Conestoga Capital Advisors LLC, a financial firm specializing in asset management and investment advisory services to individuals, institutions, and mutual funds has announced a decrease in their holdings of WD-40 (NASDAQ:WDFC) by 0.6% during the fourth quarter. As reported in its most recent 13F filing with the SEC, Conestoga Capital Advisors LLC owned approximately 2.15% of WD-40 worth $47,005,000 as of its most recent filing with the SEC.
These holdings changes did not go unnoticed by industry analysts, and shortly after this announcement came to light, several research analysts weighed in on WDFC shares. DA Davidson lowered their target price on shares of WD-40 from $207.00 to $197.00 and set a “buy” rating on the stock in a report published Monday.
Despite some analysts’ concerns about the holdings reduction and unfavorable market projections related to WD-40’s financial outlook – this doesn’t appear to have affected WDFC’s quarterly earnings report released last month. The specialty chemicals company reported $1.21 earnings per share (EPS) for the quarter, beating consensus estimates by $0.06.
Furthermore, WD-40 had revenue of $130.19 million during the quarter against analysts’ expectations of $125.80 million despite tough market conditions due to COVID-19 restrictions.
It’s important to note that while there may be slight decreases in holdings or fluctuations in stock prices for many companies including WD-40 – good news should never go overlooked from quarter-to-quarter reports when it comes to long-term investments.
Investors must have faith in their investments rather than trying to predict every fluctuation and trend change that might occur within stocks as they can magnify reactions to statements regarding single data points without considering the bigger picture
Conestoga Capital Advisors LLC has undoubtedly considered all factors before making any investment decision involving WD-40, and so should potential investors. It’s important to research not only the company but also its competitors, history, cash flow, and other market trends that may impact it now and in the long run before deciding to invest in any stock or holding of interest.
WD-40 Attracts Attention from Institutional Investors and Hedge Funds
WD-40, a specialty chemical company with a market cap of $2.43 billion, has received significant attention from hedge funds and institutional investors in recent months. According to reports, Nelson Van Denburg & Campbell Wealth Management Group LLC increased its holdings in WD-40 by 6.9% during the third quarter of 2020, adding an additional 368 shares valued at $1,007,000 to their portfolio. Quantbot Technologies LP also boosted its WD-40 holdings by a substantial 1,370.4% during the same quarter and now owns 3,279 shares worth $576,000.
Other significant changes were noted in the fourth quarter of 2020 when Crestmont Private Wealth LLC acquired a new stake in WD-40 valued at around $221,000 while PDT Partners LLC bought a new stake worth approximately $318,000 during the third quarter.
Furthermore, California Public Employees Retirement System (CalPERS) increased their holdings by 11.1% in Q3 and currently maintains ownership of over 50,933 shares worth around $8,951,000. Hedge funds and other institutional investors own over 92% of WDFC’s stock.
Shares for WD-40 opened at $179.38 on Friday; however it is interesting to note that several analysts have recently weighed in on the company’s outlook with varied opinions expressed about its future prospects.
DA Davidson lowered their target price on shares of WD-40 from $207.00 to $197.00 while classifying it as a “buy,” whereas StockNews.com feels less ambitious about its potential and gave it just a “hold” rating.
WD-40’s dividend payout ratio is currently around 75%, with shareholders who owned stock as of Friday April 14th receiving a quarterly dividend payment of $.83 per share totaling an annualized dividend yield of approximately 1.85%.
In other news, Patricia Q. Olsem, Chief Financial Officer of WD-40, sold 438 shares of the company’s stock in February at an average price of $180.00 per share for a total value of $78,840.00. Meanwhile, CEO Steven A. Brass purchased 586 shares worth around $99,954 during a transaction on January 18th.
As we can see from recent events and reports, it is evident that WD-40 has been subject to a high degree of interest from institutional investors and hedge funds in recent months; something that highlights the company’s potential within its sector going forward.
