RPM International (NYSE:RPM) Shares Gap Up on Earnings Beat

RPM International Inc. (NYSE:RPM) shares gapped up prior to trading on Wednesday following a stronger than expected earnings report. The stock had previously closed at $96.71, but opened at $110.60. RPM International shares last traded at $108.1250, with a volume of 370,925 shares traded.

The specialty chemicals company reported $0.57 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.35 by $0.22. The business had revenue of $1.61 billion during the quarter, compared to analysts’ expectations of $1.55 billion. RPM International had a return on equity of 22.49% and a net margin of 8.79%.The business’s quarterly revenue was up 8.9% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.35 EPS.

RPM International Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, April 30th. Stockholders of record on Thursday, April 16th will be issued a $0.54 dividend. This represents a $2.16 annualized dividend and a dividend yield of 2.0%. The ex-dividend date of this dividend is Thursday, April 16th. RPM International’s payout ratio is presently 41.62%.

Analysts Set New Price Targets

Several analysts have recently weighed in on the company. BMO Capital Markets reduced their target price on RPM International from $152.00 to $149.00 and set an “outperform” rating for the company in a report on Thursday, January 8th. KeyCorp reissued a “sector weight” rating on shares of RPM International in a report on Friday, January 9th. Mizuho reduced their price objective on RPM International from $120.00 to $111.00 and set an “outperform” rating for the company in a research note on Monday, March 23rd. Morgan Stanley reaffirmed a “buy” rating on shares of RPM International in a research note on Thursday, January 8th. Finally, Royal Bank Of Canada raised RPM International from a “sector perform” rating to an “outperform” rating and upped their price objective for the company from $121.00 to $132.00 in a research note on Tuesday, December 9th. Eleven analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $126.33.

Insider Buying and Selling at RPM International

In related news, VP Timothy R. Kinser sold 3,441 shares of the company’s stock in a transaction that occurred on Wednesday, January 21st. The stock was sold at an average price of $110.31, for a total value of $379,576.71. Following the sale, the vice president owned 21,248 shares in the company, valued at $2,343,866.88. This represents a 13.94% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. 1.60% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On RPM International

A number of institutional investors and hedge funds have recently modified their holdings of RPM. Root Financial Partners LLC acquired a new stake in shares of RPM International in the 3rd quarter worth approximately $30,000. Versant Capital Management Inc grew its holdings in shares of RPM International by 48.6% in the 3rd quarter. Versant Capital Management Inc now owns 275 shares of the specialty chemicals company’s stock worth $32,000 after acquiring an additional 90 shares during the period. Ares Financial Consulting LLC acquired a new stake in RPM International during the 4th quarter valued at $37,000. Rothschild Investment LLC grew its holdings in RPM International by 2,387.0% during the 4th quarter. Rothschild Investment LLC now owns 572 shares of the specialty chemicals company’s stock valued at $59,000 after buying an additional 549 shares during the last quarter. Finally, Los Angeles Capital Management LLC acquired a new stake in RPM International during the 4th quarter valued at $60,000. Institutional investors and hedge funds own 80.95% of the company’s stock.

RPM International Trading Up 12.3%

The business has a fifty day simple moving average of $106.93 and a 200 day simple moving average of $108.32. The stock has a market cap of $13.91 billion, a price-to-earnings ratio of 20.94, a PEG ratio of 2.38 and a beta of 1.10. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.45 and a current ratio of 2.22.

RPM International Company Profile

RPM International Inc is a global holding company whose subsidiaries specialize in the manufacture and marketing of high-performance coatings, sealants, building materials, and specialty chemicals. Through its two principal operating segments—Performance Coatings and Industrial Coatings—RPM serves a diverse range of end markets, including construction, consumer products, industrial maintenance, and specialty applications.

The company’s Performance Coatings segment offers a broad portfolio of architectural coatings, waterproofing systems, and specialty building products used by contractors, builders, and homeowners.