Wolfe Research Issues Pessimistic Forecast for MSM Earnings

Key Points

• Wolfe Research has downgraded its earnings estimates for MSC Industrial Direct (MSM), predicting Q1 2026 earnings of **$0.88 per share**, down from the previous estimate of $0.95.
• The company recently increased its quarterly dividend to **$0.87 per share**, with a payout ratio of **98.31%**, reflecting a positive signal to shareholders.
• As of the latest reports, MSC Industrial Direct shares have seen a slight decline of **1.1%**, with an average rating of "Hold" and a consensus price target of **$90.33** from various analysts.

MSC Industrial Direct Company, Inc. (NYSE:MSM - Free Report) - Equities research analysts at Wolfe Research decreased their Q1 2026 earnings estimates for MSC Industrial Direct in a research note issued on Tuesday, October 7th. Wolfe Research analyst R. Cooke now forecasts that the industrial products company will earn $0.88 per share for the quarter, down from their previous forecast of $0.95. Wolfe Research currently has a "Peer Perform" rating on the stock. The consensus estimate for MSC Industrial Direct's current full-year earnings is $3.57 per share. Wolfe Research also issued estimates for MSC Industrial Direct's Q2 2026 earnings at $0.81 EPS, Q3 2026 earnings at $1.11 EPS, FY2026 earnings at $3.87 EPS, Q1 2027 earnings at $1.14 EPS, Q2 2027 earnings at $1.05 EPS, Q3 2027 earnings at $1.38 EPS, FY2027 earnings at $4.89 EPS, FY2028 earnings at $5.73 EPS, FY2029 earnings at $6.44 EPS and FY2030 earnings at $7.13 EPS.

Other equities research analysts have also recently issued research reports about the company. Stephens boosted their price objective on MSC Industrial Direct from $85.00 to $90.00 and gave the stock an "equal weight" rating in a report on Wednesday, July 2nd. Loop Capital upped their price objective on MSC Industrial Direct from $74.00 to $84.00 and gave the company a "hold" rating in a report on Wednesday, July 2nd. Weiss Ratings reiterated a "hold (c+)" rating on shares of MSC Industrial Direct in a research report on Wednesday. Robert W. Baird lifted their target price on MSC Industrial Direct from $84.00 to $95.00 and gave the stock a "neutral" rating in a report on Wednesday, July 2nd. Finally, Zacks Research downgraded shares of MSC Industrial Direct from a "strong-buy" rating to a "hold" rating in a research note on Friday, September 5th. One analyst has rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of "Hold" and a consensus price target of $90.33.

MSC Industrial Direct Stock Down 1.1%

Shares of MSM opened at $88.58 on Friday. The firm has a market cap of $4.93 billion, a P/E ratio of 25.02 and a beta of 0.95. The company has a debt-to-equity ratio of 0.21, a quick ratio of 0.91 and a current ratio of 1.92. MSC Industrial Direct has a 52 week low of $68.10 and a 52 week high of $94.31. The firm's 50-day simple moving average is $89.74 and its 200 day simple moving average is $84.13.

Institutional Investors Weigh In On MSC Industrial Direct

Institutional investors and hedge funds have recently bought and sold shares of the company. Signaturefd LLC increased its holdings in MSC Industrial Direct by 11.1% in the 2nd quarter. Signaturefd LLC now owns 1,277 shares of the industrial products company's stock valued at $109,000 after buying an additional 128 shares during the period. Red Spruce Capital LLC boosted its position in shares of MSC Industrial Direct by 0.7% during the 2nd quarter. Red Spruce Capital LLC now owns 22,545 shares of the industrial products company's stock worth $1,917,000 after acquiring an additional 146 shares in the last quarter. Matrix Trust Co boosted its position in shares of MSC Industrial Direct by 7.3% during the 2nd quarter. Matrix Trust Co now owns 2,252 shares of the industrial products company's stock worth $191,000 after acquiring an additional 153 shares in the last quarter. Public Employees Retirement System of Ohio increased its stake in MSC Industrial Direct by 0.3% in the second quarter. Public Employees Retirement System of Ohio now owns 56,514 shares of the industrial products company's stock valued at $4,805,000 after acquiring an additional 162 shares during the last quarter. Finally, Beverly Hills Private Wealth LLC raised its position in MSC Industrial Direct by 4.5% during the first quarter. Beverly Hills Private Wealth LLC now owns 3,755 shares of the industrial products company's stock valued at $292,000 after purchasing an additional 163 shares in the last quarter. Institutional investors own 79.26% of the company's stock.

MSC Industrial Direct Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, November 26th. Stockholders of record on Wednesday, November 12th will be issued a dividend of $0.87 per share. This is an increase from MSC Industrial Direct's previous quarterly dividend of $0.85. The ex-dividend date of this dividend is Wednesday, November 12th. This represents a $3.48 annualized dividend and a dividend yield of 3.9%. MSC Industrial Direct's payout ratio is currently 98.31%.

About MSC Industrial Direct

MSC Industrial Direct Co, Inc, together with its subsidiaries, distributes metalworking and maintenance, repair, and operations (MRO) products and services in the United States, Canada, Mexico, the United Kingdom, and internationally. The company's MRO products include cutting tools, measuring instruments, tooling components, metalworking products, fasteners, flat stock products, raw materials, abrasives, machinery hand and power tools, safety and janitorial supplies, plumbing supplies, materials handling products, power transmission components, and electrical supplies.

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