UFP Industries (NASDAQ:UFPI) Shares Gap Down on Disappointing Earnings

UFP Industries, Inc. (NASDAQ:UFPI) gapped down before the market opened on Tuesday following a dissappointing earnings announcement. The stock had previously closed at $116.35, but opened at $113.00. UFP Industries shares last traded at $113.22, with a volume of 34,320 shares trading hands.

The construction company reported $1.20 earnings per share for the quarter, missing analysts’ consensus estimates of $1.24 by ($0.04). The company had revenue of $1.46 billion for the quarter, compared to analysts’ expectations of $1.43 billion. UFP Industries had a net margin of 6.23% and a return on equity of 13.35%.

UFP Industries Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, March 17th. Stockholders of record on Monday, March 3rd will be given a dividend of $0.35 per share. The ex-dividend date is Monday, March 3rd. This represents a $1.40 annualized dividend and a dividend yield of 1.27%. This is a positive change from UFP Industries’s previous quarterly dividend of $0.33. UFP Industries’s dividend payout ratio is presently 19.50%.

Analyst Ratings Changes

A number of brokerages have recently issued reports on UFPI. Wedbush reissued an “outperform” rating and set a $155.00 price objective on shares of UFP Industries in a research report on Monday, November 4th. Benchmark reaffirmed a “buy” rating and issued a $135.00 price objective on shares of UFP Industries in a research note on Wednesday. Finally, StockNews.com downgraded UFP Industries from a “buy” rating to a “hold” rating in a research note on Wednesday. Two equities research analysts have rated the stock with a hold rating and three have issued a buy rating to the stock. According to data from MarketBeat, UFP Industries presently has an average rating of “Moderate Buy” and a consensus target price of $143.00.

Insider Buying and Selling

In related news, CEO Matthew J. Missad sold 15,000 shares of UFP Industries stock in a transaction dated Friday, November 22nd. The shares were sold at an average price of $131.03, for a total transaction of $1,965,450.00. Following the completion of the sale, the chief executive officer now owns 314,450 shares in the company, valued at $41,202,383.50. This trade represents a 4.55 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director William G. Currie sold 5,700 shares of the company’s stock in a transaction dated Friday, December 13th. The stock was sold at an average price of $126.59, for a total transaction of $721,563.00. Following the completion of the transaction, the director now owns 61,140 shares in the company, valued at $7,739,712.60. This represents a 8.53 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 2.58% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the stock. Mackenzie Financial Corp boosted its position in UFP Industries by 109.4% during the fourth quarter. Mackenzie Financial Corp now owns 8,162 shares of the construction company’s stock valued at $919,000 after purchasing an additional 4,265 shares in the last quarter. Forum Financial Management LP raised its holdings in UFP Industries by 19.5% in the fourth quarter. Forum Financial Management LP now owns 2,857 shares of the construction company’s stock worth $322,000 after purchasing an additional 467 shares in the last quarter. GTS Securities LLC purchased a new stake in shares of UFP Industries during the fourth quarter valued at about $303,000. Palisades Investment Partners LLC lifted its position in shares of UFP Industries by 9.3% during the fourth quarter. Palisades Investment Partners LLC now owns 22,827 shares of the construction company’s stock valued at $2,571,000 after buying an additional 1,948 shares during the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its holdings in shares of UFP Industries by 17.8% in the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 117,166 shares of the construction company’s stock valued at $13,199,000 after buying an additional 17,669 shares in the last quarter. 81.81% of the stock is owned by institutional investors.

UFP Industries Stock Performance

The firm’s 50 day moving average is $115.46 and its 200 day moving average is $123.18. The company has a debt-to-equity ratio of 0.07, a quick ratio of 3.25 and a current ratio of 4.31. The stock has a market cap of $6.67 billion, a P/E ratio of 16.22 and a beta of 1.45.

UFP Industries Company Profile

UFP Industries, Inc, through its subsidiaries, designs, manufactures, and markets wood and non-wood composites, and other materials in North America, Europe, Asia, and Australia. It operates through Retail, Packaging, and Construction segments. The Retail segment offers treated lumber products, including decking, fencing, lattice, and other products; pressure-treated and fire-retardant products used primarily for outdoor decking environments; and lawn and garden products, consisting of wood and vinyl fencing options, garden beds and planters, pergolas, picnic tables, and other landscaping products.