In recent news, Neuberger Berman Group LLC has reportedly lowered its holdings in H&E Equipment Services, Inc. (NASDAQ:HEES) by 34.2% during the fourth quarter of the previous year based on a recent report filed with the Securities and Exchange Commission (SEC). The Fund has sold about 36,802 shares of the industrial products company, which led to a total of 70,654 shares left in their possession amounting to $3,208,000 worth of interest at the end of the reporting period.
H&E Equipment Services announced its quarterly earnings data last April 27th. The company reportedly garnered $322.50 million for the quarter and had an 18.3% revenue increase compared to the same period last year. The business showcased a net margin of 10.93% and return on equity of 38.04%. They overwhelmingly surpassed consensus estimates with an EPS of $0.71 per share as compared to analysts’ projected $0.60 per share value.
The industrial products business engages in offering services that focus on heavy construction and equipment operations with segments such as Equipment Rentals, New Equipment Sales, Used Equipment Sales, Parts Sales and Services.
As experts look forward to what’s next for H&E Equipment Services Incorporated for this current fiscal year following these significant moves it made, investors can take note of how these changes will affect their investment strategies for this period. The decrease in Neuberger Berman Group LLC’s holdings is either alarming or seen as an opportunity depending on one’s stance regarding market risks in light of today’s financial landscape.
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Institutional Investors and Hedge Funds Boost Stakes in H&E Equipment Services, Inc.
H&E Equipment Services, Inc. has been making headlines in the financial world recently due to the several changes that institutional investors and hedge funds have made in their positions within the company. Raymond James & Associates recorded an 8.4% stake growth in shares of H&E Equipment Services in the 1st quarter, bringing its total share ownership to 37,020 shares valued at $1,611,000 after purchasing additional 2,864 shares during the period. MetLife Investment Management LLC also boosted its stake by 37.8% in the same period and now owns 16,721 shares valued at $728,000 after purchasing an additional 4,587 shares during the period.
On their end, Vanguard Group Inc. recorded a stake growth of 3.1% in H&E Equipment Services’ shares during Q1 of this year as well – they now own a whopping 3,142,831 shares valued at $136,776,000 after purchasing an additional 95,195 shares during this period. Prudential Financial Inc., on the other hand bought a new stake in H&E Equipment Services’ stock worth approximately $378k whilst Arrowstreet Capital Limited Partnership bought a new stake worth roughly $2.15 million.
Following these investments by institutional investors and hedge funds,H&E Equipment Services has amassed tremendous capital which could help the company stave off any future financial threats whilst boosting its growth prospects.
A closer look at H&E Equipment Services reveals that it focuses on heavy construction and industrial equipment rental services; It operates through several segments including heavy equipment rentals for construction and industries as well as selling both new and used equipment parts.
The stock for NASDAQ:HEES opened trading at $42.39 on Friday with a market capitalization of around $1.54 billion. The company’s price-to-earnings ratio is currently hovering around about 10.90 with an estimated price-to-earnings-growth ratio of 0.97 and a beta of 2.00.
Amidst all this, H&E Equipment Services declared recently that it will pay out quarterly dividends to its shareholders. The first of these was paid out on Friday, June 9th to shareholders of record as at May 25th who received $0.275 per share. This represents an annual dividend payout of $1.10 with an astounding dividend yield of 2.59%. Currently, the company’s payout ratio stands at approximately 28.28%.
Research reports have placed a “buy” rating on NASDAQ:HEES stock with Wells Fargo & Company having increased their target price from $57.00 to $62.00 and assigning the stock an “overweight” rating in February this year while B. Riley lowered their target price on H&E Equipment Services’ stock from $60.00 to $47.00 in late April this same year.
Analysts put the company’s worth at around $54.75 with five analysts having rated H&E Equipment Services highly.The stock market appears very optimistic about the future prospects of H&E Equipment Services, maybe due in part by the confidence institutional investors have shown by increasing their stakes within the company; but is now not only the best time to invest or not? With unpredictability being a constant feature within financial markets today, if there is one thing that we can be sure about when it comes to investing – it is that there exists no sure-fire way or accurate method for forecasting market trends at any given moment; savvy investors know that approaching each investment opportunity with utmost caution remains essential to minimizing potential risks and maximizing profits over time.
