Astec Industries (NASDAQ:ASTE) Shares Gap Up on Earnings Beat

Astec Industries, Inc. (NASDAQ:ASTE) shares gapped up before the market opened on Wednesday following a better than expected earnings announcement. The stock had previously closed at $31.17, but opened at $34.82. Astec Industries shares last traded at $35.71, with a volume of 120,589 shares trading hands.

The industrial products company reported $1.19 earnings per share for the quarter, beating the consensus estimate of $0.73 by $0.46. Astec Industries had a negative net margin of 0.15% and a positive return on equity of 7.69%.

Astec Industries Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, March 31st. Shareholders of record on Monday, March 10th will be issued a $0.13 dividend. The ex-dividend date is Monday, March 10th. This represents a $0.52 annualized dividend and a yield of 1.45%. Astec Industries’s payout ratio is currently -649.92%.

Analysts Set New Price Targets

A number of brokerages have commented on ASTE. Robert W. Baird boosted their price target on shares of Astec Industries from $36.00 to $40.00 and gave the company a “neutral” rating in a research note on Thursday, November 7th. StockNews.com cut Astec Industries from a “buy” rating to a “hold” rating in a research report on Thursday, February 20th.

Institutional Investors Weigh In On Astec Industries

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Sterling Capital Management LLC lifted its position in shares of Astec Industries by 802.5% during the fourth quarter. Sterling Capital Management LLC now owns 731 shares of the industrial products company’s stock worth $25,000 after acquiring an additional 650 shares in the last quarter. Tompkins Financial Corp purchased a new stake in Astec Industries in the fourth quarter valued at approximately $34,000. R Squared Ltd bought a new stake in Astec Industries during the fourth quarter valued at approximately $42,000. Point72 Asset Management L.P. purchased a new position in Astec Industries in the 3rd quarter worth approximately $45,000. Finally, Wilmington Savings Fund Society FSB bought a new position in shares of Astec Industries in the 3rd quarter worth $49,000. 93.16% of the stock is currently owned by institutional investors.

Astec Industries Stock Performance

The company’s 50-day moving average price is $33.50 and its two-hundred day moving average price is $33.65. The stock has a market cap of $820.37 million, a PE ratio of -446.32 and a beta of 1.31. The company has a debt-to-equity ratio of 0.16, a quick ratio of 0.91 and a current ratio of 2.47.

Astec Industries Company Profile

Astec Industries, Inc designs, engineers, manufactures, and markets equipment and components used primarily in road building and related construction activities worldwide. The company operates in two segments, Infrastructure Solutions and Materials Solutions. The Infrastructure Solutions segment offers asphalt plants and related components, heaters, concrete dust control systems, asphalt pavers, vaporizers, concrete material handling systems, screeds, heat recovery units, paste back-fill plants, asphalt storage tanks, hot oil heaters, bagging plants, fuel storage tanks, industrial and asphalt burners and systems, custom batch plants, material transfer vehicles, soil stabilizing-reclaiming machinery, blower trucks and trailers, milling machines, soil remediation plants, wood chippers and grinders, pump trailers, concrete batch plants, control systems, liquid terminals, storage equipment and related parts, construction and retrofits, polymer plants, and concrete mixers, as well as engineering and environmental permitting services.