Stanley Black & Decker (NYSE:SWK) was downgraded by Zacks from a “neutral” rating to an “underperform” rating in a research note issued to investors on Tuesday, Stock Ratings News reports. They currently have a $70.00 price objective on the stock. Zacks‘ price objective points to a potential downside of 9.67% from the stock’s previous close.
Zacks‘ analyst wrote, “Stanley Black & Decker’s third quarter 2013 earnings per share grew 13.9% year over year to $1.39 and surpassed the Zacks Consensus Estimate by $0.01. Revenue increased 9.6% primarily on the back of volume gains and contributions from acquisitions. Despite the upbeat results, near-term concerns forced us to downgrade our recommendation on Stanley Black & Decker from Neutral to Underperform. In the quarter, growth in emerging markets as well as margin recovery in Security segment was below expectations. For the year, continued weakness in the emerging markets are anticipated to pull down growth rates in the Industrial and CDIY segments while Security segment will be suffering from declines in Europe. Further, the US government shutdown will impact the company’s organic growth. Accounting for all these, earnings per share guidance has been lowered to $4.90-$5.00, organic revenue growth rate now stands at 3% versus 4%-5% expected earlier, and free cash flow guidance has been lowered to $800 million.”
Shares of Stanley Black & Decker (NYSE:SWK) traded down 0.98% during mid-day trading on Tuesday, hitting $76.73. The stock had a trading volume of 1,211,695 shares. Stanley Black & Decker has a 52-week low of $66.18 and a 52-week high of $92.76. The stock has a 50-day moving average of $88.16 and a 200-day moving average of $82.62. The company has a market cap of $11.896 billion and a price-to-earnings ratio of 13.38.
Stanley Black & Decker (NYSE:SWK) last issued its quarterly earnings data on Wednesday, October 16th. The company reported $1.39 earnings per share for the quarter, meeting the analysts’ consensus estimate of $1.39. The company had revenue of $2.80 million for the quarter, compared to the consensus estimate of $2.81 million. During the same quarter last year, the company posted $1.40 earnings per share. Stanley Black & Decker’s revenue was up 9.6% compared to the same quarter last year.
The company also recently announced a quarterly dividend, which is scheduled for Tuesday, December 10th. Stockholders of record on Friday, December 6th will be paid a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a dividend yield of 2.58%. The ex-dividend date is Wednesday, December 4th.
A number of other firms have also recently commented on SWK. Analysts at Imperial Capital cut their price target on shares of Stanley Black & Decker from $93.00 to $90.00 in a research note to investors on Tuesday. They now have an “in-line” rating on the stock. Separately, analysts at JPMorgan Chase & Co. cut their price target on shares of Stanley Black & Decker from $86.00 to $75.00 in a research note to investors on Friday. They now have a “neutral” rating on the stock. Finally, analysts at Credit Suisse downgraded shares of Stanley Black & Decker from an “outperform” rating to a “neutral” rating in a research note to investors on Thursday, October 17th. They now have a $71.00 price target on the stock, down previously from $88.00. Two research analysts have rated the stock with a sell rating, ten have given a hold rating and five have given a buy rating to the stock. The company presently has an average rating of “Hold” and a consensus price target of $84.25.
Stanley Black & Decker Inc is a diversified global provider of power and hand tools, mechanical access solutions (NYSE:SWK), electronic security and monitoring systems and products and services for various industrial applications.
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