Dimensional Fund Advisors LP has increased its shares in Arcosa, Inc. by 5.1% in the fourth quarter of the year. According to Form 13F filed with the Securities & Exchange Commission, the investment group now owns and additional 124,263 shares of the company’s stock, equating to a total holding of 2,583,856 shares worth $140,408,000. Meanwhile, Director Ronald J. Gafford sold 2,370 of his company shares for a total amount of $162,700 on May 10th and insider Jesse E. Jr Collins made $594,411 selling over 8,500 shares on May 17th.
Trading under NYSE:ACA stock opened at $69.42 on Friday and follows relatively stable trend across previous months with an average price of around $62 over fifty days and $59 per two-hundred days moving average.
Arcosa’s debt-to-equity ratio is listed at .24 while making significant improvements to its current liquidity with a current ratio of 2.4 in addition to quick ratio of 1.54 – these are impressive numbers that indicate healthy cash flow ratios. In more solid news for potential investors wondering about Arcosa’s performance against competitors will be reassured with a beta rating of just .55 indicates high resilience against market risk.
The one-year spread between its lowest point at $43.52 and its highest at $71 shows strong growth potential ahead as well.
Arcosa is currently valued at around $3.36 billion with positive news on all fronts indicating prosperous days ahead for shareholders according to analysts’ general consensus on exciting outcomes for Arcosa Inc.’s future achievements as stock owners can look forward to positive financial impact outcomes due to ever-consistent levels within operations as well exceeding expectations if continued success prevails – also mentioning improving liquidity issuing from operation cash flows should help support this positive trend.
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Arcosa Inc. (NYSE: ACA) Gains Attention from Institutional Investors and Positive Earnings Report
The stock market can be a confusing place, especially with the multitude of hedge funds and institutional investors vying for a share in successful companies. Arcosa Inc. (NYSE: ACA) is no exception, as several hedge funds have recently bought and sold shares of the company’s stock. Vanguard Group increased its stake in Arcosa by 1.6% during the third quarter and now owns 5,351,494 shares valued at $305,998,000. AllianceBernstein L.P. and State Street Corp also grew their stakes in the company during this time period.
Capital World Investors had a huge increase in stake during the first quarter, with an additional 300,000 shares added to their portfolio bringing their total holdings to 1,881,470 shares valued at $107,714,000. Goldman Sachs Group Inc., meanwhile, boosted their stake by 7.5% during the second quarter and now owns 1,128,796 shares worth $52,410.
It’s clear that institutional investors are taking notice of Arcosa’s potential for growth in the future. This sentiment was echoed by several research reports suggesting meaningful upside for investors in terms of stock price – DA Davidson lifted its price target from $80.00 to $85.00; Oppenheimer made similar moves by raising its own price target from $75 to $85; finally Loop Capital boosted its target price on shares of Arcosa from $75.00 to $80.
Still worried about investing? It may be reassuring to note that several insiders have sold portions of their holdings recently: Director Ronald J. Gafford sold two batches of 2,370 shares each in May handing over around $162k worth of stock whilst insider Jesse E.Jr Collins parted with over 8k units valued at roughly half a million dollars.
The news isn’t all glittering for Arcosa though – within their recent earnings report there were clear positive notes as well. The company reported an EPS of $1.06 for Q2 representing not only a healthy increase from expected values ($0.50 by $0.56) but also strong growth with respect to last year’s numbers.
Finally, the company announced a quarterly dividend payout of $0.05 per share, payable to shareholders on July 31st, which could be potentially welcome news for long-term investors considering the current low-interest-rate environment and uncertainty in other markets.
The stock may indeed prove to be an attractive option for investors, with institutional buying and improved financial figures suggesting that Arcosa may have more upside than previously estimated. However, like any investment it’s important to perform adequate research before deciding whether or not your own stake should be anchored around the tempting potential offered up by this American industrial manufacturer’s shares.
