Arcosa (NYSE:ACA) Shares Gap Up – Here’s Why

Arcosa, Inc. (NYSE:ACAGet Free Report) shares gapped up before the market opened on Monday . The stock had previously closed at $135.84, but opened at $145.00. Arcosa shares last traded at $145.7530, with a volume of 162,839 shares.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on ACA shares. Weiss Ratings downgraded Arcosa from a “buy (b-)” rating to a “hold (c+)” rating in a report on Monday, May 11th. Texas Capital upgraded Arcosa to a “strong-buy” rating in a research report on Friday, March 27th. Barclays boosted their price target on Arcosa from $115.00 to $140.00 and gave the company an “overweight” rating in a research note on Monday, May 4th. Oppenheimer began coverage on Arcosa in a research report on Thursday, May 28th. They issued an “outperform” rating and a $150.00 price target on the stock. Finally, Zacks Research lowered Arcosa from a “hold” rating to a “strong sell” rating in a research note on Tuesday, April 28th. One research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, Arcosa currently has a consensus rating of “Moderate Buy” and an average target price of $138.33.

Read Our Latest Analysis on Arcosa

Arcosa Price Performance

The company has a debt-to-equity ratio of 0.57, a current ratio of 2.32 and a quick ratio of 1.60. The stock has a market capitalization of $7.15 billion, a P/E ratio of 32.15, a PEG ratio of 2.00 and a beta of 1.06. The company’s 50 day simple moving average is $123.18 and its two-hundred day simple moving average is $116.16.

Arcosa (NYSE:ACAGet Free Report) last posted its quarterly earnings data on Thursday, April 30th. The company reported $0.51 earnings per share for the quarter, topping the consensus estimate of $0.13 by $0.38. The company had revenue of $571.70 million during the quarter, compared to analyst estimates of $642.40 million. Arcosa had a net margin of 7.88% and a return on equity of 8.52%. The company’s revenue was up 5.0% on a year-over-year basis. During the same quarter last year, the business posted $0.49 earnings per share. As a group, equities analysts expect that Arcosa, Inc. will post 4.25 EPS for the current fiscal year.

Arcosa Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, July 31st. Investors of record on Wednesday, July 15th will be issued a dividend of $0.05 per share. This represents a $0.20 dividend on an annualized basis and a yield of 0.1%. The ex-dividend date of this dividend is Wednesday, July 15th. Arcosa’s dividend payout ratio (DPR) is currently 4.42%.

Hedge Funds Weigh In On Arcosa

Institutional investors and hedge funds have recently bought and sold shares of the business. Dimensional Fund Advisors LP increased its stake in shares of Arcosa by 0.6% in the fourth quarter. Dimensional Fund Advisors LP now owns 2,322,901 shares of the company’s stock valued at $246,976,000 after buying an additional 13,059 shares in the last quarter. Capital International Investors lifted its position in Arcosa by 0.7% during the 4th quarter. Capital International Investors now owns 2,244,231 shares of the company’s stock worth $238,607,000 after buying an additional 15,956 shares in the last quarter. State Street Corp grew its holdings in Arcosa by 1.9% during the 4th quarter. State Street Corp now owns 1,948,344 shares of the company’s stock worth $207,148,000 after acquiring an additional 36,852 shares during the last quarter. T. Rowe Price Investment Management Inc. grew its holdings in Arcosa by 25.1% during the 4th quarter. T. Rowe Price Investment Management Inc. now owns 1,707,884 shares of the company’s stock worth $181,583,000 after acquiring an additional 342,242 shares during the last quarter. Finally, Capital World Investors increased its position in Arcosa by 5.0% in the 4th quarter. Capital World Investors now owns 1,680,000 shares of the company’s stock valued at $178,618,000 after acquiring an additional 80,000 shares in the last quarter. Institutional investors and hedge funds own 90.66% of the company’s stock.

About Arcosa

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Arcosa, Inc (NYSE: ACA) is a Dallas‐based industrial company that was formed through the spin‐off of Trinity Industries’ construction products business in 2018. Since its inception, Arcosa has focused on the manufacture and sale of critical infrastructure components, serving a diverse set of end markets including transportation, construction and energy.

The company’s Construction Products segment produces a broad range of highway safety products, such as guardrail systems, sign supports and crash cushions, as well as aggregates and ready‐mix concrete.

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