Marzetti (NASDAQ:MZTI) Shares Gap Down on Disappointing Earnings

The Marzetti Company (NASDAQ:MZTI)’s stock price gapped down before the market opened on Tuesday following a dissappointing earnings announcement. The stock had previously closed at $173.91, but opened at $165.00. Marzetti shares last traded at $161.58, with a volume of 9,806 shares traded.

The company reported $2.15 earnings per share for the quarter, missing analysts’ consensus estimates of $2.23 by ($0.08). The business had revenue of $509.77 million for the quarter. Marzetti had a net margin of 8.77% and a return on equity of 18.86%. The business’s revenue was up 1.7% compared to the same quarter last year.

Marzetti Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, December 31st. Investors of record on Friday, December 5th were issued a $1.00 dividend. The ex-dividend date of this dividend was Friday, December 5th. This represents a $4.00 dividend on an annualized basis and a yield of 2.5%. Marzetti’s dividend payout ratio is currently 64.94%.

Analyst Upgrades and Downgrades

MZTI has been the subject of several research analyst reports. Stephens reissued an “equal weight” rating and issued a $190.00 price objective on shares of Marzetti in a report on Tuesday. DA Davidson lifted their target price on Marzetti from $179.00 to $184.00 and gave the stock a “neutral” rating in a research report on Wednesday, November 12th. Weiss Ratings reissued a “hold (c)” rating on shares of Marzetti in a research report on Friday, January 9th. Finally, Wall Street Zen downgraded shares of Marzetti from a “buy” rating to a “hold” rating in a report on Saturday. One equities research analyst has rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Marzetti currently has a consensus rating of “Hold” and a consensus price target of $191.33.

Institutional Investors Weigh In On Marzetti

Institutional investors and hedge funds have recently modified their holdings of the stock. M&T Bank Corp purchased a new position in Marzetti in the 4th quarter worth about $1,118,569,000. Vanguard Group Inc. purchased a new position in shares of Marzetti in the fourth quarter worth approximately $367,969,000. William Blair Investment Management LLC boosted its stake in Marzetti by 21.2% in the 2nd quarter. William Blair Investment Management LLC now owns 873,357 shares of the company’s stock worth $150,890,000 after purchasing an additional 153,052 shares during the period. Boston Trust Walden Corp boosted its stake in Marzetti by 14.7% in the 2nd quarter. Boston Trust Walden Corp now owns 344,605 shares of the company’s stock worth $59,537,000 after purchasing an additional 44,279 shares during the period. Finally, Principal Financial Group Inc. acquired a new stake in Marzetti during the 4th quarter valued at $40,196,000. Institutional investors and hedge funds own 66.44% of the company’s stock.

Marzetti Price Performance

The company has a market cap of $4.40 billion, a PE ratio of 25.91 and a beta of 0.39. The stock has a fifty day moving average price of $166.77 and a 200-day moving average price of $171.26.

About Marzetti

Lancaster Colony Corporation engages in the manufacturing and marketing of specialty food products for the retail and foodservice channels in the United States. It operates in two segments, Retail and Foodservice. The company offers frozen garlic bread under the New York BRAND Bakery; frozen Parkerhouse style yeast and dinner rolls under the Sister Schubert's brand; salad dressings under the Marzetti, Simply Dressed, Cardini's, and Girard's brands; vegetable and fruit dips under the Marzetti brand; croutons and salad toppings under the New York BRAND Bakery, Chatham Village, and Marzetti brands; and frozen pasta under the Marzetti Frozen Pasta brand.