ESAB (NYSE:ESAB) Sets New 1-Year Low – What’s Next?

ESAB Corporation (NYSE:ESAB)’s share price reached a new 52-week low during mid-day trading on Tuesday . The stock traded as low as $89.41 and last traded at $91.4210, with a volume of 843211 shares traded. The stock had previously closed at $91.58.

Analyst Upgrades and Downgrades

Several equities analysts have weighed in on the stock. Oppenheimer boosted their target price on shares of ESAB from $142.00 to $148.00 and gave the company an “outperform” rating in a report on Friday, January 23rd. Weiss Ratings lowered shares of ESAB from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Friday, February 20th. Stifel Nicolaus upped their price objective on ESAB from $144.00 to $158.00 and gave the company a “buy” rating in a report on Monday, February 23rd. Wall Street Zen lowered ESAB from a “buy” rating to a “hold” rating in a research report on Saturday, March 21st. Finally, JPMorgan Chase & Co. raised their target price on ESAB from $130.00 to $153.00 and gave the stock an “overweight” rating in a research note on Monday, February 23rd. Seven equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $143.56.

ESAB Trading Up 4.5%

The company has a market cap of $6.15 billion, a PE ratio of 27.30, a price-to-earnings-growth ratio of 1.78 and a beta of 1.36. The company’s 50 day simple moving average is $115.36 and its two-hundred day simple moving average is $114.73. The company has a debt-to-equity ratio of 0.56, a current ratio of 1.90 and a quick ratio of 1.17.

ESAB (NYSE:ESAB) last issued its quarterly earnings data on Friday, February 20th. The company reported $1.35 EPS for the quarter, topping the consensus estimate of $1.34 by $0.01. ESAB had a net margin of 7.98% and a return on equity of 15.38%. The firm had revenue of $687.00 million for the quarter, compared to analyst estimates of $687.80 million. During the same period in the prior year, the business posted $1.28 EPS. The business’s revenue for the quarter was up 7.5% compared to the same quarter last year. As a group, sell-side analysts anticipate that ESAB Corporation will post 5.16 EPS for the current fiscal year.

ESAB Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, April 17th. Stockholders of record on Thursday, April 2nd will be given a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a dividend yield of 0.4%. The ex-dividend date is Thursday, April 2nd. ESAB’s dividend payout ratio (DPR) is currently 10.81%.

Insider Buying and Selling at ESAB

In other news, CEO Shyam Kambeyanda sold 59,404 shares of ESAB stock in a transaction on Monday, February 23rd. The stock was sold at an average price of $123.79, for a total value of $7,353,621.16. Following the completion of the sale, the chief executive officer directly owned 99,864 shares of the company’s stock, valued at approximately $12,362,164.56. The trade was a 37.30% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Insiders own 7.30% of the company’s stock.

Hedge Funds Weigh In On ESAB

Hedge funds have recently bought and sold shares of the company. Diamond Hill Capital Management Inc. increased its stake in ESAB by 8.3% during the third quarter. Diamond Hill Capital Management Inc. now owns 168,668 shares of the company’s stock worth $18,847,000 after purchasing an additional 12,894 shares during the period. Van Berkom & Associates Inc. boosted its stake in shares of ESAB by 28.6% in the third quarter. Van Berkom & Associates Inc. now owns 716,405 shares of the company’s stock valued at $80,051,000 after purchasing an additional 159,539 shares during the period. Daiwa Securities Group Inc. grew its holdings in shares of ESAB by 82.1% in the second quarter. Daiwa Securities Group Inc. now owns 39,739 shares of the company’s stock valued at $4,791,000 after purchasing an additional 17,911 shares in the last quarter. Confluence Investment Management LLC acquired a new position in shares of ESAB in the fourth quarter valued at approximately $998,000. Finally, Defender Capital LLC. purchased a new stake in ESAB during the 4th quarter worth approximately $3,977,000. Institutional investors and hedge funds own 91.13% of the company’s stock.

About ESAB

ESAB Corporation is a global leader in welding, cutting and gas control technologies, offering a comprehensive portfolio of equipment, consumables and automation solutions. The company’s products include welding power sources, cutting machines, torches, electrodes, filler metals and gas regulating equipment designed to meet the needs of diverse industries. ESAB serves sectors such as construction, shipbuilding, automotive, energy, infrastructure and manufacturing, providing both standard and customized solutions to enhance productivity and quality in metal fabrication and processing.

Founded in 1904 by Swedish inventor Oscar Kjellberg, ESAB pioneered the development of coated welding electrodes, laying the groundwork for modern welding practices.