Cato (NYSE:CATO) Upgraded to “Buy” by StockNews.com

StockNews.com upgraded shares of Cato (NYSE:CATO) from a hold rating to a buy rating in a research note released on Wednesday morning.

Separately, TheStreet downgraded Cato from a c- rating to a d+ rating in a report on Monday, March 18th.

Cato Stock Up 0.8 %

Shares of CATO stock opened at $5.23 on Wednesday. The business has a 50-day moving average price of $5.49 and a two-hundred day moving average price of $6.09. Cato has a 12-month low of $4.56 and a 12-month high of $8.78. The firm has a market cap of $107.53 million, a P/E ratio of -6.23 and a beta of 1.09.

Cato (NYSE:CATO) last issued its quarterly earnings results on Thursday, May 23rd. The specialty retailer reported $0.54 earnings per share (EPS) for the quarter. The firm had revenue of $177.10 million during the quarter. Cato had a negative return on equity of 8.36% and a negative net margin of 2.51%.

Cato Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, June 24th. Stockholders of record on Monday, June 10th were issued a $0.17 dividend. The ex-dividend date of this dividend was Monday, June 10th. This represents a $0.68 annualized dividend and a dividend yield of 13.00%. Cato’s dividend payout ratio is currently -80.95%.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of CATO. Gladius Capital Management LP increased its holdings in Cato by 129.5% during the 3rd quarter. Gladius Capital Management LP now owns 4,197 shares of the specialty retailer’s stock valued at $32,000 after purchasing an additional 2,368 shares during the period. BNP Paribas Financial Markets increased its holdings in Cato by 64.6% during the 1st quarter. BNP Paribas Financial Markets now owns 7,995 shares of the specialty retailer’s stock valued at $46,000 after purchasing an additional 3,139 shares during the period. State Board of Administration of Florida Retirement System purchased a new position in Cato during the 1st quarter valued at about $67,000. Empowered Funds LLC increased its holdings in Cato by 8.1% during the 1st quarter. Empowered Funds LLC now owns 39,666 shares of the specialty retailer’s stock valued at $229,000 after purchasing an additional 2,975 shares during the period. Finally, Connor Clark & Lunn Investment Management Ltd. purchased a new position in Cato during the 3rd quarter valued at about $310,000. Hedge funds and other institutional investors own 61.10% of the company’s stock.

Cato Company Profile

The Cato Corporation, together with its subsidiaries, operates as a specialty retailer of fashion apparel and accessories primarily in the southeastern United States. It operates through two segments, Retail and Credit. The company's stores and e-commerce websites offer a range of apparel and accessories, including dressy, career, and casual sportswear; and dresses, coats, shoes, lingerie, costume jewelry, and handbags, as well as men's wear, and lines for kids and infants.