Mohawk Industries (NYSE:MHK) Shares Gap Up After Strong Earnings

Mohawk Industries, Inc. (NYSE:MHK) gapped up prior to trading on Friday after the company announced better than expected quarterly earnings. The stock had previously closed at $110.27, but opened at $117.98. Mohawk Industries shares last traded at $116.12, with a volume of 91,161 shares trading hands.

The company reported $1.86 earnings per share for the quarter, topping analysts’ consensus estimates of $1.70 by $0.16. The company had revenue of $2.68 billion during the quarter, compared to analyst estimates of $2.64 billion. Mohawk Industries had a negative net margin of 3.95% and a positive return on equity of 7.52%. Mohawk Industries’s revenue for the quarter was down 4.5% on a year-over-year basis. During the same period in the prior year, the business posted $1.75 earnings per share.

Analysts Set New Price Targets

MHK has been the subject of several research reports. StockNews.com upgraded shares of Mohawk Industries from a “hold” rating to a “buy” rating in a research note on Saturday, February 17th. TheStreet raised Mohawk Industries from a “d+” rating to a “c-” rating in a research report on Monday, March 4th. Wells Fargo & Company cut their price target on Mohawk Industries from $105.00 to $100.00 and set an “underweight” rating on the stock in a research note on Monday, January 22nd. Truist Financial lifted their price objective on Mohawk Industries from $98.00 to $127.00 and gave the company a “buy” rating in a research note on Tuesday, February 13th. Finally, Deutsche Bank Aktiengesellschaft raised Mohawk Industries from a “hold” rating to a “buy” rating and increased their target price for the stock from $98.00 to $152.00 in a research note on Monday, February 12th. One analyst has rated the stock with a sell rating, three have assigned a hold rating and five have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $118.75.

Insider Activity

In other news, VP Rodney David Patton sold 1,551 shares of the stock in a transaction on Tuesday, March 12th. The stock was sold at an average price of $119.51, for a total transaction of $185,360.01. Following the transaction, the vice president now directly owns 15,321 shares of the company’s stock, valued at approximately $1,831,012.71. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Insiders own 17.10% of the company’s stock.

Hedge Funds Weigh In On Mohawk Industries

Institutional investors have recently made changes to their positions in the business. Czech National Bank boosted its stake in shares of Mohawk Industries by 47.7% during the 3rd quarter. Czech National Bank now owns 9,239 shares of the company’s stock worth $793,000 after acquiring an additional 2,983 shares during the last quarter. Investment Research & Advisory Group Inc. increased its position in Mohawk Industries by 449.7% in the third quarter. Investment Research & Advisory Group Inc. now owns 4,810 shares of the company’s stock worth $413,000 after buying an additional 3,935 shares in the last quarter. Fjarde AP Fonden Fourth Swedish National Pension Fund raised its stake in shares of Mohawk Industries by 4.9% in the third quarter. Fjarde AP Fonden Fourth Swedish National Pension Fund now owns 14,874 shares of the company’s stock worth $1,276,000 after buying an additional 700 shares during the period. Robeco Institutional Asset Management B.V. lifted its position in shares of Mohawk Industries by 3,935.5% during the 3rd quarter. Robeco Institutional Asset Management B.V. now owns 3,753 shares of the company’s stock valued at $322,000 after buying an additional 3,660 shares in the last quarter. Finally, Xponance Inc. grew its stake in shares of Mohawk Industries by 5.3% during the 3rd quarter. Xponance Inc. now owns 8,930 shares of the company’s stock valued at $766,000 after acquiring an additional 446 shares during the period. Institutional investors own 78.98% of the company’s stock.

Mohawk Industries Stock Up 4.7 %

The company has a market capitalization of $7.35 billion, a PE ratio of -16.68 and a beta of 1.34. The company’s fifty day moving average is $118.86 and its 200-day moving average is $102.85. The company has a debt-to-equity ratio of 0.22, a quick ratio of 0.97 and a current ratio of 1.78.

About Mohawk Industries

Mohawk Industries, Inc designs, manufactures, sources, distributes, and markets flooring products for residential and commercial remodeling, and new construction channels in the United States, Europe, Latin America, and internationally. It operates through three segments: Global Ceramic, Flooring North America, and Flooring Rest of the World.