MSC Industrial Direct (NYSE:MSM) Reaches New 52-Week High Following Better-Than-Expected Earnings

MSC Industrial Direct Company, Inc. (NYSE:MSM) shares hit a new 52-week high on Wednesday following a better than expected earnings announcement. The company traded as high as $90.85 and last traded at $90.17, with a volume of 2756333 shares changing hands. The stock had previously closed at $85.02.

The industrial products company reported $1.08 EPS for the quarter, topping analysts’ consensus estimates of $1.03 by $0.05. MSC Industrial Direct had a net margin of 5.30% and a return on equity of 14.99%. The firm had revenue of $971.15 million during the quarter, compared to the consensus estimate of $969.72 million. During the same quarter in the previous year, the firm posted $1.33 earnings per share. The company’s revenue was down .8% compared to the same quarter last year.

MSC Industrial Direct Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, July 23rd. Stockholders of record on Wednesday, July 9th will be issued a $0.85 dividend. The ex-dividend date of this dividend is Wednesday, July 9th. This represents a $3.40 dividend on an annualized basis and a dividend yield of 3.78%. MSC Industrial Direct’s payout ratio is 89.71%.

Analysts Set New Price Targets

MSM has been the subject of a number of research analyst reports. Wolfe Research raised shares of MSC Industrial Direct to a “strong-buy” rating in a report on Sunday, April 6th. Stephens increased their target price on shares of MSC Industrial Direct from $85.00 to $90.00 and gave the company an “equal weight” rating in a report on Wednesday. JPMorgan Chase & Co. raised shares of MSC Industrial Direct from a “neutral” rating to an “overweight” rating and increased their target price for the company from $73.00 to $89.00 in a report on Tuesday, May 27th. Robert W. Baird increased their target price on shares of MSC Industrial Direct from $84.00 to $95.00 and gave the company a “neutral” rating in a report on Wednesday. Finally, Loop Capital increased their target price on shares of MSC Industrial Direct from $74.00 to $84.00 and gave the company a “hold” rating in a report on Wednesday. Three investment analysts have rated the stock with a hold rating, one has given a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $90.33.

Insider Activity at MSC Industrial Direct

In other MSC Industrial Direct news, Director Mitchell Jacobson purchased 27,642 shares of the stock in a transaction dated Tuesday, April 8th. The shares were acquired at an average cost of $69.77 per share, for a total transaction of $1,928,582.34. Following the completion of the transaction, the director directly owned 1,951,725 shares of the company’s stock, valued at $136,171,853.25. This trade represents a 1.44% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through this hyperlink. 18.30% of the stock is owned by corporate insiders.

Institutional Trading of MSC Industrial Direct

Several large investors have recently modified their holdings of the business. Clearstead Trust LLC purchased a new stake in MSC Industrial Direct in the 1st quarter worth approximately $25,000. Headlands Technologies LLC purchased a new stake in MSC Industrial Direct in the 4th quarter worth approximately $25,000. Investment Management Corp VA ADV grew its stake in MSC Industrial Direct by 207.8% in the 1st quarter. Investment Management Corp VA ADV now owns 397 shares of the industrial products company’s stock worth $31,000 after acquiring an additional 268 shares during the period. Neo Ivy Capital Management purchased a new stake in MSC Industrial Direct in the 1st quarter worth approximately $32,000. Finally, Farther Finance Advisors LLC grew its stake in MSC Industrial Direct by 895.0% in the 1st quarter. Farther Finance Advisors LLC now owns 597 shares of the industrial products company’s stock worth $46,000 after acquiring an additional 537 shares during the period. 79.26% of the stock is currently owned by institutional investors and hedge funds.

MSC Industrial Direct Price Performance

The stock has a market capitalization of $5.01 billion, a PE ratio of 25.42 and a beta of 0.87. The company has a current ratio of 1.92, a quick ratio of 0.88 and a debt-to-equity ratio of 0.21. The company’s 50 day simple moving average is $80.82 and its 200 day simple moving average is $79.43.

MSC Industrial Direct Company Profile

MSC Industrial Direct Co, Inc, together with its subsidiaries, distributes metalworking and maintenance, repair, and operations (MRO) products and services in the United States, Canada, Mexico, the United Kingdom, and internationally. The company's MRO products include cutting tools, measuring instruments, tooling components, metalworking products, fasteners, flat stock products, raw materials, abrasives, machinery hand and power tools, safety and janitorial supplies, plumbing supplies, materials handling products, power transmission components, and electrical supplies.