WK Kellogg (NYSE:KLG) Sees Large Volume Increase - Here's Why

Key Points

• WK Kellogg Co. experienced a significant trading volume increase of 20% on Friday, with over 1.5 million shares traded, while the stock price fluctuated slightly between $22.98 and $22.99.
• Analysts have recently upgraded WK Kellogg's stock ratings, with multiple brokerages setting a price target of $23.00 and a consensus recommendation leaning towards a "Hold."
• The company's latest quarterly earnings report showed a net margin of 1.31% and a revenue drop of 8.8% year-over-year, missing analysts' revenue expectations.

WK Kellogg Co. (NYSE:KLG - Get Free Report) shares saw strong trading volume on Friday . 1,537,231 shares traded hands during trading, an increase of 20% from the previous session's volume of 1,286,309 shares.The stock last traded at $22.98 and had previously closed at $22.99.

Analyst Ratings Changes

A number of brokerages have weighed in on KLG. Zacks Research upgraded shares of WK Kellogg from a "strong sell" rating to a "hold" rating in a research report on Monday. Barclays reissued an "underweight" rating and issued a $23.00 price objective (up previously from $16.00) on shares of WK Kellogg in a research note on Monday, July 14th. JPMorgan Chase & Co. began coverage on shares of WK Kellogg in a research note on Wednesday, August 20th. They issued a "neutral" rating and a $23.00 price objective for the company. Evercore ISI boosted their price objective on shares of WK Kellogg from $19.00 to $23.00 and gave the stock an "in-line" rating in a research report on Friday, July 11th. Finally, BNP Paribas set a $23.00 target price on shares of WK Kellogg in a report on Friday, July 11th. Eight analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, WK Kellogg currently has an average rating of "Reduce" and a consensus target price of $20.88.

WK Kellogg Stock Performance

The company has a market capitalization of $1.99 billion, a PE ratio of 62.09 and a beta of 0.24. The company has a debt-to-equity ratio of 1.97, a quick ratio of 0.47 and a current ratio of 0.99. The stock's fifty day simple moving average is $22.60 and its 200-day simple moving average is $19.60.

WK Kellogg (NYSE:KLG - Get Free Report) last announced its quarterly earnings data on Thursday, August 7th. The company reported $0.25 earnings per share for the quarter, missing the consensus estimate of $0.28 by ($0.03). WK Kellogg had a return on equity of 31.34% and a net margin of 1.31%.The company had revenue of $611.52 million for the quarter, compared to analysts' expectations of $653.36 million. During the same quarter in the previous year, the company earned $0.36 earnings per share. The company's revenue was down 8.8% on a year-over-year basis. As a group, equities analysts predict that WK Kellogg Co. will post 1.57 earnings per share for the current year.

WK Kellogg Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 12th. Investors of record on Friday, August 29th will be paid a dividend of $0.165 per share. The ex-dividend date is Friday, August 29th. This represents a $0.66 annualized dividend and a yield of 2.9%. WK Kellogg's dividend payout ratio (DPR) is 178.38%.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Rosenberg Matthew Hamilton lifted its holdings in shares of WK Kellogg by 594.1% during the 2nd quarter. Rosenberg Matthew Hamilton now owns 2,353 shares of the company's stock valued at $38,000 after buying an additional 2,014 shares during the last quarter. Rexford Capital Inc. bought a new stake in shares of WK Kellogg during the second quarter valued at approximately $42,000. Curat Global LLC bought a new stake in shares of WK Kellogg during the first quarter valued at approximately $66,000. Whittier Trust Co. of Nevada Inc. increased its position in shares of WK Kellogg by 1,030.8% during the first quarter. Whittier Trust Co. of Nevada Inc. now owns 3,675 shares of the company's stock valued at $73,000 after purchasing an additional 3,350 shares during the period. Finally, Quantbot Technologies LP bought a new stake in shares of WK Kellogg during the first quarter valued at approximately $87,000. 95.74% of the stock is owned by institutional investors and hedge funds.

About WK Kellogg

WK Kellogg Co operates as a food company in the United States, Canada, and the Caribbean. It manufactures, markets, and distributes ready-to-eat cereal products primarily under the Frosted Flakes, Special K, Froot Loops, Raisin Bran, Frosted Mini-Wheats, and Kashi brands. The company was formerly known as North America Cereal Co and changed its name to WK Kellogg Co in March 2023.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.