Crown (NYSE:CCK) Shares Gap Up Following Earnings Beat

Crown Holdings, Inc. (NYSE:CCK) shares gapped up before the market opened on Tuesday after the company announced better than expected quarterly earnings. The stock had previously closed at $81.09, but opened at $83.20. Crown shares last traded at $84.50, with a volume of 576,475 shares.

The industrial products company reported $1.02 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.96 by $0.06. Crown had a return on equity of 25.75% and a net margin of 3.75%. The company had revenue of $2.78 billion for the quarter, compared to analysts’ expectations of $2.93 billion. During the same period last year, the business posted $1.20 earnings per share. The firm’s quarterly revenue was down 6.4% compared to the same quarter last year.

Crown Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, March 28th. Investors of record on Thursday, March 14th were given a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a yield of 1.18%. The ex-dividend date was Wednesday, March 13th. This is a positive change from Crown’s previous quarterly dividend of $0.24. Crown’s dividend payout ratio is currently 26.60%.

Wall Street Analysts Forecast Growth

Several research analysts have recently issued reports on CCK shares. Robert W. Baird upgraded shares of Crown from a “neutral” rating to an “outperform” rating and increased their price objective for the company from $85.00 to $90.00 in a report on Tuesday, April 16th. JPMorgan Chase & Co. raised Crown from a “neutral” rating to an “overweight” rating and set a $85.00 price target on the stock in a research report on Wednesday, February 7th. Morgan Stanley began coverage on shares of Crown in a research note on Monday, March 18th. They set an “equal weight” rating and a $87.00 target price for the company. Truist Financial restated a “hold” rating and issued a $88.00 price objective (down previously from $100.00) on shares of Crown in a report on Wednesday, March 27th. Finally, Mizuho lowered their target price on shares of Crown from $105.00 to $96.00 and set a “buy” rating on the stock in a research note on Tuesday, February 6th. Four research analysts have rated the stock with a hold rating and ten have given a buy rating to the company. Based on data from MarketBeat.com, Crown currently has a consensus rating of “Moderate Buy” and a consensus target price of $99.21.

Hedge Funds Weigh In On Crown

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Hudson Bay Capital Management LP grew its position in Crown by 55.6% in the 3rd quarter. Hudson Bay Capital Management LP now owns 70,000 shares of the industrial products company’s stock valued at $6,194,000 after purchasing an additional 25,000 shares during the period. Zurcher Kantonalbank Zurich Cantonalbank boosted its holdings in Crown by 245.5% in the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 62,808 shares of the industrial products company’s stock worth $5,784,000 after buying an additional 44,630 shares during the period. Louisiana State Employees Retirement System bought a new stake in shares of Crown during the 4th quarter valued at $3,122,000. Wellington Management Group LLP increased its holdings in Crown by 4.1% during the 3rd quarter. Wellington Management Group LLP now owns 504,720 shares of the industrial products company’s stock worth $44,658,000 after acquiring an additional 19,666 shares during the period. Finally, SeaTown Holdings Pte. Ltd. boosted its holdings in Crown by 19.6% in the 3rd quarter. SeaTown Holdings Pte. Ltd. now owns 86,100 shares of the industrial products company’s stock valued at $7,618,000 after purchasing an additional 14,100 shares during the period. Institutional investors own 90.93% of the company’s stock.

Crown Stock Up 4.2 %

The stock has a 50-day moving average of $77.60 and a 200-day moving average of $82.60. The company has a quick ratio of 0.77, a current ratio of 1.15 and a debt-to-equity ratio of 2.34. The company has a market cap of $10.21 billion, a PE ratio of 21.55, a P/E/G ratio of 2.73 and a beta of 0.91.

About Crown

Crown Holdings, Inc, together with its subsidiaries, engages in the packaging business in the United States and internationally. It operates through Americas Beverage, European Beverage, Asia Pacific, and Transit Packaging segments. The company manufactures and sells recyclable aluminum beverage cans and ends, glass bottles, steel crowns, aluminum caps, non-beverage cans, and aerosol cans and closures.