SG Americas Securities LLC, a registered investment advisory firm, has recently declared in its fourth-quarter filing with the Securities and Exchange Commission (SEC) that they have acquired additional shares of Alamo Group Inc. (NYSE:ALG). The purchase has increased SG Americas Securities LLC’s holdings by over 30%, effectively enhancing their investments in the industrial products company.
As per the filing, the institutional investor already owned 3,307 shares of Alamo Group’s stock but bought an additional 795 to further diversify their portfolio. The acquired shares were estimated at $468,000 based on the most recent report submitted to SEC.
In light of this acquisition news, it is also noteworthy that Alamo Group had recently released notification of a quarterly dividend on May 1st. Though having an impressive yield rate of just over half a percent, investors who held record of their shares only until Monday, April 17th could claim a payout of $0.22 per share. This accumulates to an annualized dividend payment rate of $0.88 and contributes to Alamo Group’s current payout ratio that stands firm at 10.30%.
With regard to Alamo Group’s overall financial standing and growth potential, several research analysts have mentioned favorable opinions about ALG stocks as they continue to perform well despite market unpredictability. For instance, DA Davidson raised their rating for the industrial products manufacturer from “neutral” up to “buy”. They also raised their price target up from $173 to $196 in March 2021 after analyzing data indicating promising earnings and growth prospects beyond initial predictions.
Furthermore, StockNews.com gave a thumbs up after giving great consideration and analysis after initiating coverage on ALG stocks if customers intend expanding or including industrials in their portfolio.
Dissecting numbers doesn’t reveal everything; while investing brings colossal opportunity costs along with massive profits but requires strategic methods too. Consequently novice/ first-time investors should understand the financial market’s complexities well before investing their time and money.
Institutional Investors Show Interest in Alamo Group’s Stock, Insiders Sell Shares in Legal Filings, and Positive Earnings Results Benefit Stakeholders
Alamo Group has reported recent changes to its positions from other hedge funds. Summit Global Investments increased its stake in shares of the industrial products company by 28.7% during the 4th quarter, while North Star Investment Management Corp. lifted its holdings by 27.1%. Point72 Hong Kong Ltd acquired a new stake in shares of Alamo Group, and Teacher Retirement System of Texas elevated their holdings by 198.7%. Finally, Cornerstone Investment Partners LLC lifted their holdings by 29.8%. This means that 91.67% of Alamo Group’s stock is owned by institutional investors.
In terms of insider trading, both VP Janet S. Pollock and EVP Edward Rizzuti sold significant portions of their shares recently in legal filings with the SEC. Even though insiders own only 2.30% of the company’s stock, this news does contribute to an understanding of market engagement with Alamo Group.
The business announced a quarterly dividend on Monday, May 1st for investors of record on April 17th, which had a yield of 0.51%. The payout ratio currently stands at 10.30%.
Alamo Group opened at $174.15 on Friday and currently has a market capitalization of $2.09 billion with a price-to-earnings ratio sitting at around 20.39 and a beta of approximately .98.
Regarding earnings results from last quarter released on February 23rd Alamo Group reported EPS for that period sitting at $2.44 for Q4 beating analyst estimates made earlier this year set at $1.96 by $.48 million dollars additionally having revenue sitting at $386 million dollars overall throughout that period generating returns to stakeholders boasting net margins exceeding over %6.
Overall we can see that there is interest in this industrial products company from institutional investors who have took action resulting in growth stakes ,there is also activity among insiders as they move to adjust positions in the market, and finally, Alamo Group’s earnings results have been positive with exceeding expectations leading to monetary benefits for stakeholders.