Zacks Investment Research lowered shares of Mohawk Industries (NYSE:MHK) from a hold rating to a sell rating in a report issued on Thursday morning, Zacks.com reports. Zacks Investment Research currently has $131.00 target price on the stock.
According to Zacks, “Mohawk’s second-quarter 2019 earnings topped the Zacks Consensus Estimate by 0.7%, but revenues missed the same by 2.1%. On year-over-year basis, its top line grew marginally but bottom line dipped 17.7%. It is witnessing softness across the markets served, and pressure on volumes and pricing. Input cost inflation, higher transportation expenses, a stronger dollar and increased start-up costs are weighing on margins. Although shares of Mohawk have outperformed its industry year to date, estimates have declined over the past seven days, depicting concerns surrounding the stock’s earnings growth prospect. It is streamlining operations, merging facilities and removing higher cost assets to combat these headwinds. It has been maintaining production rates, introducing new products and growing promotions to address ever-changing market needs.”
A number of other equities analysts also recently issued reports on MHK. ValuEngine upgraded Mohawk Industries from a strong sell rating to a sell rating in a research note on Wednesday, May 15th. Loop Capital raised their price target on Mohawk Industries to $145.00 and gave the stock a hold rating in a research note on Friday, June 14th. Stifel Nicolaus dropped their price target on Mohawk Industries from $180.00 to $165.00 and set a buy rating on the stock in a research note on Monday, July 29th. JPMorgan Chase & Co. dropped their price target on Mohawk Industries from $130.00 to $118.00 and set an underweight rating on the stock in a research note on Monday, July 29th. Finally, Robert W. Baird set a $156.00 price target on Mohawk Industries and gave the stock a buy rating in a research note on Monday, April 22nd. Six investment analysts have rated the stock with a sell rating, eight have given a hold rating and eight have given a buy rating to the stock. Mohawk Industries has an average rating of Hold and an average target price of $142.59.
Shares of MHK stock traded down $0.87 on Thursday, reaching $119.51. The stock had a trading volume of 470,403 shares, compared to its average volume of 920,578. The firm has a market cap of $8.72 billion, a PE ratio of 9.69, a P/E/G ratio of 2.34 and a beta of 1.38. Mohawk Industries has a 1 year low of $109.35 and a 1 year high of $196.30. The company has a debt-to-equity ratio of 0.18, a quick ratio of 0.66 and a current ratio of 1.30. The stock’s 50 day simple moving average is $146.11.
Mohawk Industries (NYSE:MHK) last released its quarterly earnings results on Thursday, July 25th. The company reported $2.89 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $2.87 by $0.02. The firm had revenue of $2.58 billion for the quarter, compared to the consensus estimate of $2.65 billion. Mohawk Industries had a return on equity of 10.50% and a net margin of 7.79%. The company’s revenue for the quarter was up .3% on a year-over-year basis. During the same period last year, the business posted $3.51 EPS. As a group, sell-side analysts predict that Mohawk Industries will post 10.04 EPS for the current year.
In other news, insider Bernard Thiers sold 2,800 shares of Mohawk Industries stock in a transaction dated Wednesday, June 12th. The stock was sold at an average price of $149.85, for a total value of $419,580.00. Following the sale, the insider now directly owns 43,559 shares of the company’s stock, valued at $6,527,316.15. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Suzanne L. Helen sold 4,200 shares of Mohawk Industries stock in a transaction dated Monday, June 10th. The stock was sold at an average price of $148.04, for a total value of $621,768.00. The disclosure for this sale can be found here. Over the last three months, insiders have sold 31,000 shares of company stock worth $4,481,028. Insiders own 18.00% of the company’s stock.
Several hedge funds have recently modified their holdings of MHK. Norinchukin Bank The increased its stake in Mohawk Industries by 0.7% during the first quarter. Norinchukin Bank The now owns 11,664 shares of the company’s stock worth $1,471,000 after acquiring an additional 81 shares during the last quarter. Retirement Systems of Alabama increased its stake in Mohawk Industries by 0.3% during the second quarter. Retirement Systems of Alabama now owns 28,707 shares of the company’s stock worth $4,233,000 after acquiring an additional 88 shares during the last quarter. Parallel Advisors LLC increased its stake in Mohawk Industries by 28.0% during the first quarter. Parallel Advisors LLC now owns 452 shares of the company’s stock worth $57,000 after acquiring an additional 99 shares during the last quarter. TD Asset Management Inc. increased its stake in Mohawk Industries by 0.6% during the first quarter. TD Asset Management Inc. now owns 18,469 shares of the company’s stock worth $2,330,000 after acquiring an additional 111 shares during the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank increased its stake in Mohawk Industries by 0.9% during the second quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 12,883 shares of the company’s stock worth $1,900,000 after acquiring an additional 118 shares during the last quarter. 80.77% of the stock is currently owned by hedge funds and other institutional investors.
Mohawk Industries Company Profile
Mohawk Industries, Inc designs, manufactures, sources, distributes, and markets flooring products for remodeling and new constructions of residential and commercial spaces worldwide. It operates through three segments: Global Ceramic, Flooring North America (Flooring NA), and Flooring Rest of the World (Flooring ROW).
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