Versum Materials (VSM) Rating Lowered to Sell at Zacks Investment Research

Zacks Investment Research downgraded shares of Versum Materials (NYSE:VSM) from a hold rating to a sell rating in a research note published on Thursday morning, Zacks.com reports.

According to Zacks, “Versum Materials, Inc. is an electronic materials supplier to the semiconductor industry. The company’s primary business segment consists of Materials and Delivery Systems and Services. It provides specialty process gas, cleaners and etchants, slurries, organosilanes and organometallics deposition films and equipment. Versum Materials, Inc. is headquartered in Tempe, Arizona. “

VSM has been the subject of a number of other reports. Loop Capital cut shares of Versum Materials from a buy rating to a hold rating and dropped their price objective for the stock from $56.00 to $53.00 in a research note on Tuesday, April 16th. Goldman Sachs Group raised shares of Versum Materials from a sell rating to a neutral rating and lifted their target price for the stock from $26.00 to $31.00 in a research note on Thursday, January 31st. KeyCorp lifted their target price on shares of Versum Materials from $44.00 to $55.00 and gave the stock an overweight rating in a research note on Thursday, February 28th. Stifel Nicolaus cut shares of Versum Materials from a buy rating to a hold rating in a research note on Monday, April 8th. Finally, Credit Suisse Group cut shares of Versum Materials from an outperform rating to a neutral rating in a research note on Thursday, February 28th. Two equities research analysts have rated the stock with a sell rating, seven have assigned a hold rating and one has issued a buy rating to the company’s stock. Versum Materials has a consensus rating of Hold and a consensus price target of $46.60.

Shares of VSM traded down $0.05 during mid-day trading on Thursday, reaching $51.48. 40,118 shares of the company’s stock were exchanged, compared to its average volume of 1,535,572. The company has a debt-to-equity ratio of 3.18, a current ratio of 5.27 and a quick ratio of 4.03. Versum Materials has a 52-week low of $25.02 and a 52-week high of $52.58. The stock has a market cap of $5.63 billion, a price-to-earnings ratio of 21.88 and a beta of 2.06.

Versum Materials (NYSE:VSM) last issued its quarterly earnings data on Tuesday, May 7th. The basic materials company reported $0.57 earnings per share for the quarter, hitting the Zacks’ consensus estimate of $0.57. Versum Materials had a net margin of 16.74% and a return on equity of 109.04%. The business had revenue of $326.20 million during the quarter, compared to analysts’ expectations of $340.56 million. During the same period last year, the company posted $0.59 EPS. The company’s revenue was down 4.3% on a year-over-year basis. On average, equities analysts expect that Versum Materials will post 2.35 earnings per share for the current fiscal year.

The company also recently announced a quarterly dividend, which will be paid on Tuesday, May 28th. Shareholders of record on Tuesday, May 14th will be paid a $0.08 dividend. The ex-dividend date of this dividend is Monday, May 13th. This represents a $0.32 annualized dividend and a yield of 0.62%. Versum Materials’s payout ratio is currently 13.62%.

A number of hedge funds have recently added to or reduced their stakes in the business. Vanguard Group Inc grew its stake in Versum Materials by 3.9% in the 3rd quarter. Vanguard Group Inc now owns 10,282,274 shares of the basic materials company’s stock worth $370,264,000 after acquiring an additional 385,271 shares during the period. BlackRock Inc. lifted its holdings in shares of Versum Materials by 1.1% during the 1st quarter. BlackRock Inc. now owns 9,829,308 shares of the basic materials company’s stock valued at $494,512,000 after acquiring an additional 109,803 shares in the last quarter. Boston Partners lifted its holdings in shares of Versum Materials by 14.1% during the 4th quarter. Boston Partners now owns 5,764,801 shares of the basic materials company’s stock valued at $159,800,000 after acquiring an additional 710,352 shares in the last quarter. Gates Capital Management Inc. lifted its holdings in shares of Versum Materials by 3.6% during the 4th quarter. Gates Capital Management Inc. now owns 2,427,530 shares of the basic materials company’s stock valued at $67,291,000 after acquiring an additional 83,721 shares in the last quarter. Finally, Shapiro Capital Management LLC lifted its holdings in shares of Versum Materials by 1.2% during the 4th quarter. Shapiro Capital Management LLC now owns 2,328,448 shares of the basic materials company’s stock valued at $64,545,000 after acquiring an additional 27,180 shares in the last quarter. 83.31% of the stock is owned by hedge funds and other institutional investors.

About Versum Materials

Versum Materials, Inc develops, manufactures, transports, and handles specialty materials for the semiconductor and display industries in the United States, Taiwan, South Korea, China, Europe, and rest of Asia. The company operates through two segments, Materials, and Delivery Systems and Services (DS&S).

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