Monro (NASDAQ:MNRO) Shares Gap Down Following Weak Earnings

Monro, Inc. (NASDAQ:MNRO) gapped down prior to trading on Wednesday following a dissappointing earnings announcement. The stock had previously closed at $26.79, but opened at $25.31. Monro shares last traded at $25.90, with a volume of 18,286 shares.

The auto parts company reported $0.17 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.25 by ($0.08). Monro had a net margin of 2.24% and a return on equity of 4.76%. The company had revenue of $301.39 million for the quarter, compared to analyst estimates of $300.06 million. During the same quarter in the prior year, the firm earned $0.41 EPS. The company’s revenue for the quarter was down 6.4% compared to the same quarter last year.

Monro Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Tuesday, September 10th. Stockholders of record on Tuesday, August 27th were issued a dividend of $0.28 per share. This represents a $1.12 dividend on an annualized basis and a dividend yield of 4.09%. The ex-dividend date was Tuesday, August 27th. Monro’s dividend payout ratio (DPR) is 128.74%.

Analyst Upgrades and Downgrades

Separately, Stephens initiated coverage on Monro in a report on Tuesday, October 15th. They set an “equal weight” rating and a $31.00 price target on the stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the company. Millennium Management LLC grew its holdings in Monro by 3,587.8% during the second quarter. Millennium Management LLC now owns 1,139,183 shares of the auto parts company’s stock worth $27,181,000 after acquiring an additional 1,108,292 shares during the period. William Blair Investment Management LLC boosted its position in shares of Monro by 24.1% in the 1st quarter. William Blair Investment Management LLC now owns 1,008,786 shares of the auto parts company’s stock valued at $31,817,000 after purchasing an additional 195,955 shares during the period. Gamco Investors INC. ET AL boosted its position in shares of Monro by 1.7% in the 1st quarter. Gamco Investors INC. ET AL now owns 526,185 shares of the auto parts company’s stock valued at $16,596,000 after purchasing an additional 8,550 shares during the period. First Eagle Investment Management LLC boosted its position in shares of Monro by 78.9% in the 2nd quarter. First Eagle Investment Management LLC now owns 254,900 shares of the auto parts company’s stock valued at $6,082,000 after purchasing an additional 112,400 shares during the period. Finally, Russell Investments Group Ltd. boosted its position in shares of Monro by 45.7% in the 1st quarter. Russell Investments Group Ltd. now owns 197,729 shares of the auto parts company’s stock valued at $6,236,000 after purchasing an additional 62,019 shares during the period.

Monro Price Performance

The company has a current ratio of 0.59, a quick ratio of 0.25 and a debt-to-equity ratio of 0.55. The firm has a market cap of $820.11 million, a price-to-earnings ratio of 31.51, a price-to-earnings-growth ratio of 1.85 and a beta of 1.11. The stock has a 50-day moving average of $27.09 and a two-hundred day moving average of $26.13.

Monro Company Profile

Monro, Inc provides automotive undercar repair, and tire sales and services in the United States. It offers replacement tires and tire related services, automotive undercar repair services, and routine maintenance services primarily to passenger cars, light trucks, and vans. The company also provides other products and services for brakes; mufflers and exhaust systems; and steering, drive train, suspension, and wheel alignment.