Stifel Nicolaus Downgrades Mohawk Industries (MHK) to Hold

Stifel Nicolaus downgraded shares of Mohawk Industries (NYSE:MHK) from a buy rating to a hold rating in a research note published on Monday morning, The Fly reports.

A number of other equities research analysts have also recently commented on the company. Loop Capital set a $122.00 target price on Mohawk Industries and gave the stock a hold rating in a research note on Friday, October 26th. Northcoast Research cut Mohawk Industries from a buy rating to a neutral rating in a research note on Monday. Credit Suisse Group reiterated a neutral rating on shares of Mohawk Industries in a research note on Monday. Nomura lowered their target price on Mohawk Industries from $260.00 to $185.00 and set a buy rating on the stock in a research note on Friday, October 26th. Finally, Bank of America cut Mohawk Industries from a buy rating to an underperform rating and set a $137.00 target price on the stock. in a research note on Monday. Four investment analysts have rated the stock with a sell rating, nine have issued a hold rating and seven have issued a buy rating to the company. The stock currently has a consensus rating of Hold and an average target price of $175.06.

Shares of NYSE:MHK opened at $124.73 on Monday. The company has a current ratio of 1.54, a quick ratio of 0.79 and a debt-to-equity ratio of 0.20. Mohawk Industries has a 1-year low of $113.45 and a 1-year high of $286.85. The firm has a market cap of $8.58 billion, a price-to-earnings ratio of 9.16, a P/E/G ratio of 1.23 and a beta of 1.29.



Mohawk Industries (NYSE:MHK) last issued its quarterly earnings data on Thursday, October 25th. The company reported $3.29 earnings per share for the quarter, missing the consensus estimate of $3.58 by ($0.29). Mohawk Industries had a net margin of 8.81% and a return on equity of 13.49%. The company had revenue of $2.55 billion for the quarter, compared to the consensus estimate of $2.61 billion. As a group, sell-side analysts forecast that Mohawk Industries will post 13.62 earnings per share for the current year.

Mohawk Industries announced that its Board of Directors has authorized a stock repurchase program on Thursday, October 25th that permits the company to repurchase $500.00 million in shares. This repurchase authorization permits the company to reacquire up to 4.5% of its shares through open market purchases. Shares repurchase programs are often an indication that the company’s board believes its stock is undervalued.

In other news, insider Brian Carson acquired 2,698 shares of the firm’s stock in a transaction that occurred on Monday, October 29th. The stock was bought at an average price of $116.34 per share, with a total value of $313,885.32. Following the acquisition, the insider now owns 21,135 shares in the company, valued at approximately $2,458,845.90. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Chairman Jeffrey S. Lorberbaum sold 13,400 shares of Mohawk Industries stock in a transaction dated Friday, September 14th. The stock was sold at an average price of $186.74, for a total value of $2,502,316.00. Following the completion of the sale, the chairman now directly owns 45,187 shares of the company’s stock, valued at approximately $8,438,220.38. The disclosure for this sale can be found here. In the last three months, insiders purchased 62,698 shares of company stock valued at $11,330,135. 16.80% of the stock is currently owned by insiders.

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Eads & Heald Wealth Management purchased a new stake in Mohawk Industries in the 3rd quarter worth about $550,000. Moody National Bank Trust Division grew its holdings in Mohawk Industries by 1,018.1% during the 3rd quarter. Moody National Bank Trust Division now owns 18,560 shares of the company’s stock valued at $3,254,000 after buying an additional 16,900 shares in the last quarter. Accuvest Global Advisors grew its holdings in Mohawk Industries by 46.8% during the 3rd quarter. Accuvest Global Advisors now owns 4,774 shares of the company’s stock valued at $837,000 after buying an additional 1,523 shares in the last quarter. Arizona State Retirement System grew its holdings in Mohawk Industries by 1.5% during the 3rd quarter. Arizona State Retirement System now owns 40,635 shares of the company’s stock valued at $7,125,000 after buying an additional 607 shares in the last quarter. Finally, YHB Investment Advisors Inc. grew its holdings in Mohawk Industries by 147.4% during the 3rd quarter. YHB Investment Advisors Inc. now owns 15,728 shares of the company’s stock valued at $2,758,000 after buying an additional 9,370 shares in the last quarter. 81.71% of the stock is owned by institutional investors.

About Mohawk Industries

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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