Fred Alger Management LLC Acquires 1,627,482 Shares of Gates Industrial Corp PLC (NYSE:GTES)

Fred Alger Management LLC increased its holdings in shares of Gates Industrial Corp PLC (NYSE:GTES) by 156.8% in the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 2,665,632 shares of the company’s stock after purchasing an additional 1,627,482 shares during the quarter. Fred Alger Management LLC’s holdings in Gates Industrial were worth $42,144,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in GTES. Bank of Montreal Can grew its holdings in Gates Industrial by 2.5% during the 2nd quarter. Bank of Montreal Can now owns 33,800 shares of the company’s stock valued at $535,000 after buying an additional 823 shares in the last quarter. Advisory Services Network LLC grew its stake in Gates Industrial by 2.9% during the fourth quarter. Advisory Services Network LLC now owns 34,508 shares of the company’s stock valued at $463,000 after acquiring an additional 978 shares in the last quarter. Principal Financial Group Inc. grew its stake in Gates Industrial by 8.9% during the second quarter. Principal Financial Group Inc. now owns 15,242 shares of the company’s stock valued at $241,000 after acquiring an additional 1,250 shares in the last quarter. Headlands Technologies LLC increased its holdings in Gates Industrial by 341.1% in the 2nd quarter. Headlands Technologies LLC now owns 1,707 shares of the company’s stock valued at $27,000 after acquiring an additional 1,320 shares during the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank lifted its stake in Gates Industrial by 4.8% in the 2nd quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 35,554 shares of the company’s stock worth $560,000 after purchasing an additional 1,616 shares in the last quarter. Institutional investors own 98.50% of the company’s stock.

Gates Industrial Price Performance

Shares of GTES stock opened at $17.60 on Wednesday. The stock has a market capitalization of $4.60 billion, a price-to-earnings ratio of 19.34 and a beta of 1.41. The company has a current ratio of 3.11, a quick ratio of 2.20 and a debt-to-equity ratio of 0.68. Gates Industrial Corp PLC has a twelve month low of $10.68 and a twelve month high of $19.07. The stock has a fifty day simple moving average of $17.28 and a two-hundred day simple moving average of $17.01.

Gates Industrial (NYSE:GTES) last released its quarterly earnings data on Wednesday, July 31st. The company reported $0.34 earnings per share for the quarter, topping analysts’ consensus estimates of $0.33 by $0.01. Gates Industrial had a net margin of 7.24% and a return on equity of 10.27%. The company had revenue of $885.50 million during the quarter, compared to analyst estimates of $893.00 million. On average, analysts predict that Gates Industrial Corp PLC will post 1.24 EPS for the current fiscal year.

Gates Industrial declared that its board has approved a stock buyback program on Wednesday, July 31st that authorizes the company to repurchase $250.00 million in shares. This repurchase authorization authorizes the company to repurchase up to 5.4% of its shares through open market purchases. Shares repurchase programs are often an indication that the company’s management believes its stock is undervalued.

Wall Street Analysts Forecast Growth

A number of research analysts have recently weighed in on GTES shares. The Goldman Sachs Group raised their price objective on Gates Industrial from $18.00 to $20.00 and gave the company a “neutral” rating in a research report on Thursday, August 1st. Royal Bank of Canada raised Gates Industrial from a “sector perform” rating to an “outperform” rating and lifted their price objective for the stock from $20.00 to $22.00 in a research note on Monday, August 19th. Morgan Stanley began coverage on Gates Industrial in a report on Friday, September 6th. They set an “equal weight” rating and a $19.00 price objective on the stock. Evercore ISI raised their target price on shares of Gates Industrial from $15.00 to $16.00 and gave the company an “in-line” rating in a report on Monday, August 19th. Finally, Barclays decreased their price target on shares of Gates Industrial from $17.00 to $16.00 and set an “equal weight” rating on the stock in a research note on Tuesday, June 4th. Four investment analysts have rated the stock with a hold rating and six have given a buy rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $19.40.

Insider Activity

In other Gates Industrial news, Director Wilson S. Neely acquired 11,952 shares of Gates Industrial stock in a transaction that occurred on Wednesday, August 21st. The stock was bought at an average price of $16.80 per share, with a total value of $200,793.60. Following the completion of the purchase, the director now directly owns 6,000 shares of the company’s stock, valued at approximately $100,800. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 2.30% of the company’s stock.

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.