UBS Group Upgrades Constellium (NYSE:CSTM) to “Strong-Buy”

Constellium (NYSE:CSTM) was upgraded by UBS Group to a “strong-buy” rating in a research note issued on Tuesday,Zacks.com reports.

CSTM has been the subject of several other research reports. Wells Fargo & Company lifted their price target on shares of Constellium from $35.00 to $39.00 and gave the company an “overweight” rating in a research note on Thursday, April 30th. BMO Capital Markets set a $32.00 price target on Constellium and gave the stock an “outperform” rating in a research report on Thursday, April 9th. JPMorgan Chase & Co. reissued a “neutral” rating and set a $34.00 price objective (up from $30.00) on shares of Constellium in a report on Thursday, April 30th. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and issued a $40.00 price objective on shares of Constellium in a research note on Thursday, April 30th. Finally, Zacks Research cut Constellium from a “strong-buy” rating to a “hold” rating in a research report on Monday, April 13th. One research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $36.60.

Constellium Trading Down 1.5%

NYSE:CSTM traded down $0.49 during midday trading on Tuesday, hitting $32.84. 105,230 shares of the company traded hands, compared to its average volume of 2,202,796. The company has a current ratio of 1.39, a quick ratio of 0.60 and a debt-to-equity ratio of 1.71. Constellium has a 12-month low of $10.90 and a 12-month high of $33.86. The firm has a market capitalization of $4.47 billion, a P/E ratio of 10.64 and a beta of 1.54. The firm’s fifty day moving average is $27.34 and its 200-day moving average is $22.18.

Constellium (NYSE:CSTM) last released its earnings results on Wednesday, April 29th. The industrial products company reported $1.42 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.62 by $0.80. Constellium had a net margin of 4.87% and a return on equity of 46.22%. The firm had revenue of $2.46 billion during the quarter, compared to analyst estimates of $2.43 billion. During the same quarter last year, the business earned $0.26 EPS. The business’s revenue was up 24.4% on a year-over-year basis. On average, sell-side analysts predict that Constellium will post 2.85 EPS for the current year.

Constellium declared that its board has approved a stock repurchase program on Thursday, March 12th that permits the company to buyback $300.00 million in shares. This buyback authorization permits the industrial products company to reacquire up to 8.8% of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s leadership believes its stock is undervalued.

Insider Buying and Selling

In other Constellium news, CFO Jack Q. Guo sold 41,717 shares of the stock in a transaction dated Tuesday, March 10th. The stock was sold at an average price of $25.87, for a total value of $1,079,218.79. Following the completion of the sale, the chief financial officer directly owned 190,879 shares in the company, valued at approximately $4,938,039.73. This trade represents a 17.94% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, insider Philippe Hoffmann sold 50,000 shares of the firm’s stock in a transaction dated Friday, May 1st. The stock was sold at an average price of $31.92, for a total value of $1,596,000.00. Following the completion of the sale, the insider directly owned 144,153 shares of the company’s stock, valued at approximately $4,601,363.76. This represents a 25.75% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 318,327 shares of company stock valued at $8,882,905 over the last quarter. Insiders own 1.20% of the company’s stock.

Institutional Trading of Constellium

Several large investors have recently bought and sold shares of CSTM. JPMorgan Chase & Co. lifted its position in Constellium by 10.9% during the third quarter. JPMorgan Chase & Co. now owns 2,407,597 shares of the industrial products company’s stock valued at $35,825,000 after purchasing an additional 236,264 shares during the period. Sequoia Financial Advisors LLC purchased a new position in shares of Constellium during the 3rd quarter valued at about $2,876,000. Knights of Columbus Asset Advisors LLC purchased a new position in shares of Constellium during the 3rd quarter valued at about $1,969,000. Mitsubishi UFJ Trust & Banking Corp lifted its holdings in shares of Constellium by 89.1% in the 3rd quarter. Mitsubishi UFJ Trust & Banking Corp now owns 121,720 shares of the industrial products company’s stock valued at $1,811,000 after buying an additional 57,337 shares during the period. Finally, SG Americas Securities LLC boosted its stake in shares of Constellium by 97.2% in the third quarter. SG Americas Securities LLC now owns 889,288 shares of the industrial products company’s stock worth $13,233,000 after buying an additional 438,412 shares during the last quarter. Hedge funds and other institutional investors own 92.59% of the company’s stock.

Constellium Company Profile

Constellium SE is a global leader in the design and manufacture of high-performance aluminum products and solutions. The company serves key markets including aerospace, automotive, and packaging, offering advanced rolled and extruded aluminum sheet, plate and structural components. Its product portfolio encompasses precision-engineered parts for commercial and military aircraft, automotive body structures and closures, beverage and specialty packaging, as well as industrial and structural applications.

Established in 2011 through the consolidation of Rio Tinto Alcan’s rolled-products and engineered-products businesses, Constellium has built a reputation for innovation in lightweighting and sustainability.