Astec Industries (NASDAQ:ASTE) Shares Gap Up After Strong Earnings

Astec Industries, Inc. (NASDAQ:ASTE)’s stock price gapped up before the market opened on Wednesday following a stronger than expected earnings report. 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 traded.

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

Astec Industries Dividend Announcement

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

Wall Street Analysts Forecast Growth

Several analysts have issued reports on the stock. StockNews.com lowered shares of Astec Industries from a “buy” rating to a “hold” rating in a research report on Thursday, February 20th. Robert W. Baird boosted their target price on Astec Industries from $36.00 to $40.00 and gave the company a “neutral” rating in a research note on Thursday, November 7th.

Institutional Investors Weigh In On Astec Industries

Several institutional investors have recently added to or reduced their stakes in ASTE. Assenagon Asset Management S.A. grew its stake in shares of Astec Industries by 96.9% in the third quarter. Assenagon Asset Management S.A. now owns 171,101 shares of the industrial products company’s stock worth $5,465,000 after purchasing an additional 84,202 shares during the last quarter. Easterly Investment Partners LLC increased its stake in shares of Astec Industries by 89.0% during the third quarter. Easterly Investment Partners LLC now owns 40,631 shares of the industrial products company’s stock valued at $1,298,000 after buying an additional 19,134 shares during the period. Connor Clark & Lunn Investment Management Ltd. bought a new position in shares of Astec Industries during the third quarter valued at approximately $233,000. Advisors Asset Management Inc. boosted its holdings in Astec Industries by 7.9% in the third quarter. Advisors Asset Management Inc. now owns 77,580 shares of the industrial products company’s stock valued at $2,478,000 after acquiring an additional 5,668 shares in the last quarter. Finally, Intech Investment Management LLC purchased a new position in Astec Industries during the 3rd quarter valued at $319,000. Hedge funds and other institutional investors own 93.16% of the company’s stock.

Astec Industries Trading Up 15.4 %

The stock’s 50-day simple moving average is $33.50 and its 200-day simple moving average is $33.65. The company has a debt-to-equity ratio of 0.16, a quick ratio of 0.91 and a current ratio of 2.47. The firm has a market capitalization of $820.37 million, a PE ratio of -446.32 and a beta of 1.31.

About Astec Industries

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.