Hsbc Holdings PLC Makes New $230.17 Million Investment in Fastenal Company $FAST

Hsbc Holdings PLC bought a new position in shares of Fastenal Company (NASDAQ:FAST) during the second quarter, HoldingsChannel reports. The institutional investor bought 4,795,323 shares of the company’s stock, valued at approximately $230,169,000.

A number of other large investors have also recently modified their holdings of the company. Ancora Advisors LLC purchased a new position in Fastenal during the 2nd quarter worth $66,000. Canada Pension Plan Investment Board purchased a new stake in shares of Fastenal in the 2nd quarter worth $65,346,000. Castleark Management LLC bought a new position in shares of Fastenal during the 2nd quarter worth $8,233,000. Osterweis Capital Management Inc. bought a new stake in shares of Fastenal in the second quarter valued at about $123,000. Finally, Legal & General Group Plc purchased a new stake in Fastenal in the second quarter worth about $410,919,000. Hedge funds and other institutional investors own 81.38% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of research firms have commented on FAST. Rothschild & Co Redburn set a $55.00 target price on shares of Fastenal and gave the company a “buy” rating in a research report on Monday, July 13th. DA Davidson restated a “neutral” rating and set a $46.00 target price on shares of Fastenal in a report on Wednesday, July 15th. Weiss Ratings lowered Fastenal from a “buy (b)” rating to a “buy (b-)” rating in a research report on Tuesday, July 21st. Wolfe Research restated an “underperform” rating and set a $47.00 price objective on shares of Fastenal in a research note on Thursday, July 9th. Finally, Sanford C. Bernstein reiterated an “underperform” rating on shares of Fastenal in a report on Wednesday, July 15th. Five research analysts have rated the stock with a Buy rating, five have given a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, Fastenal currently has an average rating of “Hold” and a consensus target price of $49.17.

Fastenal Stock Down 1.9%

FAST stock opened at $50.31 on Wednesday. The stock has a market capitalization of $57.73 billion, a PE ratio of 42.64, a price-to-earnings-growth ratio of 3.20 and a beta of 0.72. Fastenal Company has a 52 week low of $38.97 and a 52 week high of $52.92. The company has a quick ratio of 2.21, a current ratio of 4.18 and a debt-to-equity ratio of 0.01. The firm has a 50 day moving average of $48.15 and a 200 day moving average of $46.43.

Fastenal (NASDAQ:FAST) last posted its quarterly earnings results on Tuesday, July 14th. The company reported $0.33 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.33. Fastenal had a net margin of 15.45% and a return on equity of 34.03%. The business had revenue of $2.39 billion during the quarter, compared to analysts’ expectations of $2.34 billion. During the same quarter last year, the company posted $0.29 earnings per share. The business’s quarterly revenue was up 14.7% on a year-over-year basis. Sell-side analysts forecast that Fastenal Company will post 1.26 earnings per share for the current year.

Fastenal Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, August 25th. Shareholders of record on Tuesday, July 28th were given a dividend of $0.26 per share. The ex-dividend date of this dividend was Tuesday, July 28th. This represents a $1.04 dividend on an annualized basis and a yield of 2.1%. This is an increase from Fastenal’s previous quarterly dividend of $0.24. Fastenal’s payout ratio is presently 88.14%.

Insider Activity

In other Fastenal news, Director Michael J. Ancius sold 3,000 shares of the business’s stock in a transaction dated Tuesday, July 28th. The stock was sold at an average price of $49.00, for a total transaction of $147,000.00. Following the sale, the director owned 58,690 shares in the company, valued at approximately $2,875,810. The trade was a 4.86% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Rita J. Heise sold 34,964 shares of the firm’s stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $50.05, for a total value of $1,749,948.20. Following the completion of the transaction, the director owned 20,000 shares of the company’s stock, valued at approximately $1,001,000. The trade was a 63.61% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.28% of the stock is currently owned by insiders.

Fastenal Profile

Fastenal (NASDAQ: FAST) is a wholesale distributor of industrial and construction supplies, best known for its broad assortment of fasteners such as bolts, nuts, screws and anchors. Founded in Winona, Minnesota, Fastenal has grown from a regional supplier into a national and international distributor serving a wide range of end markets, including manufacturing, construction, maintenance, repair and operations (MRO), and government customers. The company is publicly traded and operates through a network of locally staffed branches combined with national distribution capabilities.

Product offerings extend beyond fasteners to include tools, safety and personal protective equipment, power transmission components, cutting and welding supplies, janitorial and material handling items, and other industrial consumables.