Komatsu (OTCMKTS:KMTUY) Shares Gap Down After Earnings Miss

Shares of Komatsu Ltd. (OTCMKTS:KMTUY) gapped down before the market opened on Friday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $43.05, but opened at $38.00. Komatsu shares last traded at $39.09, with a volume of 4,527 shares traded.

The industrial products company reported $0.68 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.72 by ($0.04). The firm had revenue of $7.07 billion for the quarter, compared to analyst estimates of $6.70 billion. Komatsu had a net margin of 8.93% and a return on equity of 10.51%.

Wall Street Analysts Forecast Growth

KMTUY has been the subject of a number of research reports. Zacks Research raised shares of Komatsu from a “strong sell” rating to a “hold” rating in a report on Monday, August 3rd. The Goldman Sachs Group raised shares of Komatsu from a “hold” rating to a “strong-buy” rating in a research note on Sunday, October 4th. Finally, Citigroup raised Komatsu from a “hold” rating to a “strong-buy” rating in a research note on Friday, September 25th. Two investment analysts have rated the stock with a Strong Buy rating and one has given a Hold rating to the company’s stock. According to data from MarketBeat.com, Komatsu presently has an average rating of “Buy”.

Komatsu Stock Down 9.3%

The stock has a market cap of $36.32 billion, a price-to-earnings ratio of 14.30, a P/E/G ratio of 2.33 and a beta of 1.07. The company has a current ratio of 1.96, a quick ratio of 1.12 and a debt-to-equity ratio of 0.19. The stock’s 50-day moving average price is $46.03 and its 200-day moving average price is $43.16.

Komatsu Company Profile

Komatsu Ltd. is a Japan-based manufacturer of construction, mining, forestry and industrial equipment. Its product portfolio includes hydraulic excavators, wheel loaders, bulldozers, motor graders, dump trucks, underground mining machinery and other equipment used in infrastructure development, resource extraction and material handling.

The company also provides equipment parts, maintenance and repair services, fleet-management technologies and digital solutions. Its Smart Construction platform is designed to help customers plan, monitor and improve job-site operations, while Komatsu develops automation and remote-control systems for construction and mining applications.

Komatsu traces its origins to Komatsu Iron Works, established in Ishikawa Prefecture, Japan, in 1921.