Dillard’s (NYSE:DDS) Stock Price Down 7.7% – Here’s Why

Dillard’s, Inc. (NYSE:DDS) dropped 7.7% during mid-day trading on Wednesday . The company traded as low as $651.08 and last traded at $646.5970. Approximately 97,400 shares changed hands during trading, a decline of 36% from the average daily volume of 151,093 shares. The stock had previously closed at $700.23.

Analyst Upgrades and Downgrades

A number of research analysts recently weighed in on the stock. UBS Group increased their price objective on shares of Dillard’s from $184.00 to $460.00 and gave the company a “sell” rating in a research report on Friday, November 28th. Weiss Ratings reiterated a “hold (c)” rating on shares of Dillard’s in a research note on Wednesday, October 8th. Wall Street Zen raised Dillard’s from a “hold” rating to a “buy” rating in a report on Saturday, November 8th. JPMorgan Chase & Co. lifted their price objective on Dillard’s from $411.00 to $524.00 and gave the stock an “underweight” rating in a report on Tuesday, November 25th. Finally, Zacks Research upgraded Dillard’s from a “hold” rating to a “strong-buy” rating in a research report on Friday, November 28th. One analyst has rated the stock with a Strong Buy rating, two have assigned a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and an average price target of $511.33.

Dillard’s Stock Performance

The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.00 and a current ratio of 2.19. The stock has a market cap of $10.37 billion, a P/E ratio of 18.00 and a beta of 1.20. The business’s 50-day moving average price is $651.70 and its 200-day moving average price is $580.72.

Dillard’s (NYSE:DDS) last released its earnings results on Thursday, November 13th. The company reported $8.31 earnings per share for the quarter, beating the consensus estimate of $6.43 by $1.88. The company had revenue of $1.49 billion for the quarter, compared to the consensus estimate of $1.41 billion. Dillard’s had a return on equity of 30.50% and a net margin of 8.90%.Dillard’s’s quarterly revenue was up 2.9% compared to the same quarter last year. During the same period in the previous year, the business earned $7.73 earnings per share. As a group, sell-side analysts expect that Dillard’s, Inc. will post 33.25 earnings per share for the current fiscal year.

Dillard’s Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, February 2nd. Investors of record on Wednesday, December 31st will be issued a $0.30 dividend. This represents a $1.20 annualized dividend and a yield of 0.2%. The ex-dividend date of this dividend is Wednesday, December 31st. Dillard’s’s dividend payout ratio is currently 3.26%.

Hedge Funds Weigh In On Dillard’s

Several large investors have recently added to or reduced their stakes in the company. Allianz Asset Management GmbH increased its stake in shares of Dillard’s by 0.5% in the second quarter. Allianz Asset Management GmbH now owns 178,547 shares of the company’s stock worth $74,602,000 after purchasing an additional 883 shares in the last quarter. AQR Capital Management LLC boosted its holdings in Dillard’s by 14.0% in the 3rd quarter. AQR Capital Management LLC now owns 103,714 shares of the company’s stock worth $63,730,000 after buying an additional 12,699 shares during the period. Wedge Capital Management L L P NC increased its stake in Dillard’s by 756.9% in the 3rd quarter. Wedge Capital Management L L P NC now owns 70,880 shares of the company’s stock worth $43,554,000 after buying an additional 62,608 shares in the last quarter. Gotham Asset Management LLC raised its holdings in Dillard’s by 52.8% during the third quarter. Gotham Asset Management LLC now owns 66,519 shares of the company’s stock valued at $40,875,000 after acquiring an additional 22,991 shares during the period. Finally, Goldman Sachs Group Inc. lifted its position in shares of Dillard’s by 75.6% in the first quarter. Goldman Sachs Group Inc. now owns 66,142 shares of the company’s stock valued at $23,687,000 after acquiring an additional 28,468 shares in the last quarter. Hedge funds and other institutional investors own 67.15% of the company’s stock.

Dillard’s Company Profile

Dillard’s, Inc (NYSE:DDS), headquartered in Little Rock, Arkansas, is a U.S.-based department store chain founded by William T. Dillard in 1938. Over more than eight decades of operation, the company has grown from a single store in Nashville, Arkansas, to a prominent retailer with a national footprint. Dillard’s equity is publicly traded on the New York Stock Exchange under the ticker DDS.

The company operates approximately 280 departmental stores across 29 states, offering a broad assortment of merchandise that includes men’s and women’s apparel, accessories, cosmetics, footwear, and home furnishings.