Greif (NYSE:GEF) Reaches New 12-Month Low on Disappointing Earnings

Shares of Greif, Inc. (NYSE:GEF) reached a new 52-week low on Thursday after the company announced weaker than expected quarterly earnings. The stock traded as low as $54.93 and last traded at $55.84, with a volume of 38419 shares trading hands. The stock had previously closed at $60.35.

The industrial products company reported $0.39 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.72 by ($0.33). Greif had a net margin of 4.81% and a return on equity of 11.84%. The business had revenue of $1.27 billion during the quarter, compared to analyst estimates of $1.26 billion.

Greif Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, April 1st. Shareholders of record on Monday, March 17th will be paid a dividend of $0.54 per share. This represents a $2.16 annualized dividend and a yield of 3.87%. The ex-dividend date of this dividend is Monday, March 17th. Greif’s dividend payout ratio (DPR) is presently 47.79%.

Wall Street Analysts Forecast Growth

Several equities analysts have weighed in on the company. Robert W. Baird raised their price objective on Greif from $70.00 to $75.00 and gave the company a “neutral” rating in a research note on Friday, December 6th. Sidoti assumed coverage on Greif in a research note on Wednesday, November 20th. They set a “buy” rating and a $93.00 price objective on the stock. Bank of America dropped their price objective on Greif from $79.00 to $73.00 and set a “buy” rating on the stock in a research note on Monday, January 6th. Finally, Truist Financial lifted their target price on Greif from $67.00 to $71.00 and gave the stock a “hold” rating in a research note on Monday, January 6th. Four equities research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $79.33.

Insider Transactions at Greif

In other news, CFO Lawrence A. Hilsheimer acquired 1,075 shares of the stock in a transaction that occurred on Thursday, December 26th. The shares were acquired at an average cost of $69.14 per share, for a total transaction of $74,325.50. Following the purchase, the chief financial officer now owns 165,426 shares of the company’s stock, valued at approximately $11,437,553.64. The trade was a 0.65 % increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Bala Sathyanarayanan sold 748 shares of the business’s stock in a transaction dated Wednesday, January 8th. The shares were sold at an average price of $60.21, for a total value of $45,037.08. Following the completion of the sale, the executive vice president now owns 32,729 shares in the company, valued at $1,970,613.09. This represents a 2.23 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have acquired 6,225 shares of company stock worth $431,731 in the last ninety days. Company insiders own 7.60% of the company’s stock.

Institutional Investors Weigh In On Greif

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in GEF. Avior Wealth Management LLC purchased a new position in Greif during the 4th quarter valued at about $31,000. Quarry LP purchased a new position in Greif during the 4th quarter valued at about $53,000. Quest Partners LLC grew its holdings in Greif by 35.0% during the 3rd quarter. Quest Partners LLC now owns 2,257 shares of the industrial products company’s stock valued at $141,000 after buying an additional 585 shares in the last quarter. Principal Securities Inc. grew its holdings in shares of Greif by 28.2% during the fourth quarter. Principal Securities Inc. now owns 2,444 shares of the industrial products company’s stock worth $149,000 after purchasing an additional 537 shares in the last quarter. Finally, State of Alaska Department of Revenue grew its holdings in shares of Greif by 7.0% during the third quarter. State of Alaska Department of Revenue now owns 3,068 shares of the industrial products company’s stock worth $192,000 after purchasing an additional 200 shares in the last quarter. 45.74% of the stock is currently owned by institutional investors.

Greif Stock Down 7.5 %

The company has a debt-to-equity ratio of 1.26, a current ratio of 1.53 and a quick ratio of 1.13. The company has a market cap of $2.63 billion, a PE ratio of 12.35, a price-to-earnings-growth ratio of 1.02 and a beta of 0.94. The company has a fifty day moving average price of $60.92 and a 200 day moving average price of $63.11.

About Greif

Greif, Inc engages in the production and sale of industrial packaging products and services worldwide. The company operates through Global Industrial Packaging; Paper Packaging & Services; and Land Management segments. The Global Industrial Packaging segment produces and sells industrial packaging products, including steel, fiber, and plastic drums; rigid and flexible intermediate bulk containers; closure systems for industrial packaging products; transit protection products; water bottles, and remanufactured and reconditioned industrial containers; and various services, such as container life cycle management, filling, logistics, warehousing, and other packaging services to chemicals, paints and pigments, food and beverage, petroleum, industrial coatings, agriculture, pharmaceuticals, mineral product, and other industries.