Werner Enterprises (NASDAQ:WERN) Shares Gap Down After Earnings Miss

Werner Enterprises, Inc. (NASDAQ:WERN)’s share price gapped down prior to trading on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $38.31, but opened at $36.34. Werner Enterprises shares last traded at $37.97, with a volume of 173,860 shares trading hands.

The transportation company reported $0.15 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.22 by ($0.07). Werner Enterprises had a net margin of 1.99% and a return on equity of 4.70%. The firm had revenue of $745.70 million for the quarter, compared to analyst estimates of $765.24 million. During the same period in the previous year, the business posted $0.42 EPS. Werner Enterprises’s revenue for the quarter was down 8.8% on a year-over-year basis.

Werner Enterprises Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, October 23rd. Investors of record on Monday, October 7th were given a $0.14 dividend. The ex-dividend date was Monday, October 7th. This represents a $0.56 annualized dividend and a dividend yield of 1.52%. Werner Enterprises’s dividend payout ratio is presently 76.71%.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently issued reports on WERN shares. Stifel Nicolaus reduced their target price on shares of Werner Enterprises from $39.00 to $33.00 and set a “hold” rating for the company in a research report on Thursday, August 1st. Wells Fargo & Company reduced their price target on shares of Werner Enterprises from $38.00 to $35.00 and set an “underweight” rating for the company in a research report on Wednesday. Susquehanna boosted their price target on Werner Enterprises from $26.00 to $30.00 and gave the stock a “negative” rating in a research report on Thursday, September 26th. The Goldman Sachs Group dropped their target price on shares of Werner Enterprises from $37.00 to $33.00 and set a “sell” rating on the stock in a research note on Wednesday, October 9th. Finally, Stephens dropped their target price on shares of Werner Enterprises from $40.00 to $36.00 and set an “equal weight” rating on the stock in a report on Monday, August 5th. Seven investment analysts have rated the stock with a sell rating, five have given a hold rating and three have assigned a buy rating to the stock. According to data from MarketBeat, the company has an average rating of “Hold” and an average target price of $36.50.

Institutional Investors Weigh In On Werner Enterprises

Several large investors have recently made changes to their positions in WERN. Massmutual Trust Co. FSB ADV raised its holdings in shares of Werner Enterprises by 390.1% during the 2nd quarter. Massmutual Trust Co. FSB ADV now owns 740 shares of the transportation company’s stock valued at $27,000 after purchasing an additional 589 shares in the last quarter. 1620 Investment Advisors Inc. acquired a new position in Werner Enterprises in the 2nd quarter valued at approximately $29,000. Canada Pension Plan Investment Board acquired a new stake in Werner Enterprises during the second quarter worth $29,000. Quest Partners LLC acquired a new position in Werner Enterprises during the second quarter worth $30,000. Finally, GAMMA Investing LLC grew its holdings in shares of Werner Enterprises by 145.7% in the 3rd quarter. GAMMA Investing LLC now owns 801 shares of the transportation company’s stock worth $31,000 after purchasing an additional 475 shares during the last quarter. Institutional investors and hedge funds own 89.32% of the company’s stock.

Werner Enterprises Price Performance

The stock has a market capitalization of $2.28 billion, a P/E ratio of 50.53, a PEG ratio of 11.70 and a beta of 0.79. The company’s 50 day simple moving average is $37.10 and its two-hundred day simple moving average is $36.75. The company has a debt-to-equity ratio of 0.45, a current ratio of 1.69 and a quick ratio of 1.64.

About Werner Enterprises

Werner Enterprises, Inc, together with its subsidiaries, engages in transporting truckload shipments of general commodities in interstate and intrastate commerce in the United States, Mexico, and internationally. The company operates through two segments, Truckload Transportation Services and Werner Logistics.