Stock Buyback Plan Declared by CTS (NYSE:CTS) Board

CTS (NYSE:CTS) declared that its board has initiated a stock repurchase program on Friday, November 7th, RTT News reports. The company plans to buyback $100.00 million in shares. This buyback authorization permits the electronics maker to purchase up to 8.5% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s leadership believes its stock is undervalued.

Wall Street Analyst Weigh In

CTS has been the subject of a number of analyst reports. Weiss Ratings reissued a “hold (c)” rating on shares of CTS in a research note on Wednesday, October 8th. Wall Street Zen cut CTS from a “strong-buy” rating to a “buy” rating in a research report on Saturday, October 4th. One research analyst has rated the stock with a Hold rating, Based on data from MarketBeat, CTS presently has a consensus rating of “Hold”.

CTS Price Performance

NYSE CTS traded down $0.40 during mid-day trading on Friday, hitting $40.61. The stock had a trading volume of 252,534 shares, compared to its average volume of 188,314. The company has a 50 day simple moving average of $40.81 and a 200 day simple moving average of $41.16. The company has a market cap of $1.18 billion, a price-to-earnings ratio of 20.61, a P/E/G ratio of 1.15 and a beta of 0.94. CTS has a 52-week low of $34.02 and a 52-week high of $59.68. The company has a quick ratio of 2.04, a current ratio of 2.64 and a debt-to-equity ratio of 0.17.

CTS (NYSE:CTS) last released its quarterly earnings results on Tuesday, October 28th. The electronics maker reported $0.60 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.61 by ($0.01). The firm had revenue of $142.97 million for the quarter, compared to analyst estimates of $136.40 million. CTS had a return on equity of 11.92% and a net margin of 11.14%. CTS has set its FY 2025 guidance at 2.200-2.250 EPS. Equities analysts forecast that CTS will post 2.28 EPS for the current fiscal year.

CTS Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, October 24th. Investors of record on Friday, September 26th were paid a $0.04 dividend. The ex-dividend date of this dividend was Friday, September 26th. This represents a $0.16 annualized dividend and a yield of 0.4%. CTS’s payout ratio is presently 8.12%.

About CTS

CTS Corporation manufactures and sells sensors, actuators, and connectivity components in North America, Europe, and Asia. The company provides encoders, rotary position sensors, slide potentiometers, industrial and commercial rotary potentiometers. It also provides non-contacting, and contacting pedals; and eBrake pedals.