Gates Industrial (NYSE:GTES) Updates FY24 Earnings Guidance

by · The Cerbat Gem

Gates Industrial (NYSE:GTES – Get Free Report) issued an update on its FY24 earnings guidance on Wednesday morning. The company provided earnings per share (EPS) guidance of $1.33-1.37 for the period, compared to the consensus estimate of $1.31. The company issued revenue guidance of +3-4% yr/yr to $3.65-3.712 billion, compared to the consensus revenue estimate of $3.41 billion. Gates Industrial also updated its FY 2024 guidance to 1.330-1.370 EPS.

Wall Street Analyst Weigh In

Several analysts have recently commented on GTES shares. Royal Bank of Canada raised shares of Gates Industrial from a “sector perform” rating to an “outperform” rating and raised their price objective for the stock from $20.00 to $22.00 in a research report on Monday, August 19th. Morgan Stanley started coverage on shares of Gates Industrial in a research note on Friday, September 6th. They set an “equal weight” rating and a $19.00 price target for the company. The Goldman Sachs Group boosted their price target on shares of Gates Industrial from $18.00 to $20.00 and gave the company a “neutral” rating in a research note on Thursday, August 1st. KeyCorp boosted their price target on shares of Gates Industrial from $21.00 to $22.00 and gave the company an “overweight” rating in a research note on Thursday. Finally, Evercore ISI boosted their price target on shares of Gates Industrial from $15.00 to $16.00 and gave the company an “in-line” rating in a research note on Monday, August 19th. Four investment analysts have rated the stock with a hold rating and six have assigned a buy rating to the stock. According to MarketBeat.com, Gates Industrial has an average rating of “Moderate Buy” and an average target price of $19.80.

Check Out Our Latest Report on GTES

Gates Industrial Stock Up 0.9 %

Shares of NYSE:GTES traded up $0.17 on Friday, hitting $19.52. 5,263,489 shares of the company traded hands, compared to its average volume of 3,052,308. Gates Industrial has a 52 week low of $10.94 and a 52 week high of $20.01. The company has a quick ratio of 2.20, a current ratio of 3.11 and a debt-to-equity ratio of 0.68. The stock has a 50 day simple moving average of $17.71 and a 200-day simple moving average of $17.13. The company has a market cap of $5.11 billion, a PE ratio of 23.52 and a beta of 1.40.

Gates Industrial (NYSE:GTES – Get Free Report) last released its quarterly earnings data on Wednesday, July 31st. The company reported $0.34 EPS for the quarter, topping the consensus estimate of $0.33 by $0.01. The company had revenue of $885.50 million during the quarter, compared to the consensus estimate of $893.00 million. Gates Industrial had a return on equity of 9.90% and a net margin of 6.43%. As a group, research analysts expect that Gates Industrial will post 1.23 earnings per share for the current year.

Gates Industrial declared that its board has authorized a share buyback plan on Wednesday, July 31st that authorizes the company to buyback $250.00 million in outstanding shares. This buyback authorization authorizes the company to purchase up to 5.4% of its shares through open market purchases. Shares buyback plans are generally an indication that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling

In other news, Director Wilson S. Neely acquired 11,952 shares of the firm’s stock in a transaction dated Wednesday, August 21st. The shares were acquired at an average cost of $16.80 per share, with a total value of $200,793.60. Following the acquisition, the director now directly owns 6,000 shares of the company’s stock, valued at approximately $100,800. The trade was a -200.00 % increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. 2.30% of the stock is owned by insiders.

About Gates Industrial

(Get Free Report)

Gates Industrial Corporation PLC designs and manufactures power transmission equipment. Its products serves harsh and hazardous industries such as agriculture, construction, manufacturing and energy, to everyday consumer applications such as printers, power washers, automatic doors and vacuum cleaners and virtually every form of transportation.

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