Alamo Group (NYSE:ALG) Cut to “Sell” at Zacks Investment Research

Zacks Investment Research downgraded shares of Alamo Group (NYSE:ALG) from a hold rating to a sell rating in a research report report published on Tuesday morning, Zacks.com reports.

According to Zacks, “Alamo Group is a leader in the design, manufacture, distribution and service of high quality equipment for infrastructure maintenance, agriculture and other applications. Their products include truck and tractor mounted mowing and other vegetation maintenance equipment, street sweepers, snow removal equipment, excavators, vacuum trucks, other industrial equipment, agricultural implements and related after-market parts and services. “

ALG has been the subject of a number of other research reports. Sidoti lifted their target price on Alamo Group from $145.00 to $150.00 and gave the stock a buy rating in a report on Friday, October 25th. Dougherty & Co downgraded Alamo Group from a buy rating to a neutral rating in a report on Sunday, November 3rd.

Shares of ALG traded down $0.45 during midday trading on Tuesday, reaching $107.46. 89,382 shares of the stock were exchanged, compared to its average volume of 76,209. Alamo Group has a twelve month low of $72.50 and a twelve month high of $129.93. The company has a quick ratio of 2.65, a current ratio of 4.36 and a debt-to-equity ratio of 0.27. The company has a market cap of $1.28 billion, a P/E ratio of 18.00, a PEG ratio of 1.82 and a beta of 0.72. The stock’s 50 day simple moving average is $117.10 and its 200 day simple moving average is $106.81.

Alamo Group (NYSE:ALG) last posted its earnings results on Wednesday, October 30th. The industrial products company reported $1.54 earnings per share for the quarter, missing the Zacks’ consensus estimate of $1.88 by ($0.34). Alamo Group had a return on equity of 13.07% and a net margin of 6.50%. The firm had revenue of $271.83 million for the quarter. As a group, analysts predict that Alamo Group will post 6.24 earnings per share for the current year.

The company also recently announced a quarterly dividend, which was paid on Monday, October 28th. Stockholders of record on Tuesday, October 15th were issued a dividend of $0.12 per share. This represents a $0.48 dividend on an annualized basis and a dividend yield of 0.45%. The ex-dividend date was Friday, October 11th. Alamo Group’s dividend payout ratio is currently 8.04%.

In related news, EVP Jeffery Allen Leonard sold 1,000 shares of the business’s stock in a transaction dated Wednesday, August 14th. The stock was sold at an average price of $106.18, for a total value of $106,180.00. Following the completion of the transaction, the executive vice president now owns 14,900 shares of the company’s stock, valued at $1,582,082. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, VP Dan Edward Malone sold 1,200 shares of the business’s stock in a transaction dated Friday, August 16th. The shares were sold at an average price of $108.73, for a total value of $130,476.00. Following the completion of the transaction, the vice president now directly owns 15,550 shares of the company’s stock, valued at approximately $1,690,751.50. The disclosure for this sale can be found here. Insiders have sold 2,270 shares of company stock valued at $245,031 in the last three months. Insiders own 3.29% of the company’s stock.

A number of hedge funds have recently bought and sold shares of ALG. Mawer Investment Management Ltd. acquired a new position in Alamo Group in the second quarter valued at about $27,441,000. Atlanta Capital Management Co. L L C raised its stake in Alamo Group by 87.5% in the second quarter. Atlanta Capital Management Co. L L C now owns 219,095 shares of the industrial products company’s stock valued at $21,894,000 after purchasing an additional 102,235 shares in the last quarter. Nuveen Asset Management LLC acquired a new position in Alamo Group in the second quarter valued at about $4,409,000. Morgan Stanley raised its stake in Alamo Group by 1,724.0% in the second quarter. Morgan Stanley now owns 41,860 shares of the industrial products company’s stock valued at $4,183,000 after purchasing an additional 39,565 shares in the last quarter. Finally, First Trust Advisors LP raised its stake in Alamo Group by 181.3% in the second quarter. First Trust Advisors LP now owns 46,710 shares of the industrial products company’s stock valued at $4,668,000 after purchasing an additional 30,103 shares in the last quarter. 94.61% of the stock is owned by institutional investors and hedge funds.

About Alamo Group

Alamo Group Inc designs, manufactures, distributes, and services agricultural and infrastructure maintenance equipment for governmental and industrial use worldwide. The company offers hydraulically-powered and tractor-mounted mowers, including boom-mounted mowers; other cutters and replacement parts for heavy-duty and intensive uses; and heavy duty, tractor- and truck-mounted mowing, and vegetation maintenance equipment and replacement parts.

See Also: Net Asset Value

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