Valmont Industries (NYSE:VMI) Sees Strong Trading Volume - Time to Buy?

Key Points

• Valmont Industries experienced a significant drop in trading volume, with approximately 151,130 shares traded, down 9% from the previous session, while the stock is currently priced at $364.24.
• Analysts have recently upgraded Valmont Industries from a "hold" rating to a "buy" rating, with a consensus price target of $391.00, indicating positive sentiment towards the company.
• The company declared a quarterly dividend of $0.68 per share, reflecting a 0.7% dividend yield, with the payout ratio currently at 25.33%.

Valmont Industries, Inc. (NYSE:VMI - Get Free Report) shares saw strong trading volume on Tuesday . 151,130 shares traded hands during trading, a decline of 9% from the previous session's volume of 165,536 shares.The stock last traded at $364.24 and had previously closed at $367.12.

Wall Street Analyst Weigh In

VMI has been the topic of a number of recent research reports. DA Davidson boosted their price target 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 lifted their target price on shares of Valmont Industries from $345.00 to $382.00 and gave the stock a "buy" rating in a research note on Monday, July 21st. Finally, Wall Street Zen upgraded shares of Valmont Industries from a "hold" rating to a "buy" rating in a research report on Saturday, August 30th. Two equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $391.00.

Valmont Industries Stock Down 0.1%

The company has a quick ratio of 1.44, a current ratio of 2.15 and a debt-to-equity ratio of 0.48. The business has a 50-day simple moving average of $358.12 and a 200-day simple moving average of $327.63. The stock has a market cap of $7.45 billion, a P/E ratio of 35.13 and a beta of 1.14.

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 (EPS) for the quarter, topping the consensus estimate of $4.78 by $0.10. The business had revenue of $1.05 billion for the quarter, compared to the consensus estimate of $1.03 billion. Valmont Industries had a net margin of 5.98% and a return on equity of 22.10%. Valmont Industries's quarterly revenue was up 1.0% on a year-over-year basis. During the same quarter last year, the company posted $4.91 earnings per share. Valmont Industries has set its FY 2025 guidance at 17.500-19.500 EPS. Analysts expect that Valmont Industries, Inc. will post 18.07 EPS for the current year.

Valmont Industries Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 15th. Shareholders 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 annualized dividend and a yield of 0.7%. Valmont Industries's payout ratio is presently 25.33%.

Insider Activity at Valmont Industries

In related news, CAO Timothy P. Francis sold 2,867 shares of the stock in a transaction on Friday, August 1st. The shares were sold at an average price of $358.52, for a total transaction of $1,027,876.84. Following the completion of the transaction, the chief accounting officer owned 9,746 shares in the company, valued at approximately $3,494,135.92. This represents a 22.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 1.50% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Valmont Industries

A number of large investors have recently made changes to their positions in the company. Norges Bank acquired a new stake in Valmont Industries during the second quarter worth about $77,860,000. Invesco Ltd. grew its stake in Valmont Industries by 83.5% during the second quarter. Invesco Ltd. now owns 390,615 shares of the industrial products company's stock worth $127,563,000 after purchasing an additional 177,749 shares during the period. Price T Rowe Associates Inc. MD raised its holdings in shares of Valmont Industries by 759.0% during the first quarter. Price T Rowe Associates Inc. MD now owns 172,967 shares of the industrial products company's stock valued at $49,361,000 after purchasing an additional 152,832 shares during the period. Allianz Asset Management GmbH increased its holdings in shares of Valmont Industries by 118.0% during the first quarter. Allianz Asset Management GmbH now owns 274,769 shares of the industrial products company's stock valued at $78,411,000 after acquiring an additional 148,740 shares in the last quarter. Finally, AQR Capital Management LLC grew its holdings in shares of Valmont Industries by 258.6% during the second quarter. AQR Capital Management LLC now owns 129,192 shares of the industrial products company's stock valued at $42,190,000 after buying an additional 93,163 shares during the last quarter. Institutional investors own 87.84% of the company's stock.

About Valmont Industries

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.