Methode Electronics (NYSE:MEI) Shares Gap Up on Earnings Beat

Methode Electronics, Inc. (NYSE:MEI)’s stock price gapped up prior to trading on Thursday after the company announced better than expected quarterly earnings. The stock had previously closed at $11.61, but opened at $15.20. Methode Electronics shares last traded at $14.97, with a volume of 669,430 shares traded.

The electronics maker reported $0.14 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.17) by $0.31. Methode Electronics had a negative return on equity of 3.50% and a negative net margin of 13.15%. During the same period last year, the firm posted $0.06 earnings per share.

Methode Electronics Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, November 1st. Stockholders of record on Friday, October 18th were given a $0.14 dividend. This represents a $0.56 annualized dividend and a dividend yield of 4.40%. The ex-dividend date was Friday, October 18th. Methode Electronics’s dividend payout ratio is presently -13.90%.

Wall Street Analyst Weigh In

MEI has been the subject of several research analyst reports. Robert W. Baird lifted their price objective on Methode Electronics from $13.00 to $16.00 and gave the stock a “neutral” rating in a report on Friday. StockNews.com upgraded Methode Electronics from a “sell” rating to a “hold” rating in a research note on Friday, September 6th.

Insider Activity

In other Methode Electronics news, Director Mary A. Lindsey purchased 8,800 shares of the stock in a transaction that occurred on Monday, September 23rd. The shares were bought at an average cost of $11.38 per share, with a total value of $100,144.00. Following the acquisition, the director now owns 25,970 shares in the company, valued at approximately $295,538.60. This trade represents a 51.25 % increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director David P. Blom purchased 9,320 shares of the stock in a transaction that occurred on Wednesday, September 18th. The stock was acquired at an average cost of $10.81 per share, for a total transaction of $100,749.20. Following the completion of the acquisition, the director now owns 37,531 shares in the company, valued at $405,710.11. This represents a 33.04 % increase in their position. The disclosure for this purchase can be found here. Insiders own 1.40% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. nVerses Capital LLC lifted its holdings in Methode Electronics by 1,600.0% in the 3rd quarter. nVerses Capital LLC now owns 3,400 shares of the electronics maker’s stock worth $41,000 after purchasing an additional 3,200 shares in the last quarter. Nisa Investment Advisors LLC raised its holdings in shares of Methode Electronics by 749.7% during the 2nd quarter. Nisa Investment Advisors LLC now owns 5,693 shares of the electronics maker’s stock worth $59,000 after acquiring an additional 5,023 shares in the last quarter. CWM LLC raised its holdings in shares of Methode Electronics by 685.1% during the 3rd quarter. CWM LLC now owns 8,730 shares of the electronics maker’s stock worth $104,000 after acquiring an additional 7,618 shares in the last quarter. Hennessy Advisors Inc. purchased a new stake in shares of Methode Electronics during the 2nd quarter worth approximately $111,000. Finally, Quest Partners LLC raised its holdings in shares of Methode Electronics by 17.1% during the 2nd quarter. Quest Partners LLC now owns 12,062 shares of the electronics maker’s stock worth $125,000 after acquiring an additional 1,758 shares in the last quarter. 95.49% of the stock is owned by hedge funds and other institutional investors.

Methode Electronics Stock Down 9.2 %

The firm has a market capitalization of $448.61 million, a PE ratio of -3.16 and a beta of 0.81. The company has a fifty day moving average price of $10.40 and a 200-day moving average price of $10.80. The company has a debt-to-equity ratio of 0.40, a quick ratio of 1.50 and a current ratio of 2.35.

About Methode Electronics

Methode Electronics, Inc designs, engineers, and produces mechatronic products worldwide. It operates through four segments: Automotive, Industrial, Interface, and Medical. The Automotive segment supplies electronic and electro-mechanical devices, and related products to automobile original equipment manufacturers directly or through their tiered suppliers.