Simpson Manufacturing (NYSE:SSD) Downgraded to “Hold” at Zacks Investment Research

Zacks Investment Research lowered shares of Simpson Manufacturing (NYSE:SSD) from a buy rating to a hold rating in a research note published on Tuesday, Zacks.com reports.

According to Zacks, “Simpson Manufacturing Company Inc., headquartered in Pleasanton, California, through its subsidiary, Simpson Strong-Tie Company Inc., designs, engineers and is a leading manufacturer of wood construction products and software solutions, including connectors, truss plates, fastening systems, fasteners and shearwalls, and concrete construction products, including adhesives, specialty chemicals, mechanical anchors, powder actuated tools and reinforcing fiber materials. “

Separately, DA Davidson upped their price target on shares of Simpson Manufacturing from $98.00 to $106.00 and gave the company a neutral rating in a report on Tuesday, February 9th.

NYSE SSD opened at $104.82 on Tuesday. The company has a quick ratio of 2.93, a current ratio of 4.29 and a debt-to-equity ratio of 0.08. Simpson Manufacturing has a 52 week low of $57.42 and a 52 week high of $109.85. The firm has a 50 day moving average of $104.68 and a two-hundred day moving average of $97.34. The stock has a market capitalization of $4.55 billion, a PE ratio of 24.84 and a beta of 1.24.

Simpson Manufacturing (NYSE:SSD) last announced its earnings results on Sunday, February 7th. The construction company reported $0.68 earnings per share for the quarter, topping the consensus estimate of $0.65 by $0.03. Simpson Manufacturing had a net margin of 14.99% and a return on equity of 20.67%. The business had revenue of $293.90 million during the quarter, compared to the consensus estimate of $277.00 million. During the same quarter in the prior year, the firm earned $0.63 earnings per share. The business’s quarterly revenue was up 12.0% compared to the same quarter last year. On average, equities research analysts expect that Simpson Manufacturing will post 4.2 earnings per share for the current fiscal year.

The firm also recently declared a quarterly dividend, which will be paid on Thursday, April 22nd. Shareholders of record on Thursday, April 1st will be paid a dividend of $0.23 per share. This represents a $0.92 dividend on an annualized basis and a dividend yield of 0.88%. The ex-dividend date of this dividend is Wednesday, March 31st. Simpson Manufacturing’s dividend payout ratio is presently 30.87%.

In other news, COO Michael Olosky acquired 500 shares of the stock in a transaction on Monday, March 1st. The stock was bought at an average price of $99.70 per share, with a total value of $49,850.00. Following the completion of the transaction, the chief operating officer now directly owns 3,176 shares of the company’s stock, valued at $316,647.20. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Brian J. Magstadt sold 2,000 shares of Simpson Manufacturing stock in a transaction that occurred on Monday, February 1st. The shares were sold at an average price of $93.11, for a total transaction of $186,220.00. Following the sale, the chief financial officer now owns 33,948 shares in the company, valued at approximately $3,160,898.28. The disclosure for this sale can be found here. Insiders sold a total of 21,000 shares of company stock worth $2,152,360 over the last ninety days. Corporate insiders own 0.70% of the company’s stock.

A number of institutional investors and hedge funds have recently added to or reduced their stakes in SSD. Norges Bank purchased a new position in Simpson Manufacturing in the 4th quarter valued at about $48,851,000. UBS Asset Management Americas Inc. grew its position in shares of Simpson Manufacturing by 334.3% during the fourth quarter. UBS Asset Management Americas Inc. now owns 203,162 shares of the construction company’s stock worth $18,985,000 after buying an additional 156,381 shares in the last quarter. JPMorgan Chase & Co. increased its stake in shares of Simpson Manufacturing by 12.6% in the fourth quarter. JPMorgan Chase & Co. now owns 1,191,643 shares of the construction company’s stock worth $111,359,000 after buying an additional 133,148 shares during the last quarter. Eagle Ridge Investment Management acquired a new stake in Simpson Manufacturing in the first quarter valued at $13,784,000. Finally, Alliancebernstein L.P. boosted its stake in Simpson Manufacturing by 13.0% during the 4th quarter. Alliancebernstein L.P. now owns 1,046,940 shares of the construction company’s stock valued at $97,837,000 after acquiring an additional 120,424 shares during the last quarter. 89.21% of the stock is owned by institutional investors and hedge funds.

Simpson Manufacturing Company Profile

Simpson Manufacturing Co, Inc, through its subsidiaries, designs, engineers, manufactures, and sells wood and concrete building construction products. The company offers wood construction products, including connectors, truss plates, fastening systems, fasteners, shearwalls, and pre-fabricated lateral systems that are used in light-frame construction; and concrete construction products comprising adhesives, specialty chemicals, mechanical anchors, carbide drill bits, powder actuated tools, fiber reinforced materials, and other repair products for use in concrete, masonry, and steel construction, as well as grouts, coatings, sealers, mortars, fiberglass and fiber-reinforced polymer systems, and asphalt products for use in concrete construction repair, protection, and strengthening applications.

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