Zacks Investment Research cut shares of Triumph Group (NYSE:TGI) from a hold rating to a sell rating in a report released on Wednesday.
According to Zacks, “A large portion of Triumph Group’s aftermarket sales comes from third-party repair and overhaul, thus exposing it to tough competition from OEMs as well as third-party organizations. Moreover, volatile energy and commodity prices can put pressure on the company’s margins. Geopolitical security issues and currency fluctuations may further shrink profitability, in addition to declining cargo shipments and aircraft valuations. Again, the risk of third-party payments may hamper availability of credit for further product offerings. The company’s shares have underperformed the industry in the past year. However, Triumph Group continues to focus on driving its growth through addition of products and services, expansion of operating capacity, along with marketing of a range of products.”
Other equities research analysts have also issued reports about the stock. Barclays dropped their price objective on shares of Triumph Group from $28.00 to $23.00 and set an equal weight rating on the stock in a report on Tuesday, September 4th. Canaccord Genuity restated a hold rating and set a $26.00 price objective on shares of Triumph Group in a report on Wednesday, August 8th. ValuEngine upgraded shares of Triumph Group from a sell rating to a hold rating in a report on Monday, July 30th. SunTrust Banks restated a hold rating and set a $23.00 price objective on shares of Triumph Group in a report on Friday, July 20th. Finally, UBS Group started coverage on shares of Triumph Group in a report on Wednesday, August 15th. They set a sell rating and a $19.00 price objective on the stock. Four research analysts have rated the stock with a sell rating, five have assigned a hold rating and two have assigned a buy rating to the company’s stock. The stock currently has a consensus rating of Hold and an average target price of $24.50.
Shares of NYSE:TGI opened at $18.56 on Wednesday. Triumph Group has a 12 month low of $17.75 and a 12 month high of $34.58. The company has a current ratio of 1.23, a quick ratio of 0.81 and a debt-to-equity ratio of -6.64. The firm has a market cap of $1.16 billion, a P/E ratio of 7.34, a P/E/G ratio of 0.95 and a beta of 1.77.
Triumph Group (NYSE:TGI) last issued its quarterly earnings data on Wednesday, August 8th. The aerospace company reported $0.34 EPS for the quarter, missing analysts’ consensus estimates of $0.36 by ($0.02). Triumph Group had a positive return on equity of 28.57% and a negative net margin of 15.20%. The company had revenue of $832.90 million for the quarter, compared to analyst estimates of $805.88 million. During the same quarter in the previous year, the business earned $0.24 earnings per share. The company’s revenue was up 6.5% on a year-over-year basis. Research analysts predict that Triumph Group will post 1.86 earnings per share for the current fiscal year.
The firm also recently declared a quarterly dividend, which was paid on Saturday, September 15th. Shareholders of record on Friday, August 31st were paid a $0.04 dividend. The ex-dividend date was Thursday, August 30th. This represents a $0.16 annualized dividend and a yield of 0.86%. Triumph Group’s payout ratio is currently 6.32%.
In other Triumph Group news, Director Joseph Silvestri sold 5,000 shares of Triumph Group stock in a transaction on Wednesday, September 12th. The shares were sold at an average price of $22.00, for a total value of $110,000.00. Following the sale, the director now directly owns 107,662 shares in the company, valued at approximately $2,368,564. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 1.50% of the stock is currently owned by insiders.
Hedge funds have recently modified their holdings of the business. SG Americas Securities LLC acquired a new stake in Triumph Group in the 2nd quarter valued at $114,000. Trilogy Capital Inc. acquired a new stake in Triumph Group in the 2nd quarter valued at $157,000. Private Capital Group LLC increased its stake in Triumph Group by 1,189.7% in the 1st quarter. Private Capital Group LLC now owns 6,255 shares of the aerospace company’s stock valued at $158,000 after buying an additional 5,770 shares during the last quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS acquired a new stake in Triumph Group in the 2nd quarter valued at $206,000. Finally, Dynamic Technology Lab Private Ltd acquired a new stake in Triumph Group in the 1st quarter valued at $217,000.
About Triumph Group
Triumph Group, Inc designs, engineers, manufactures, repairs, overhauls, and distributes aerostructures, aircraft components, accessories, subassemblies, and systems worldwide. The company operates in three segments: Integrated Systems, Aerospace Structures, and Product Support. It offers aircraft and engine-mounted accessory drives, thermal control systems and components, cargo hooks, high lift actuations, cockpit control levers, hydraulic systems and components, landing gear actuation systems, control system valve bodies, landing gear components and assemblies, electronic engine controls, main engine gear box assemblies, exhaust nozzles and ducting, fuel pumps, geared transmissions and drive train components, secondary flight control systems, fuel metering units, and vibration absorbers.
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