Timken (NYSE:TKR) Sets New 52-Week Low - Here's Why

The Timken Company (NYSE:TKR - Get Free Report)'s stock price reached a new 52-week low during trading on Monday . The stock traded as low as $57.17 and last traded at $57.51, with a volume of 30756 shares changing hands. The stock had previously closed at $60.09.

Analysts Set New Price Targets

A number of brokerages have commented on TKR. Morgan Stanley boosted their price objective on Timken from $93.00 to $94.00 and gave the stock an "overweight" rating in a research note on Tuesday, February 11th. Jefferies Financial Group reissued a "hold" rating and set a $70.00 price target (down from $90.00) on shares of Timken in a research report on Wednesday, April 2nd. Citigroup lowered their price objective on shares of Timken from $95.00 to $70.00 and set a "buy" rating for the company in a research report on Tuesday. Bank of America raised shares of Timken from an "underperform" rating to a "neutral" rating and boosted their target price for the stock from $73.00 to $78.00 in a research report on Tuesday, February 4th. Finally, Evercore ISI raised their price target on shares of Timken from $91.00 to $102.00 and gave the company an "outperform" rating in a report on Wednesday, February 19th. Six research analysts have rated the stock with a hold rating and six have assigned a buy rating to the company. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $87.45.

Timken Stock Up 2.1 %

The stock has a market capitalization of $4.30 billion, a P/E ratio of 12.32, a P/E/G ratio of 1.51 and a beta of 1.28. The company has a current ratio of 3.07, a quick ratio of 1.61 and a debt-to-equity ratio of 0.69. The stock's 50 day simple moving average is $74.57 and its 200 day simple moving average is $76.78.

Remove Ads

Timken (NYSE:TKR - Get Free Report) last issued its quarterly earnings results on Wednesday, February 5th. The industrial products company reported $1.16 EPS for the quarter, topping the consensus estimate of $1.08 by $0.08. Timken had a net margin of 7.71% and a return on equity of 13.93%. As a group, research analysts predict that The Timken Company will post 5.62 EPS for the current fiscal year.

Timken Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, March 7th. Investors of record on Tuesday, February 25th were given a dividend of $0.34 per share. This represents a $1.36 annualized dividend and a dividend yield of 2.21%. The ex-dividend date of this dividend was Tuesday, February 25th. Timken's dividend payout ratio is currently 27.25%.

Insider Buying and Selling

In related news, CFO Philip D. Fracassa sold 5,000 shares of the firm's stock in a transaction that occurred on Friday, February 7th. The stock was sold at an average price of $81.50, for a total value of $407,500.00. Following the sale, the chief financial officer now owns 90,541 shares of the company's stock, valued at approximately $7,379,091.50. This trade represents a 5.23 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. 8.70% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Timken

A number of hedge funds have recently added to or reduced their stakes in the stock. Vestcor Inc bought a new stake in Timken in the 3rd quarter valued at about $560,000. Barclays PLC raised its holdings in shares of Timken by 221.6% during the third quarter. Barclays PLC now owns 86,667 shares of the industrial products company's stock valued at $7,307,000 after buying an additional 59,716 shares during the last quarter. Harbor Capital Advisors Inc. boosted its position in shares of Timken by 29.2% during the fourth quarter. Harbor Capital Advisors Inc. now owns 60,625 shares of the industrial products company's stock worth $4,327,000 after buying an additional 13,697 shares during the period. Raymond James Financial Inc. bought a new position in Timken in the 4th quarter worth approximately $14,460,000. Finally, Janney Montgomery Scott LLC increased its position in Timken by 25.9% in the 4th quarter. Janney Montgomery Scott LLC now owns 107,102 shares of the industrial products company's stock valued at $7,644,000 after acquiring an additional 22,003 shares during the period. 89.08% of the stock is currently owned by institutional investors.

About Timken

The Timken Company designs, manufactures, and sells engineered bearings and industrial motion products, and related services in the United States and internationally. The company's Engineered Bearings segment provides various bearing products, including tapered, spherical, and cylindrical roller bearings; plain bearings, metal-polymer bearings, and rod end bearings; radial, angular, and precision ball bearings; thrust and specialty ball bearings; journal bearings; and housed or mounted bearings.