Wall Street Zen Downgrades Valmont Industries (NYSE:VMI) to Hold

Key Points

• Valmont Industries was downgraded by Wall Street Zen from a "buy" rating to a "hold" rating, reflecting a shift in market sentiment.
• Despite the downgrade, Stifel Nicolaus and William Blair have upgraded their ratings on the stock, indicating mixed opinions among analysts.
• Valmont Industries reported quarterly earnings of $4.88 per share, exceeding expectations and showing a 1.0% year-over-year revenue increase.

Wall Street Zen downgraded shares of Valmont Industries (NYSE:VMI - Free Report) from a buy rating to a hold rating in a research report released on Sunday morning.

Several other equities analysts have also issued reports on the company. DA Davidson lifted their price target on Valmont Industries from $380.00 to $400.00 and gave the stock a "neutral" rating in a research report on Wednesday, July 23rd. William Blair raised shares of Valmont Industries from a "market perform" rating to an "outperform" rating in a report on Wednesday, April 23rd. Finally, Stifel Nicolaus increased their price target on shares of Valmont Industries from $345.00 to $382.00 and gave the company a "buy" rating in a report on Monday, July 21st.

Valmont Industries Stock Down 0.3%

VMI traded down $1.19 during trading on Friday, reaching $366.18. The stock had a trading volume of 63,606 shares, compared to its average volume of 160,098. Valmont Industries has a one year low of $250.07 and a one year high of $379.22. The company has a market capitalization of $7.23 billion, a price-to-earnings ratio of 34.25 and a beta of 1.12. The company has a current ratio of 2.15, a quick ratio of 1.44 and a debt-to-equity ratio of 0.48. The stock's 50 day moving average is $335.57 and its two-hundred day moving average is $321.26.

Valmont Industries (NYSE:VMI - Get Free Report) last announced its quarterly earnings data on Tuesday, July 22nd. The industrial products company reported $4.88 earnings per share for the quarter, topping analysts' consensus estimates of $4.78 by $0.10. The business had revenue of $1.05 billion for the quarter, compared to analysts' expectations of $1.03 billion. Valmont Industries had a net margin of 5.98% and a return on equity of 22.10%. The business's revenue was up 1.0% compared to the same quarter last year. During the same quarter in the prior year, the company earned $4.91 earnings per share. As a group, analysts expect that Valmont Industries will post 18.07 earnings per share for the current year.

Valmont Industries Announces Dividend

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

Insiders Place Their Bets

In other news, CAO Timothy P. Francis sold 2,867 shares of the 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 transaction, the chief accounting officer owned 9,746 shares in the company, valued at $3,494,135.92. This represents a 22.73% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Corporate insiders own 1.50% of the company's stock.

Institutional Investors Weigh In On Valmont Industries

A number of hedge funds have recently modified their holdings of the business. Principal Financial Group Inc. grew its holdings in Valmont Industries by 0.4% during the first quarter. Principal Financial Group Inc. now owns 46,566 shares of the industrial products company's stock valued at $13,289,000 after purchasing an additional 172 shares during the period. GAMMA Investing LLC increased its holdings in Valmont Industries by 82.3% in the 1st quarter. GAMMA Investing LLC now owns 226 shares of the industrial products company's stock worth $64,000 after acquiring an additional 102 shares in the last quarter. Wealth Enhancement Advisory Services LLC lifted its holdings in Valmont Industries by 18.0% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 2,579 shares of the industrial products company's stock valued at $736,000 after purchasing an additional 393 shares in the last quarter. Janney Montgomery Scott LLC boosted its position in shares of Valmont Industries by 16.1% in the first quarter. Janney Montgomery Scott LLC now owns 1,490 shares of the industrial products company's stock worth $425,000 after purchasing an additional 207 shares during the period. Finally, Aquatic Capital Management LLC increased its stake in shares of Valmont Industries by 16.2% in the fourth quarter. Aquatic Capital Management LLC now owns 6,602 shares of the industrial products company's stock worth $2,025,000 after purchasing an additional 922 shares in the last quarter. Institutional investors own 87.84% of the company's stock.

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.