W.W. Grainger (NYSE:GWW) Shares Gap Down Following Weak Earnings

W.W. Grainger, Inc. (NYSE:GWW) gapped down before the market opened on Friday following a dissappointing earnings announcement. The stock had previously closed at $1,126.07, but opened at $1,062.20. W.W. Grainger shares last traded at $1,034.28, with a volume of 49,558 shares changing hands.

The industrial products company reported $9.71 EPS for the quarter, missing the consensus estimate of $9.75 by ($0.04). W.W. Grainger had a return on equity of 51.78% and a net margin of 10.80%. During the same period in the prior year, the business posted $8.33 earnings per share.

W.W. Grainger Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Saturday, March 1st. Investors of record on Monday, February 10th will be issued a $2.05 dividend. The ex-dividend date of this dividend is Monday, February 10th. This represents a $8.20 dividend on an annualized basis and a yield of 0.77%. W.W. Grainger’s dividend payout ratio is presently 22.23%.

Analyst Ratings Changes

A number of equities research analysts have issued reports on the company. UBS Group assumed coverage on W.W. Grainger in a research report on Wednesday, November 13th. They set a “neutral” rating and a $1,280.00 price objective on the stock. Bank of America initiated coverage on W.W. Grainger in a research report on Monday, October 7th. They issued an “underperform” rating and a $925.00 target price on the stock. Robert W. Baird upgraded shares of W.W. Grainger from a “neutral” rating to an “outperform” rating and upped their price objective for the stock from $975.00 to $1,230.00 in a research report on Wednesday, October 16th. Northcoast Research assumed coverage on W.W. Grainger in a report on Tuesday, October 29th. They issued a “neutral” rating on the stock. Finally, Morgan Stanley increased their price target on shares of W.W. Grainger from $990.00 to $1,215.00 and gave the company an “equal weight” rating in a research note on Tuesday, November 19th. One analyst has rated the stock with a sell rating, ten have given a hold rating, two have issued a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat.com, W.W. Grainger currently has an average rating of “Hold” and a consensus price target of $1,140.56.

Insider Activity at W.W. Grainger

In other news, VP Laurie R. Thomson sold 125 shares of the stock in a transaction on Wednesday, November 13th. The shares were sold at an average price of $1,206.03, for a total value of $150,753.75. Following the completion of the transaction, the vice president now owns 675 shares in the company, valued at approximately $814,070.25. This represents a 15.63 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, VP Paige K. Robbins sold 9,577 shares of the business’s stock in a transaction on Tuesday, November 5th. The shares were sold at an average price of $1,117.84, for a total value of $10,705,553.68. Following the completion of the sale, the vice president now directly owns 4,379 shares in the company, valued at approximately $4,895,021.36. This represents a 68.62 % decrease in their position. The disclosure for this sale can be found here. 9.50% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. Cetera Investment Advisers increased its holdings in shares of W.W. Grainger by 7.3% during the 2nd quarter. Cetera Investment Advisers now owns 14,801 shares of the industrial products company’s stock worth $13,354,000 after acquiring an additional 1,006 shares during the last quarter. Sanctuary Advisors LLC bought a new stake in shares of W.W. Grainger during the 2nd quarter worth $4,558,000. Czech National Bank lifted its stake in W.W. Grainger by 8.6% in the 3rd quarter. Czech National Bank now owns 9,051 shares of the industrial products company’s stock valued at $9,402,000 after purchasing an additional 718 shares during the last quarter. Park Avenue Securities LLC raised its position in W.W. Grainger by 1.0% in the third quarter. Park Avenue Securities LLC now owns 1,184 shares of the industrial products company’s stock valued at $1,230,000 after purchasing an additional 12 shares during the last quarter. Finally, Inspirion Wealth Advisors LLC acquired a new stake in W.W. Grainger during the 3rd quarter worth approximately $214,000. 80.70% of the stock is owned by institutional investors and hedge funds.

W.W. Grainger Price Performance

The stock has a market capitalization of $51.84 billion, a price-to-earnings ratio of 28.85, a P/E/G ratio of 2.86 and a beta of 1.18. The company has a debt-to-equity ratio of 0.59, a quick ratio of 1.68 and a current ratio of 2.59. The company has a fifty day simple moving average of $1,118.60 and a 200 day simple moving average of $1,065.26.

W.W. Grainger Company Profile

W.W. Grainger, Inc, together with its subsidiaries, distributes maintenance, repair, and operating products and services primarily in North America, Japan, the United Kingdom, and internationally. The company operates through two segments, High-Touch Solutions N.A. and Endless Assortment. The company provides safety, security, material handling and storage equipment, pumps and plumbing equipment, cleaning and maintenance, and metalworking and hand tools.