Patrick Industries (NASDAQ:PATK) Shares Gap Down – Time to Sell?

Patrick Industries, Inc. (NASDAQ:PATK)’s stock price gapped down prior to trading on Tuesday . The stock had previously closed at $93.18, but opened at $84.63. Patrick Industries shares last traded at $84.0550, with a volume of 195,658 shares changing hands.

Wall Street Analysts Forecast Growth

Several research analysts recently commented on the stock. Wall Street Zen lowered shares of Patrick Industries from a “buy” rating to a “hold” rating in a research note on Sunday, April 12th. Robert W. Baird set a $110.00 target price on shares of Patrick Industries in a research note on Friday, May 1st. KeyCorp cut their price target on shares of Patrick Industries from $140.00 to $125.00 and set an “overweight” rating on the stock in a report on Friday, May 1st. Roth Mkm set a $128.00 price target on Patrick Industries in a research report on Tuesday, May 5th. Finally, BMO Capital Markets reiterated an “outperform” rating and set a $150.00 price objective (down from $155.00) on shares of Patrick Industries in a report on Monday, April 20th. Six research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $122.62.

Patrick Industries Stock Down 5.0%

The firm has a market capitalization of $2.80 billion, a price-to-earnings ratio of 21.86 and a beta of 1.09. The company has a quick ratio of 1.04, a current ratio of 2.71 and a debt-to-equity ratio of 1.16. The company’s 50 day moving average price is $91.25 and its 200 day moving average price is $109.94.

Patrick Industries (NASDAQ:PATK) last released its earnings results on Thursday, April 30th. The construction company reported $1.10 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.08 by $0.02. Patrick Industries had a return on equity of 13.24% and a net margin of 3.46%.The firm had revenue of $997.17 million for the quarter, compared to the consensus estimate of $989.06 million. During the same period in the prior year, the firm earned $1.11 EPS. The firm’s revenue was down .6% on a year-over-year basis. As a group, research analysts forecast that Patrick Industries, Inc. will post 4.94 earnings per share for the current fiscal year.

Patrick Industries Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, June 8th. Stockholders of record on Tuesday, May 26th were paid a $0.47 dividend. This represents a $1.88 annualized dividend and a dividend yield of 2.2%. The ex-dividend date was Tuesday, May 26th. Patrick Industries’s dividend payout ratio (DPR) is presently 48.21%.

Insider Activity at Patrick Industries

In related news, CEO Andy L. Nemeth acquired 10,000 shares of the firm’s stock in a transaction dated Tuesday, May 5th. The stock was acquired at an average price of $88.00 per share, with a total value of $880,000.00. Following the acquisition, the chief executive officer directly owned 287,745 shares in the company, valued at $25,321,560. This represents a 3.60% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director M Scott Welch acquired 10,050 shares of the stock in a transaction on Tuesday, May 5th. The stock was bought at an average price of $88.23 per share, for a total transaction of $886,711.50. Following the transaction, the director owned 156,000 shares in the company, valued at approximately $13,763,880. This represents a 6.89% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders bought a total of 28,700 shares of company stock worth $2,532,880 in the last ninety days. 3.80% of the stock is owned by company insiders.

Institutional Investors Weigh In On Patrick Industries

Institutional investors have recently modified their holdings of the business. Wellington Management Group LLP lifted its stake in Patrick Industries by 19.9% in the 4th quarter. Wellington Management Group LLP now owns 2,217,107 shares of the construction company’s stock valued at $240,401,000 after buying an additional 367,802 shares in the last quarter. SG Americas Securities LLC grew its holdings in Patrick Industries by 12,134.2% in the 4th quarter. SG Americas Securities LLC now owns 259,365 shares of the construction company’s stock valued at $28,123,000 after buying an additional 257,245 shares in the last quarter. Capital Research Global Investors raised its holdings in shares of Patrick Industries by 24.4% during the 4th quarter. Capital Research Global Investors now owns 1,137,530 shares of the construction company’s stock worth $123,342,000 after acquiring an additional 223,014 shares during the period. Bessemer Group Inc. raised its stake in Patrick Industries by 3,602.4% during the fourth quarter. Bessemer Group Inc. now owns 149,912 shares of the construction company’s stock worth $16,255,000 after purchasing an additional 145,863 shares during the period. Finally, Price T Rowe Associates Inc. MD raised its position in shares of Patrick Industries by 17.7% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 748,904 shares of the construction company’s stock valued at $81,205,000 after buying an additional 112,766 shares during the period. 93.29% of the stock is currently owned by institutional investors and hedge funds.

About Patrick Industries

Patrick Industries, Inc is a leading manufacturer and distributor of component products and building materials for the recreational vehicle (RV), manufactured housing, marine and industrial markets. The company supplies a broad array of interior and exterior products, including cabinetry, countertops, flooring, wall panels and decorative trim. Patrick Industries also offers engineered composites, adhesives, sealants and insulation solutions that cater to both original equipment manufacturers (OEMs) and aftermarket customers across North America.

Founded in 1959 and headquartered in Elkhart, Indiana, Patrick Industries began as a small distributor of hardwood and millwork products.