Gates Industrial Corp PLC (NYSE:GTES) Short Interest Update

Gates Industrial Corp PLC (NYSE:GTES - Get Free Report) was the target of a large growth in short interest in September. As of September 30th, there was short interest totalling 8,690,000 shares, a growth of 11.7% from the September 15th total of 7,780,000 shares. Approximately 3.4% of the shares of the stock are sold short. Based on an average daily trading volume, of 3,460,000 shares, the short-interest ratio is presently 2.5 days.

Analyst Upgrades and Downgrades

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

Gates Industrial Stock Up 0.8 %

Shares of Gates Industrial stock traded up $0.15 on Thursday, hitting $18.34. 2,244,300 shares of the company's stock traded hands, compared to its average volume of 2,984,058. The stock has a market cap of $4.79 billion, a P/E ratio of 20.15 and a beta of 1.40. 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 firm's 50-day moving average is $17.36 and its 200 day moving average is $17.03. Gates Industrial has a 52-week low of $10.68 and a 52-week high of $19.07.

Gates Industrial (NYSE:GTES - Get Free Report) last released its earnings results on Wednesday, July 31st. The company reported $0.34 EPS for the quarter, beating the consensus estimate of $0.33 by $0.01. The company had revenue of $885.50 million during the quarter, compared to analysts' expectations of $893.00 million. Gates Industrial had a return on equity of 10.27% and a net margin of 7.24%. Equities analysts anticipate that Gates Industrial will post 1.24 earnings per share for the current year.

Gates Industrial declared that its Board of Directors has initiated a stock buyback program on Wednesday, July 31st that permits the company to buyback $250.00 million in outstanding shares. This buyback authorization permits the company to purchase up to 5.4% of its stock through open market purchases. Stock buyback programs are typically a sign that the company's board of directors believes its stock is undervalued.

Insider Buying and Selling

In other Gates Industrial news, Director Wilson S. Neely acquired 11,952 shares of the firm's stock in a transaction that occurred on Wednesday, August 21st. The shares were acquired at an average cost of $16.80 per share, for a total transaction of $200,793.60. Following the transaction, the director now directly owns 6,000 shares of the company's stock, valued at approximately $100,800. This represents a -200.00 % increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Insiders own 2.30% of the company's stock.

Hedge Funds Weigh In On Gates Industrial

Several large investors have recently added to or reduced their stakes in GTES. Headlands Technologies LLC increased its position in Gates Industrial by 341.1% in the second quarter. Headlands Technologies LLC now owns 1,707 shares of the company's stock worth $27,000 after buying an additional 1,320 shares during the period. GAMMA Investing LLC increased its position in Gates Industrial by 333.9% in the third quarter. GAMMA Investing LLC now owns 3,896 shares of the company's stock worth $68,000 after buying an additional 2,998 shares during the period. Point72 DIFC Ltd acquired a new stake in Gates Industrial in the second quarter worth $142,000. Levin Capital Strategies L.P. acquired a new stake in Gates Industrial in the second quarter worth $158,000. Finally, MQS Management LLC acquired a new stake in Gates Industrial in the second quarter worth $168,000. 98.50% of the stock is currently owned by institutional investors.

About Gates Industrial

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.