been the subject of several research analyst reports. DA Davidson raised their target price on shares of Valmont Industries from $380.00 to $400.00 and gave the stock a "neutral" rating in a research report on Wednesday, July 23rd. Stifel Nicolaus raised their target price on shares of Valmont Industries from $345.00 to $382.00 and gave the stock a "buy" rating in a research report on Monday, July 21st. Wall Street Zen cut shares of Valmont Industries from a "buy" rating to a "hold" rating in a research report on Sunday, September 7th. Finally, JPMorgan Chase & Co. initiated coverage on shares of Valmont Industries in a research report on Friday. They issued an "overweight" rating and a $480.00 target price for the company. Three analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $420.67.

Valmont Industries Stock Performance

The company has a market capitalization of $7.66 billion, a PE ratio of 36.15 and a beta of 1.14. The business's 50-day moving average is $370.98 and its 200-day moving average is $331.75. The company has a debt-to-equity ratio of 0.48, a quick ratio of 1.44 and a current ratio of 2.15.

Valmont Industries (NYSE:VMI - Get Free Report) last issued its quarterly earnings results on Tuesday, July 22nd. The industrial products company reported $4.88 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $4.78 by $0.10. Valmont Industries had a net margin of 5.98% and a return on equity of 22.10%. The company had revenue of $1.05 billion during the quarter, compared to analysts' expectations of $1.03 billion. During the same period last year, the company posted $4.91 EPS. Valmont Industries's revenue was up 1.0% on a year-over-year basis. Valmont Industries has set its FY 2025 guidance at 17.500-19.500 EPS. On average, research analysts anticipate that Valmont Industries, Inc. will post 18.07 earnings per share for the current year.

Valmont Industries Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, October 15th. Stockholders of record on Friday, September 26th will be paid a $0.68 dividend. The ex-dividend date is Friday, September 26th. This represents a $2.72 dividend on an annualized basis and a dividend yield of 0.7%. Valmont Industries's payout ratio is currently 25.33%.

Insider Activity at Valmont Industries

In other news, CAO Timothy P. Francis sold 2,867 shares of Valmont Industries stock in a transaction that occurred on Friday, August 1st. The shares were sold at an average price of $358.52, for a total value of $1,027,876.84. Following the completion of the sale, the chief accounting officer directly owned 9,746 shares in the company, valued at $3,494,135.92. The trade was a 22.73% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. 1.50% of the stock is owned by corporate insiders.

Institutional Trading of Valmont Industries

Several large investors have recently added to or reduced their stakes in the business. Franklin Resources Inc. grew its position in Valmont Industries by 2.7% during the second quarter. Franklin Resources Inc. now owns 525,890 shares of the industrial products company's stock valued at $171,740,000 after buying an additional 13,578 shares during the period. Dimensional Fund Advisors LP grew its position in Valmont Industries by 1.1% during the first quarter. Dimensional Fund Advisors LP now owns 429,900 shares of the industrial products company's stock valued at $122,682,000 after buying an additional 4,722 shares during the period. Invesco Ltd. grew its position in Valmont Industries by 83.5% during the second quarter. Invesco Ltd. now owns 390,615 shares of the industrial products company's stock valued at $127,563,000 after buying an additional 177,749 shares during the period. Geode Capital Management LLC grew its position in Valmont Industries by 0.4% during the second quarter. Geode Capital Management LLC now owns 354,241 shares of the industrial products company's stock valued at $115,704,000 after buying an additional 1,321 shares during the period. Finally, Impax Asset Management Group plc grew its position in Valmont Industries by 0.8% during the second quarter. Impax Asset Management Group plc now owns 313,588 shares of the industrial products company's stock valued at $102,408,000 after buying an additional 2,500 shares during the period. 87.84% of the stock is currently owned by institutional investors.

Valmont Industries Company Profile

Valmont Industries, Inc operates as manufacturer of products and services for infrastructure and agriculture markets in the United States, Australia, Brazil, and internationally. It operates through two segments, Infrastructure and Agriculture. The company manufactures and distributes steel, pre-stressed concrete, composite structures for electrical transmission, substation, and distribution applications; and designs, engineers, and manufactures metal, steel, wood, aluminum, and composite poles and structures for lighting and transportation applications.

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