Zacks Investment Research downgraded shares of Ingersoll-Rand (NYSE:IR) from a buy rating to a hold rating in a research note issued to investors on Wednesday.
According to Zacks, “Ingersoll is focusing on improving the efficiencies and capabilities of products and services within its core businesses to enhance profitability. The geographic and industrial diversity coupled with a large installed product base provides ample growth opportunities within service, spare parts and replacement revenue streams. A robust operating platform and an efficient management team will likely drive net asset value and dividend growth in future. Recently, the company hiked its quarterly dividend rate by 18%. The stock has also outperformed the industry in the past three months. However, operating risks from high R&D costs for technology-driven products are expected to weigh on the company's margins. Brexit could further result in higher tariff and non-tariff barriers to trade between the U.K. and the European Union, lowering productivity of the company.”
Several other brokerages also recently commented on IR. Citigroup dropped their target price on shares of Ingersoll-Rand from $110.00 to $109.00 and set a buy rating on the stock in a report on Monday, April 9th. Stifel Nicolaus lifted their target price on shares of Ingersoll-Rand from $94.00 to $104.00 and gave the stock a buy rating in a report on Thursday, April 26th. Wolfe Research started coverage on shares of Ingersoll-Rand in a report on Wednesday. They issued an outperform rating on the stock. Cowen assumed coverage on shares of Ingersoll-Rand in a report on Tuesday, June 19th. They issued an outperform rating and a $111.00 target price on the stock. Finally, Royal Bank of Canada restated a hold rating and set a $99.00 price objective on shares of Ingersoll-Rand in a report on Tuesday, February 27th. One equities research analyst has rated the stock with a sell rating, eight have given a hold rating and ten have assigned a buy rating to the company’s stock. The company has a consensus rating of Hold and a consensus price target of $104.50.
NYSE:IR opened at $88.89 on Wednesday. The company has a market cap of $22.09 billion, a P/E ratio of 19.71, a price-to-earnings-growth ratio of 1.53 and a beta of 1.34. Ingersoll-Rand has a one year low of $79.63 and a one year high of $97.67. The company has a debt-to-equity ratio of 0.52, a quick ratio of 0.99 and a current ratio of 1.41.
Ingersoll-Rand (NYSE:IR) last announced its earnings results on Wednesday, April 25th. The industrial products company reported $0.70 EPS for the quarter, topping the consensus estimate of $0.62 by $0.08. The firm had revenue of $3.39 billion for the quarter, compared to the consensus estimate of $3.19 billion. Ingersoll-Rand had a net margin of 8.96% and a return on equity of 17.03%. The business’s quarterly revenue was up 12.8% on a year-over-year basis. During the same quarter last year, the firm posted $0.57 EPS. analysts expect that Ingersoll-Rand will post 5.29 earnings per share for the current fiscal year.
The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 28th. Stockholders of record on Friday, September 7th will be issued a dividend of $0.53 per share. This is an increase from Ingersoll-Rand’s previous quarterly dividend of $0.45. The ex-dividend date of this dividend is Thursday, September 6th. This represents a $2.12 annualized dividend and a dividend yield of 2.38%. Ingersoll-Rand’s payout ratio is presently 39.91%.
In other news, insider Paul A. Camuti sold 3,100 shares of Ingersoll-Rand stock in a transaction dated Thursday, May 17th. The shares were sold at an average price of $90.00, for a total transaction of $279,000.00. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, SVP Marcia J. Avedon sold 10,460 shares of Ingersoll-Rand stock in a transaction dated Monday, June 11th. The shares were sold at an average price of $92.00, for a total transaction of $962,320.00. Following the sale, the senior vice president now owns 113,288 shares in the company, valued at $10,422,496. The disclosure for this sale can be found here. Insiders own 0.70% of the company’s stock.
Institutional investors have recently modified their holdings of the company. Synovus Financial Corp acquired a new stake in shares of Ingersoll-Rand during the 1st quarter valued at about $118,000. Thompson Davis & CO. Inc. boosted its position in shares of Ingersoll-Rand by 140.7% during the 1st quarter. Thompson Davis & CO. Inc. now owns 1,793 shares of the industrial products company’s stock valued at $153,000 after acquiring an additional 1,048 shares in the last quarter. Rational Advisors LLC acquired a new stake in shares of Ingersoll-Rand during the 1st quarter valued at about $162,000. NuWave Investment Management LLC boosted its position in shares of Ingersoll-Rand by 299.0% during the 1st quarter. NuWave Investment Management LLC now owns 2,398 shares of the industrial products company’s stock valued at $204,000 after acquiring an additional 1,797 shares in the last quarter. Finally, Financial Counselors Inc. acquired a new stake in shares of Ingersoll-Rand during the 4th quarter valued at about $205,000. Institutional investors and hedge funds own 79.67% of the company’s stock.
Ingersoll-Rand Company Profile
Ingersoll-Rand plc designs, manufactures, sells, and services industrial and commercial products. It operates through Climate and Industrial segments. The Climate segment offers building management, bus, rail, and multi-pipe HVAC, control, container and cryogenic, diesel-powered, ductless, geothermal, package heating and cooling, rail and self-powered truck refrigeration, temporary heating and cooling, trailer refrigeration, unitary, and vehicle-powered truck refrigeration systems.
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