Andersons (NASDAQ:ANDE) Stock Falls 10% – Here’s Why

The Andersons, Inc. (NASDAQ:ANDE) shares dropped 10% during trading on Wednesday. The stock traded as low as $56.79 and last traded at $56.3840. Approximately 33,442 shares traded hands during trading, a decline of 90% from the average daily volume of 337,436 shares. The stock had previously closed at $62.67.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on ANDE. Deutsche Bank Aktiengesellschaft set a $110.00 price objective on Andersons in a research report on Tuesday, August 4th. Weiss Ratings raised Andersons from a “hold (c+)” rating to a “buy (b-)” rating in a report on Thursday, October 8th. BMO Capital Markets upped their price target on Andersons from $75.00 to $90.00 and gave the stock an “outperform” rating in a research note on Wednesday, August 5th. Finally, Wall Street Zen raised Andersons from a “buy” rating to a “strong-buy” rating in a report on Saturday, October 17th. One investment analyst has rated the stock with a Strong Buy rating and four have issued a Buy rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Buy” and an average price target of $95.00.

Andersons Stock Performance

The company has a market capitalization of $1.95 billion, a price-to-earnings ratio of 9.63 and a beta of 0.63. The stock’s 50-day moving average price is $66.43 and its 200-day moving average price is $69.05. The company has a debt-to-equity ratio of 0.41, a quick ratio of 0.81 and a current ratio of 1.43.

Andersons (NASDAQ:ANDE) last issued its quarterly earnings data on Tuesday, November 3rd. The basic materials company reported $1.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.11 by $0.27. The firm had revenue of $2.83 billion during the quarter, compared to analysts’ expectations of $2.97 billion. Andersons had a return on equity of 17.12% and a net margin of 1.84%. Andersons’s revenue was up 5.8% on a year-over-year basis. During the same period in the previous year, the firm posted $0.59 earnings per share.

Andersons Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, October 22nd. Stockholders of record on Thursday, October 1st were paid a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a dividend yield of 1.4%. The ex-dividend date of this dividend was Thursday, October 1st. Andersons’s payout ratio is 13.45%.

Institutional Investors Weigh In On Andersons

A number of large investors have recently added to or reduced their stakes in ANDE. BlackRock Inc. purchased a new position in shares of Andersons in the 2nd quarter valued at $427,688,000. Bank of America Corp DE acquired a new position in shares of Andersons during the second quarter worth about $11,774,000. Summit Global Investments purchased a new stake in shares of Andersons during the 2nd quarter valued at about $1,302,000. NFJ Investment Group LLC acquired a new position in Andersons during the 2nd quarter worth approximately $2,790,000. Finally, Hsbc Holdings PLC lifted its position in Andersons by 66.4% during the 2nd quarter. Hsbc Holdings PLC now owns 49,792 shares of the basic materials company’s stock worth $3,452,000 after acquiring an additional 19,876 shares in the last quarter. 87.06% of the stock is owned by institutional investors and hedge funds.

Andersons Company Profile

The Andersons, Inc (NASDAQ: ANDE) is an agribusiness company that provides products and services supporting the agricultural supply chain. Founded in 1947 and headquartered in Maumee, Ohio, the company serves farmers, agricultural retailers, manufacturers, and other customers primarily in North America.

The company’s Trade segment merchandises and manages the movement and storage of grains and other agricultural commodities. Its operations include grain elevators, commodity trading, logistics, and related services that connect producers with domestic and international markets.

Through its Ethanol segment, The Andersons produces renewable fuels and markets co-products such as distillers grains and corn oil.