Gates Industrial (NYSE:GTES) Upgraded to “Strong-Buy” at Zacks Investment Research

Gates Industrial (NYSE:GTES) was upgraded by Zacks Investment Research from a “hold” rating to a “strong-buy” rating in a report released on Saturday, Zacks.com reports. The brokerage currently has a $14.00 target price on the stock. Zacks Investment Research‘s price target points to a potential upside of 16.47% from the company’s current price.

According to Zacks, “Gates Industrial Corporation PLC is a manufacturer of engineered power transmission and fluid power solutions. The company offers portfolio of products to diverse replacement channel customers and to original equipment manufacturers as specified components. It serves agriculture, construction, manufacturing, energy and consumer applications industries. The company operates primarily in the Americas; Europe, Middle East & Africa; Greater China and East Asia & India. Gates Industrial Corporation PLC is based in Denver, Colorado. “

A number of other equities research analysts have also weighed in on the stock. KeyCorp decreased their price objective on shares of Gates Industrial from $19.00 to $15.00 and set an “overweight” rating for the company in a report on Wednesday, August 7th. Royal Bank of Canada lowered shares of Gates Industrial from an “outperform” rating to a “sector perform” rating and set a $10.00 price objective for the company. in a report on Wednesday, October 9th. UBS Group lowered shares of Gates Industrial from a “buy” rating to a “neutral” rating and set a $9.50 price objective for the company. in a report on Thursday, October 10th. Morgan Stanley set a $9.00 price objective on shares of Gates Industrial and gave the company a “hold” rating in a report on Monday, August 12th. Finally, ValuEngine upgraded shares of Gates Industrial from a “sell” rating to a “hold” rating in a report on Thursday, September 5th. Five research analysts have rated the stock with a hold rating, two have issued a buy rating and one has assigned a strong buy rating to the stock. The company presently has an average rating of “Buy” and a consensus price target of $12.21.

GTES traded down $0.03 on Friday, reaching $12.02. 241,700 shares of the company traded hands, compared to its average volume of 482,925. Gates Industrial has a one year low of $6.76 and a one year high of $17.60. The firm has a fifty day simple moving average of $10.09 and a two-hundred day simple moving average of $10.85. The company has a market cap of $3.40 billion, a P/E ratio of 9.39 and a beta of 2.02. The company has a quick ratio of 2.06, a current ratio of 2.91 and a debt-to-equity ratio of 1.07.

Gates Industrial (NYSE:GTES) last announced its quarterly earnings data on Tuesday, November 5th. The company reported $0.22 earnings per share for the quarter, beating analysts’ consensus estimates of $0.16 by $0.06. Gates Industrial had a net margin of 23.67% and a return on equity of 11.56%. The company had revenue of $746.60 million during the quarter, compared to analyst estimates of $747.15 million. During the same quarter last year, the business posted $0.30 EPS. The firm’s revenue for the quarter was down 9.9% on a year-over-year basis. On average, equities analysts forecast that Gates Industrial will post 0.91 earnings per share for the current year.

In other Gates Industrial news, major shareholder Aggregator (Cayman) L.P. Omaha purchased 264,708 shares of Gates Industrial stock in a transaction dated Tuesday, August 13th. The stock was acquired at an average price of $7.94 per share, for a total transaction of $2,101,781.52. The purchase was disclosed in a legal filing with the SEC, which is accessible through this link. Also, major shareholder Blackstone Group Inc purchased 282,500 shares of Gates Industrial stock in a transaction dated Wednesday, August 21st. The stock was acquired at an average price of $8.22 per share, with a total value of $2,322,150.00. The disclosure for this purchase can be found here. In the last 90 days, insiders bought 1,278,808 shares of company stock valued at $10,512,775. Company insiders own 0.71% of the company’s stock.

Several large investors have recently bought and sold shares of the company. Bank of Montreal Can raised its holdings in shares of Gates Industrial by 7.5% in the 2nd quarter. Bank of Montreal Can now owns 23,667 shares of the company’s stock valued at $270,000 after purchasing an additional 1,645 shares in the last quarter. Trexquant Investment LP raised its holdings in shares of Gates Industrial by 9.0% in the 2nd quarter. Trexquant Investment LP now owns 22,346 shares of the company’s stock valued at $255,000 after purchasing an additional 1,853 shares in the last quarter. Swiss National Bank raised its holdings in shares of Gates Industrial by 2.1% in the 2nd quarter. Swiss National Bank now owns 107,900 shares of the company’s stock valued at $1,231,000 after purchasing an additional 2,200 shares in the last quarter. Charles Schwab Investment Management Inc. raised its holdings in shares of Gates Industrial by 0.9% in the 2nd quarter. Charles Schwab Investment Management Inc. now owns 284,006 shares of the company’s stock valued at $3,241,000 after purchasing an additional 2,521 shares in the last quarter. Finally, Parallel Advisors LLC bought a new stake in shares of Gates Industrial in the 3rd quarter valued at about $27,000.

Gates Industrial Company Profile

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.

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