Zacks Investment Research Downgrades Franklin Electric (NASDAQ:FELE) to Sell

Franklin Electric (NASDAQ:FELE) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research report issued to clients and investors on Tuesday, Zacks.com reports.

According to Zacks, “Franklin Electric is a global leader in the production and marketing of systems and components for the movement of water and automotive fuels. Franklin Electric has produced high-quality industrial pumps, filters and accessories. By introducing the new Little Giant PondWorks program, Franklin Electric now brings the same exceptional knowledge, experience, and quality to the recreational water gardening and outdoor living markets. “

A number of other brokerages have also recently issued reports on FELE. BidaskClub cut Franklin Electric from a “buy” rating to a “hold” rating in a research note on Tuesday, March 19th. ValuEngine raised Franklin Electric from a “hold” rating to a “buy” rating in a research note on Tuesday, April 30th. Finally, Boenning Scattergood cut Franklin Electric from an “outperform” rating to a “neutral” rating in a research note on Tuesday, April 23rd.

NASDAQ FELE opened at $45.70 on Tuesday. The company’s 50-day moving average price is $45.50. Franklin Electric has a twelve month low of $38.87 and a twelve month high of $55.59. The company has a quick ratio of 0.95, a current ratio of 2.13 and a debt-to-equity ratio of 0.13. The stock has a market capitalization of $2.12 billion, a P/E ratio of 20.22, a price-to-earnings-growth ratio of 3.90 and a beta of 1.34.

Franklin Electric (NASDAQ:FELE) last released its quarterly earnings results on Tuesday, April 23rd. The industrial products company reported $0.21 earnings per share for the quarter, missing the Zacks’ consensus estimate of $0.40 by ($0.19). Franklin Electric had a net margin of 7.25% and a return on equity of 13.11%. The firm had revenue of $290.70 million for the quarter, compared to analysts’ expectations of $304.61 million. During the same quarter in the previous year, the business earned $0.45 EPS. The company’s revenue for the quarter was down 1.7% on a year-over-year basis. Analysts expect that Franklin Electric will post 2.33 earnings per share for the current year.

In related news, VP Donald P. Kenney sold 1,313 shares of the firm’s stock in a transaction dated Friday, June 14th. The stock was sold at an average price of $46.21, for a total value of $60,673.73. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. 2.88% of the stock is owned by company insiders.

Several hedge funds and other institutional investors have recently bought and sold shares of FELE. Norges Bank bought a new stake in shares of Franklin Electric in the fourth quarter worth about $23,579,000. ClariVest Asset Management LLC bought a new stake in shares of Franklin Electric in the first quarter worth about $6,841,000. King Luther Capital Management Corp grew its stake in shares of Franklin Electric by 11.3% in the first quarter. King Luther Capital Management Corp now owns 1,219,563 shares of the industrial products company’s stock worth $62,307,000 after purchasing an additional 124,304 shares during the last quarter. Vaughan Nelson Investment Management L.P. grew its stake in shares of Franklin Electric by 13.1% in the first quarter. Vaughan Nelson Investment Management L.P. now owns 793,870 shares of the industrial products company’s stock worth $40,559,000 after purchasing an additional 92,125 shares during the last quarter. Finally, SG Americas Securities LLC grew its stake in shares of Franklin Electric by 874.0% in the first quarter. SG Americas Securities LLC now owns 67,849 shares of the industrial products company’s stock worth $3,466,000 after purchasing an additional 60,883 shares during the last quarter. 77.22% of the stock is currently owned by institutional investors.

Franklin Electric Company Profile

Franklin Electric Co, Inc, together with its subsidiaries, designs, manufactures, and distributes water and fuel pumping systems worldwide. It operates in three segments: Water Systems, Fueling Systems, and Distribution. The Water Systems segment offers submersible motors, pumps, drives, electronic controls, monitoring devices, and related parts and equipment.

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