RPM International (NYSE:RPM) Stock Price Down 5.2% After Earnings Miss

RPM International Inc. (NYSE:RPM)’s share price dropped 5.2% during mid-day trading on Tuesday following a weaker than expected earnings announcement. The company traded as low as $100.10 and last traded at $101.19. Approximately 158,731 shares changed hands during mid-day trading, a decline of 75% from the average daily volume of 640,269 shares. The stock had previously closed at $106.70.

The specialty chemicals company reported $0.35 earnings per share for the quarter, missing analysts’ consensus estimates of $0.50 by ($0.15). RPM International had a return on equity of 26.76% and a net margin of 8.89%. The firm had revenue of $1.48 billion during the quarter, compared to analysts’ expectations of $1.51 billion. During the same period last year, the company earned $0.52 earnings per share. The business’s revenue for the quarter was down 3.0% compared to the same quarter last year.

RPM International Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, April 30th. Shareholders of record on Thursday, April 17th will be paid a $0.51 dividend. The ex-dividend date is Thursday, April 17th. This represents a $2.04 dividend on an annualized basis and a yield of 2.10%. RPM International’s payout ratio is 40.32%.

Analysts Set New Price Targets

A number of research firms have recently commented on RPM. UBS Group upped their price target on shares of RPM International from $123.00 to $130.00 and gave the stock a “neutral” rating in a report on Thursday, December 19th. Wells Fargo & Company raised shares of RPM International from an “equal weight” rating to an “overweight” rating and raised their target price for the stock from $134.00 to $140.00 in a research report on Wednesday, January 8th. StockNews.com downgraded shares of RPM International from a “buy” rating to a “hold” rating in a research note on Tuesday, February 25th. Evercore ISI upgraded RPM International to a “strong-buy” rating in a report on Tuesday, January 21st. Finally, Mizuho dropped their price target on RPM International from $150.00 to $140.00 and set an “outperform” rating on the stock in a research report on Wednesday, January 8th. Five analysts have rated the stock with a hold rating, five have issued a buy rating and one has given a strong buy rating to the company. According to MarketBeat.com, RPM International presently has an average rating of “Moderate Buy” and an average price target of $133.33.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Wilmington Savings Fund Society FSB acquired a new stake in shares of RPM International in the third quarter valued at about $1,295,000. Toronto Dominion Bank lifted its stake in RPM International by 33.0% in the 3rd quarter. Toronto Dominion Bank now owns 16,384 shares of the specialty chemicals company’s stock worth $1,982,000 after purchasing an additional 4,062 shares in the last quarter. Janney Montgomery Scott LLC boosted its holdings in shares of RPM International by 9.9% during the 4th quarter. Janney Montgomery Scott LLC now owns 96,692 shares of the specialty chemicals company’s stock worth $11,899,000 after purchasing an additional 8,725 shares during the last quarter. Geode Capital Management LLC grew its position in shares of RPM International by 5.8% in the third quarter. Geode Capital Management LLC now owns 2,656,684 shares of the specialty chemicals company’s stock valued at $320,851,000 after purchasing an additional 145,070 shares in the last quarter. Finally, Pensionfund Sabic acquired a new stake in shares of RPM International in the fourth quarter valued at approximately $1,354,000. Hedge funds and other institutional investors own 80.95% of the company’s stock.

RPM International Stock Performance

The stock has a 50-day moving average of $118.65 and a 200 day moving average of $125.80. The stock has a market cap of $12.48 billion, a PE ratio of 19.18, a P/E/G ratio of 1.97 and a beta of 1.06. The company has a quick ratio of 1.46, a current ratio of 2.23 and a debt-to-equity ratio of 0.74.

RPM International Company Profile

RPM International Inc manufactures and sells specialty chemicals for the industrial, specialty, and consumer markets worldwide. It offers waterproofing, coating, and traditional roofing systems; sealants, air barriers, tapes, and foams; residential home weatherization systems; roofing and building maintenance services; sealing and bonding, subfloor preparation, flooring, and glazing solutions; resin flooring systems, polyurethane, MMA waterproof, epoxy floor paint and coatings, concrete repair, and protection products; fire stopping and intumescent steel coating, and manufacturing industry solutions; rolled asphalt roofing materials and chemical admixtures; concrete and masonry admixtures, concrete fibers, curing and sealing compounds, structural grouts and mortars, epoxy adhesives, injection resins, polyurethane foams, floor hardeners and toppings, joint fillers, industrial and architectural coatings, decorative color/stains/stamps, and restoration materials; insulated building cladding materials; and concrete form wall systems.