Hsbc Holdings PLC Invests $227,000 in Gates Industrial Corp PLC (NYSE:GTES)

Hsbc Holdings PLC bought a new stake in Gates Industrial Corp PLC (NYSE:GTES) in the 2nd quarter, HoldingsChannel reports. The institutional investor bought 14,369 shares of the company’s stock, valued at approximately $227,000.

A number of other institutional investors have also added to or reduced their stakes in the company. Vanguard Group Inc. lifted its position in shares of Gates Industrial by 17.5% in the 1st quarter. Vanguard Group Inc. now owns 18,008,743 shares of the company’s stock worth $318,935,000 after acquiring an additional 2,678,954 shares during the period. Allspring Global Investments Holdings LLC raised its stake in shares of Gates Industrial by 19.9% in the first quarter. Allspring Global Investments Holdings LLC now owns 14,750,718 shares of the company’s stock valued at $261,235,000 after purchasing an additional 2,450,526 shares in the last quarter. Fiduciary Management Inc. WI lifted its position in Gates Industrial by 31.6% in the fourth quarter. Fiduciary Management Inc. WI now owns 7,031,944 shares of the company’s stock worth $94,369,000 after purchasing an additional 1,689,991 shares during the period. Confluence Investment Management LLC acquired a new stake in Gates Industrial during the first quarter worth $28,390,000. Finally, Dimensional Fund Advisors LP increased its holdings in Gates Industrial by 9.5% in the 2nd quarter. Dimensional Fund Advisors LP now owns 11,921,356 shares of the company’s stock valued at $188,477,000 after buying an additional 1,037,741 shares during the period. 98.50% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several analysts have recently weighed in on GTES shares. Morgan Stanley initiated coverage on shares of Gates Industrial in a research report on Friday, September 6th. They set an “equal weight” rating and a $19.00 target price on the stock. The Goldman Sachs Group lifted their price objective on Gates Industrial from $18.00 to $20.00 and gave the company a “neutral” rating in a report on Thursday, August 1st. Robert W. Baird dropped their target price on Gates Industrial from $26.00 to $22.00 and set an “outperform” rating for the company in a report on Thursday, August 1st. Evercore ISI boosted their price target on Gates Industrial from $15.00 to $16.00 and gave the company an “in-line” rating in a research note on Monday, August 19th. Finally, Royal Bank of Canada raised Gates Industrial from a “sector perform” rating to an “outperform” rating and lifted their price objective for the company from $20.00 to $22.00 in a report on Monday, August 19th. Four research analysts have rated the stock with a hold rating and six have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $19.40.

Insider Transactions at Gates Industrial

In other news, Director Wilson S. Neely purchased 11,952 shares of the firm’s stock in a transaction that occurred on Wednesday, August 21st. The shares were acquired at an average price of $16.80 per share, for a total transaction of $200,793.60. Following the completion of the acquisition, the director now directly owns 6,000 shares in the company, valued at approximately $100,800. The trade was a -200.00 % increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. 2.30% of the stock is currently owned by corporate insiders.

Gates Industrial Stock Performance

Gates Industrial stock opened at $17.51 on Friday. Gates Industrial Corp PLC has a 12-month low of $10.68 and a 12-month high of $19.07. The stock has a 50-day simple moving average of $17.29 and a 200 day simple moving average of $17.04. The company has a quick ratio of 2.20, a current ratio of 3.11 and a debt-to-equity ratio of 0.68. The stock has a market capitalization of $4.58 billion, a price-to-earnings ratio of 19.24 and a beta of 1.41.

Gates Industrial (NYSE:GTES) last announced its earnings results on Wednesday, July 31st. The company reported $0.34 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.33 by $0.01. The company had revenue of $885.50 million for the quarter, compared to analyst estimates of $893.00 million. Gates Industrial had a net margin of 7.24% and a return on equity of 10.27%. On average, research analysts anticipate that Gates Industrial Corp PLC will post 1.24 earnings per share for the current fiscal year.

Gates Industrial announced that its board has approved a share repurchase program on Wednesday, July 31st that allows the company to buyback $250.00 million in shares. This buyback authorization allows the company to reacquire up to 5.4% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board believes its shares are undervalued.

Gates Industrial Profile

Gates Industrial Corporation PLC designs and manufactures power transmission equipment. Its products serves harsh and hazardous industries such as agriculture, construction, manufacturing and energy, to everyday consumer applications such as printers, power washers, automatic doors and vacuum cleaners and virtually every form of transportation.