The Timken Company (NYSE:TKR) Receives Average Recommendation of “Moderate Buy” from Analysts

The Timken Company (NYSE:TKR) has been given an average recommendation of “Moderate Buy” by the eleven ratings firms that are covering the company, Marketbeat.com reports. Four analysts have rated the stock with a hold recommendation and seven have issued a buy recommendation on the company. The average 1-year target price among analysts that have issued a report on the stock in the last year is $92.70.

Several brokerages recently issued reports on TKR. Morgan Stanley lifted their price target on shares of Timken from $93.00 to $94.00 and gave the company an “overweight” rating in a report on Tuesday, February 11th. Evercore ISI lifted their price target on shares of Timken from $91.00 to $102.00 and gave the company an “outperform” rating in a report on Wednesday, February 19th. KeyCorp reissued a “sector weight” rating on shares of Timken in a report on Friday, November 22nd. Bank of America raised shares of Timken from an “underperform” rating to a “neutral” rating and boosted their target price for the stock from $73.00 to $78.00 in a research note on Tuesday, February 4th. Finally, Citigroup dropped their target price on shares of Timken from $90.00 to $85.00 and set a “buy” rating for the company in a research note on Tuesday, January 14th.

Timken Price Performance

Shares of Timken stock opened at $77.02 on Monday. Timken has a twelve month low of $69.35 and a twelve month high of $94.71. The firm has a market cap of $5.39 billion, a P/E ratio of 15.44, a price-to-earnings-growth ratio of 1.51 and a beta of 1.37. The firm’s 50-day simple moving average is $77.78 and its 200-day simple moving average is $79.04. The company has a debt-to-equity ratio of 0.69, a quick ratio of 1.61 and a current ratio of 3.07.

Timken (NYSE:TKR) last announced its quarterly earnings results on Wednesday, February 5th. The industrial products company reported $1.16 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.08 by $0.08. Timken had a net margin of 7.71% and a return on equity of 13.93%. As a group, research analysts expect that Timken will post 5.62 EPS for the current fiscal year.

Timken Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, March 7th. Investors of record on Tuesday, February 25th were paid a dividend of $0.34 per share. This represents a $1.36 dividend on an annualized basis and a dividend yield of 1.77%. The ex-dividend date was Tuesday, February 25th. Timken’s dividend payout ratio (DPR) is 27.25%.

Insider Buying and Selling

In related news, CFO Philip D. Fracassa sold 5,000 shares of the business’s stock in a transaction that occurred on Friday, February 7th. The shares were sold at an average price of $81.50, for a total transaction of $407,500.00. Following the completion of the sale, the chief financial officer now directly owns 90,541 shares of the company’s stock, valued at $7,379,091.50. The trade was a 5.23 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. 8.70% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Timken

A number of institutional investors and hedge funds have recently modified their holdings of the business. Vanguard Group Inc. raised its stake in shares of Timken by 0.4% during the fourth quarter. Vanguard Group Inc. now owns 6,465,760 shares of the industrial products company’s stock worth $461,461,000 after buying an additional 26,973 shares during the last quarter. American Century Companies Inc. grew its holdings in Timken by 11.3% during the fourth quarter. American Century Companies Inc. now owns 3,158,690 shares of the industrial products company’s stock valued at $225,436,000 after purchasing an additional 320,354 shares during the period. Thrivent Financial for Lutherans grew its holdings in Timken by 4.2% during the third quarter. Thrivent Financial for Lutherans now owns 2,679,790 shares of the industrial products company’s stock valued at $225,880,000 after purchasing an additional 107,350 shares during the period. Dimensional Fund Advisors LP grew its holdings in Timken by 5.9% during the fourth quarter. Dimensional Fund Advisors LP now owns 2,233,493 shares of the industrial products company’s stock valued at $159,403,000 after purchasing an additional 124,676 shares during the period. Finally, State Street Corp grew its holdings in Timken by 3.5% during the third quarter. State Street Corp now owns 1,953,838 shares of the industrial products company’s stock valued at $164,689,000 after purchasing an additional 66,208 shares during the period. 89.08% of the stock is owned by institutional investors.

About Timken

The Timken Company designs, manufactures, and sells engineered bearings and industrial motion products, and related services in the United States and internationally. The company's Engineered Bearings segment provides various bearing products, including tapered, spherical, and cylindrical roller bearings; plain bearings, metal-polymer bearings, and rod end bearings; radial, angular, and precision ball bearings; thrust and specialty ball bearings; journal bearings; and housed or mounted bearings.