KEMET (KEM) Lifted to Strong-Buy at Zacks Investment Research
Zacks Investment Research upgraded shares of KEMET (NYSE:KEM) from a hold rating to a strong-buy rating in a research report released on Wednesday morning. They currently have $25.00 target price on the electronics maker’s stock.
According to Zacks, “KEMET Corporation and its subsidiaries is the world’s largest manufacturer of solid tantalum capacitors and and one of the world’s largest manufacturer of multilayer ceramic capacitors. According to industry sources, tantalum and ceramic capacitors are the two fastest growing sectors of the United States capacitor industry. Capacitors are electronic components that store, filter and regulate electrical energy and current flow and are one of the essential passive components used on circuit boards. “
Other analysts have also recently issued reports about the company. B. Riley upped their price target on KEMET and gave the company a buy rating in a research note on Thursday, July 26th. ValuEngine cut KEMET from a buy rating to a hold rating in a research note on Thursday, August 9th. Finally, Macquarie initiated coverage on KEMET in a research note on Monday, October 8th. They issued an outperform rating for the company.
KEMET (NYSE:KEM) last announced its quarterly earnings data on Tuesday, October 30th. The electronics maker reported $0.87 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $0.60 by $0.27. The firm had revenue of $349.20 million during the quarter, compared to analysts’ expectations of $335.56 million. KEMET had a return on equity of 27.21% and a net margin of 7.18%. The company’s quarterly revenue was up 15.8% compared to the same quarter last year. During the same period in the previous year, the business posted $0.45 EPS. As a group, sell-side analysts expect that KEMET will post 3.16 EPS for the current year.
The business also recently declared a quarterly dividend, which will be paid on Monday, November 26th. Stockholders of record on Friday, November 16th will be paid a $0.05 dividend. The ex-dividend date is Thursday, November 15th. This represents a $0.20 dividend on an annualized basis and a dividend yield of 0.92%.
In other news, CEO Per Olof Loof sold 10,000 shares of the company’s stock in a transaction dated Friday, August 24th. The stock was sold at an average price of $25.40, for a total value of $254,000.00. Following the completion of the sale, the chief executive officer now directly owns 888,992 shares of the company’s stock, valued at approximately $22,580,396.80. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, SVP Ronald James Assaf sold 3,333 shares of the company’s stock in a transaction dated Friday, November 2nd. The shares were sold at an average price of $21.83, for a total value of $72,759.39. Following the completion of the sale, the senior vice president now directly owns 84,222 shares of the company’s stock, valued at $1,838,566.26. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 19,999 shares of company stock valued at $471,612. 2.95% of the stock is currently owned by company insiders.
Several hedge funds have recently made changes to their positions in KEM. BlackRock Inc. increased its stake in shares of KEMET by 15.5% in the 3rd quarter. BlackRock Inc. now owns 8,173,112 shares of the electronics maker’s stock valued at $151,612,000 after acquiring an additional 1,096,341 shares during the last quarter. Point72 Asset Management L.P. increased its stake in KEMET by 223.1% during the 2nd quarter. Point72 Asset Management L.P. now owns 1,211,768 shares of the electronics maker’s stock worth $29,264,000 after purchasing an additional 836,668 shares in the last quarter. Copper Rock Capital Partners LLC bought a new stake in KEMET during the 2nd quarter worth approximately $19,109,000. Intrinsic Edge Capital Management LLC bought a new stake in KEMET during the 2nd quarter worth approximately $16,369,000. Finally, Millennium Management LLC increased its stake in KEMET by 128.7% during the 2nd quarter. Millennium Management LLC now owns 1,002,086 shares of the electronics maker’s stock worth $24,200,000 after purchasing an additional 563,967 shares in the last quarter. 77.06% of the stock is owned by institutional investors.
KEMET Corporation manufactures and sells passive electronic components under the KEMET brand worldwide. The company operates in three segments: Solid Capacitors, Film and Electrolytic; and Electro-Magnetic, Sensors, and Actuators. It offers tantalum, aluminum polymer, and ceramic capacitors; film, paper, and wet aluminum electrolytic capacitors; electromagnetic interference filters; and electro-magnetic compatible materials and devices, piezo materials and actuators, and various types of sensors.
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