Snap-On (NYSE:SNA) Upgraded by Barclays to “Strong-Buy” Rating

Barclays upgraded shares of Snap-On (NYSE:SNA) to a strong-buy rating in a research report released on Thursday morning,Zacks.com reports.

Several other analysts also recently issued reports on the company. Weiss Ratings restated a “buy (b)” rating on shares of Snap-On in a report on Monday, April 20th. Wall Street Zen downgraded Snap-On from a “buy” rating to a “hold” rating in a report on Saturday, February 7th. Tigress Financial upped their target price on Snap-On from $405.00 to $445.00 and gave the company a “buy” rating in a report on Friday, February 27th. Roth Mkm reissued a “buy” rating and issued a $431.00 price target on shares of Snap-On in a research report on Friday, April 24th. Finally, Robert W. Baird increased their price target on shares of Snap-On from $380.00 to $395.00 and gave the stock a “neutral” rating in a research report on Friday, April 24th. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $387.67.

Snap-On Price Performance

NYSE SNA opened at $374.53 on Thursday. The stock’s 50-day moving average price is $371.10 and its two-hundred day moving average price is $363.95. The company has a current ratio of 3.53, a quick ratio of 2.74 and a debt-to-equity ratio of 0.15. The company has a market cap of $19.40 billion, a PE ratio of 19.34, a PEG ratio of 2.62 and a beta of 0.75. Snap-On has a 1 year low of $301.82 and a 1 year high of $400.88.

Snap-On (NYSE:SNA) last posted its quarterly earnings data on Thursday, April 23rd. The company reported $4.69 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.75 by ($0.06). The company had revenue of $1.21 billion for the quarter, compared to analyst estimates of $1.19 billion. Snap-On had a return on equity of 17.13% and a net margin of 21.28%.Snap-On’s quarterly revenue was up 5.8% on a year-over-year basis. During the same quarter in the previous year, the firm posted $4.51 EPS. On average, analysts predict that Snap-On will post 19.7 EPS for the current year.

Snap-On Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, June 10th. Stockholders of record on Wednesday, May 20th will be given a $2.44 dividend. This represents a $9.76 dividend on an annualized basis and a dividend yield of 2.6%. The ex-dividend date of this dividend is Wednesday, May 20th. Snap-On’s dividend payout ratio is 50.39%.

Snap-On announced that its board has initiated a share repurchase program on Thursday, April 30th that authorizes the company to repurchase $500.00 million in shares. This repurchase authorization authorizes the company to repurchase up to 2.6% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company’s board of directors believes its shares are undervalued.

Insider Buying and Selling

In other news, CEO Nicholas T. Pinchuk sold 23,396 shares of the stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $375.77, for a total value of $8,791,514.92. Following the completion of the sale, the chief executive officer directly owned 856,918 shares of the company’s stock, valued at $322,004,076.86. This represents a 2.66% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Aldo John Pagliari sold 5,713 shares of the stock in a transaction that occurred on Thursday, May 14th. The stock was sold at an average price of $367.19, for a total transaction of $2,097,756.47. Following the completion of the sale, the chief financial officer directly owned 119,488 shares of the company’s stock, valued at $43,874,798.72. This trade represents a 4.56% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 3.80% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Snap-On

A number of hedge funds have recently added to or reduced their stakes in SNA. Thurston Springer Miller Herd & Titak Inc. acquired a new position in Snap-On in the fourth quarter worth approximately $25,000. DV Equities LLC acquired a new position in Snap-On in the fourth quarter worth approximately $25,000. GoalVest Advisory LLC acquired a new position in Snap-On in the fourth quarter worth approximately $28,000. Western Wealth Management LLC acquired a new position in Snap-On in the first quarter worth approximately $29,000. Finally, Montag A & Associates Inc. increased its holdings in Snap-On by 331.8% in the fourth quarter. Montag A & Associates Inc. now owns 95 shares of the company’s stock worth $33,000 after buying an additional 73 shares during the last quarter. Institutional investors and hedge funds own 84.88% of the company’s stock.

About Snap-On

Snap?On Incorporated (NYSE: SNA) is a designer, manufacturer and marketer of tools, diagnostic equipment, repair information and shop equipment for professional users. The company’s product range includes hand and power tools, tool storage and cabinets, diagnostic scan tools and software, shop equipment such as lifts and tire changers, and specialized specialty tools for automotive, aviation, marine and industrial applications. Snap?On also offers information and workflow solutions that combine diagnostic data, repair procedures and parts information to support professional technicians.

Founded in 1920 and headquartered in Kenosha, Wisconsin, Snap?On has established a long history in the professional tools market.