WD-40 (NASDAQ:WDFC) Shares Gap Down After Earnings Miss

WD-40 (NASDAQ:WDFC) shares gapped down before the market opened on Friday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $264.78, but opened at $249.72. WD-40 shares last traded at $253.82, with a volume of 34,306 shares changing hands.

The specialty chemicals company reported $1.23 earnings per share for the quarter, missing analysts’ consensus estimates of $1.34 by ($0.11). WD-40 had a return on equity of 32.43% and a net margin of 12.07%. The business had revenue of $156.00 million for the quarter, compared to analysts’ expectations of $149.20 million. During the same period last year, the business earned $1.21 earnings per share. The company’s revenue for the quarter was up 11.0% on a year-over-year basis.

WD-40 Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, October 31st. Investors of record on Friday, October 18th will be given a dividend of $0.88 per share. This represents a $3.52 dividend on an annualized basis and a yield of 1.40%. The ex-dividend date is Friday, October 18th. WD-40’s dividend payout ratio is presently 69.16%.

Wall Street Analysts Forecast Growth

WDFC has been the topic of several analyst reports. DA Davidson raised their price target on shares of WD-40 from $303.00 to $322.00 and gave the stock a “buy” rating in a research note on Friday. Jefferies Financial Group lifted their target price on shares of WD-40 from $250.00 to $280.00 and gave the stock a “hold” rating in a research note on Friday.

Institutional Trading of WD-40

A number of hedge funds have recently added to or reduced their stakes in the business. Wedmont Private Capital purchased a new position in shares of WD-40 during the 1st quarter worth about $212,000. Bridge City Capital LLC boosted its holdings in shares of WD-40 by 0.8% in the 1st quarter. Bridge City Capital LLC now owns 5,991 shares of the specialty chemicals company’s stock valued at $1,518,000 after purchasing an additional 45 shares during the last quarter. Allspring Global Investments Holdings LLC grew its stake in shares of WD-40 by 152.5% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 1,689 shares of the specialty chemicals company’s stock valued at $428,000 after buying an additional 1,020 shares during the period. BNP Paribas Financial Markets increased its holdings in shares of WD-40 by 17.3% during the 1st quarter. BNP Paribas Financial Markets now owns 14,233 shares of the specialty chemicals company’s stock worth $3,605,000 after buying an additional 2,096 shares during the last quarter. Finally, Whittier Trust Co. raised its position in shares of WD-40 by 4.0% in the 1st quarter. Whittier Trust Co. now owns 39,612 shares of the specialty chemicals company’s stock worth $10,034,000 after buying an additional 1,517 shares during the period. 91.52% of the stock is owned by institutional investors and hedge funds.

WD-40 Stock Down 4.8 %

The stock has a fifty day moving average of $256.53 and a two-hundred day moving average of $242.44. The company has a quick ratio of 1.56, a current ratio of 2.27 and a debt-to-equity ratio of 0.40. The stock has a market cap of $3.40 billion, a price-to-earnings ratio of 49.36 and a beta of -0.08.

WD-40 Company Profile

WD-40 Company develops and sells maintenance products, and homecare and cleaning products in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company provides multi-purpose maintenance products that include aerosol sprays, non-aerosol trigger sprays, precision pens, and in liquid-bulk form products under the WD-40 Multi-Use brand name; specialty maintenance products, such as penetrants, degreasers, corrosion inhibitors, greases, lubricants, and rust removers under the WD-40 Specialist brand; and bike-specific products.