ACCO Brands Gets a Boost in Rating Following Strong Q1 Results
ACCO Brands (NYSE:ACCO) has been upgraded from a “hold” to a “buy” rating by StockNews.com, according to a research note presented to investors on Friday, May 5th. The industrial products company released its latest earnings data on Thursday, May 4th, reporting $0.09 EPS for Q1 2023. This was an impressive performance and exceeded the consensus estimate of $0.05 by $0.04.
The quarterly results are evidence of ACCO Brands’ strength and resilience in the current economic climate as it manages to grow despite economic challenges. The positive return on equity of 12.07% and revenue of $402.60 million have been attributed to the North America segment, which comprises the U.S., Canada, and Mexico.
The company’s core businesses continue to grow as they manufacture and market office products such as calendars, school supplies as well as select computer and electronic accessories. Its global presence extends across three segments: ACCO Brands North America, ACCO Brands EMEA (Europe Middle East and Africa), and ACCO Brands International.
While revenue for the quarter decreased by 8.8% year-over-year, this was not enough to stifle growth for Q1 2023. Analysts predict that ACCO Brands is set to post an impressive EPS of 1.09 for the current fiscal year.
This improvement in ratings has excited stockholders more so because other companies have struggled in light of the COVID-19 pandemic exacerbated economic downturns while ACCO remains strong with loyal customers who rely heavily on products sold or marketed by
the brand.
In addition, given its recent success story over its competitors, investment-savvy individuals might consider adding shares from ACCO into their portfolios in order to reap possible long-term returns
Overall it would seem that ACCO is a company on the rise. Its recent upgrades in ratings have provided a bullish outlook for investors to stay invested in this company.
With operations stretching across three different continents, ACCO’s growth looks capable of being maintained over the long haul as it expands its global footprint and continues to develop new products while retaining its loyal customers. It might be wise for investors to take a closer look at its portfolio and see if they can capitalize on this moment to buy shares at bargain prices before the stock catches up with fundamental value.
ACCO Brands Corporation: Mixed Reviews and Recent Moves Spark Uncertainty
ACCO Brands Corporation, a leading manufacturer and marketer of office, school, calendar products, and select computer and electronic accessories has had mixed reviews from equities research analysts recently. BWS Financial downgraded the company’s rating from “buy” to “neutral”, with a price target reduction from $9.00 to $6.00 followed by Barrington Research, boosting their price target from $7.00 to $8.00 and giving ACCO Brands an “outperform” rating. As of May 8th, shares of ACCO traded at $5.11 per share with a trading volume of 972,526 shares compared to its average volume of 568,591.
ACCO Brands has a 52-week low of $4.27 and a 52-week high of $7.61 with a market capitalization of $485.04 million. The firm has a debt-to-equity ratio of 1.16 in addition to having a quick ratio of 0.83 and current ratio of 1.50.
Despite mixed opinions from analysts, EVP Roxanne M. Bernstein purchased 5,000 shares for ACCO at an average cost per share of $5.40 resulting in executive vice president now owning approximately 25,000 shares valued at $135,000 as disclosed in the SEC filing.
Institutional investors have been buying and selling shares recently as Bank of New York Mellon Corp increased its stake by 1.5% followed by American Century Companies Inc purchasing new stakes worth $363,000 before MetLife Investment Management LLC acquired more than prior holdings by upping its stake by just over double; Panagora Asset Management Inc also significantly increased its stake by over two hundred percent whereas BlackRock Inc only slightly increased theirs by less than one percent as they now own over ten million shares worth approximately eighty-three million dollars.
All things considered, it is not yet clear whether we should expect a rise or fall in ACCO’s performance going forward, but these recent moves indicate that it may be on the cusp of significant change. It will be interesting to see how the company copes with this shifting landscape and potential uncertainty.
