Diamond Hill Capital Management Inc. Trims Stake in Gates Industrial Corp PLC (NYSE:GTES)

Diamond Hill Capital Management Inc. lessened its position in Gates Industrial Corp PLC (NYSE:GTES) by 3.6% in the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 4,312,472 shares of the company’s stock after selling 159,059 shares during the period. Diamond Hill Capital Management Inc. owned about 1.65% of Gates Industrial worth $68,180,000 as of its most recent SEC filing.

Other large investors also recently made changes to their positions in the company. Headlands Technologies LLC raised its stake in shares of Gates Industrial by 341.1% in the 2nd quarter. Headlands Technologies LLC now owns 1,707 shares of the company’s stock valued at $27,000 after purchasing an additional 1,320 shares in the last quarter. TFO Wealth Partners LLC increased its stake in shares of Gates Industrial by 68,390.0% in the fourth quarter. TFO Wealth Partners LLC now owns 6,849 shares of the company’s stock valued at $92,000 after purchasing an additional 6,839 shares during the period. Johnson Financial Group Inc. boosted its position in shares of Gates Industrial by 26.4% during the fourth quarter. Johnson Financial Group Inc. now owns 7,919 shares of the company’s stock worth $106,000 after buying an additional 1,654 shares during the period. Envestnet Portfolio Solutions Inc. acquired a new stake in Gates Industrial in the 4th quarter valued at approximately $147,000. Finally, Levin Capital Strategies L.P. acquired a new position in shares of Gates Industrial during the second quarter valued at $158,000. Hedge funds and other institutional investors own 98.50% of the company’s stock.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on the stock. Robert W. Baird decreased their price objective on shares of Gates Industrial from $26.00 to $22.00 and set an “outperform” rating for the company in a report on Thursday, August 1st. Royal Bank of Canada upgraded Gates Industrial from a “sector perform” rating to an “outperform” rating and upped their price objective for the company from $20.00 to $22.00 in a report on Monday, August 19th. Evercore ISI lifted their target price on Gates Industrial from $15.00 to $16.00 and gave the stock an “in-line” rating in a report on Monday, August 19th. Barclays cut their price target on shares of Gates Industrial from $17.00 to $16.00 and set an “equal weight” rating for the company in a report on Tuesday, June 4th. Finally, Morgan Stanley assumed coverage on shares of Gates Industrial in a research note on Friday, September 6th. They issued an “equal weight” rating and a $19.00 price objective on the stock. Four investment analysts have rated the stock with a hold rating and six have given a buy rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $19.40.

Insider Buying and Selling at Gates Industrial

In related news, Director Wilson S. Neely bought 11,952 shares of the firm’s stock in a transaction on Wednesday, August 21st. The stock was bought at an average price of $16.80 per share, with a total value of $200,793.60. Following the purchase, the director now directly owns 6,000 shares of the company’s stock, valued at approximately $100,800. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Company insiders own 2.30% of the company’s stock.

Gates Industrial Stock Performance

Shares of GTES stock opened at $17.07 on Friday. The stock’s fifty day simple moving average is $17.04 and its 200-day simple moving average is $16.86. The company has a market capitalization of $4.47 billion, a price-to-earnings ratio of 18.76 and a beta of 1.41. The company has a current ratio of 3.11, a quick ratio of 2.20 and a debt-to-equity ratio of 0.68. Gates Industrial Corp PLC has a 1-year low of $10.68 and a 1-year high of $19.07.

Gates Industrial (NYSE:GTES) last released its earnings results on Wednesday, July 31st. The company reported $0.34 earnings per share for the quarter, beating the consensus estimate of $0.33 by $0.01. The company had revenue of $885.50 million for the quarter, compared to analysts’ expectations of $893.00 million. Gates Industrial had a return on equity of 10.27% and a net margin of 7.24%. On average, sell-side analysts predict that Gates Industrial Corp PLC will post 1.24 earnings per share for the current fiscal year.

About Gates Industrial

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.