Brunswick (NYSE:BC) Shares Down 7.6% After Earnings Miss

Shares of Brunswick Co. (NYSE:BC) fell 7.6% on Thursday after the company announced weaker than expected quarterly earnings. The company traded as low as $79.09 and last traded at $79.61. 604,486 shares traded hands during mid-day trading, a decline of 18% from the average session volume of 739,566 shares. The stock had previously closed at $86.13.

The company reported $1.35 earnings per share for the quarter, missing the consensus estimate of $1.36 by ($0.01). Brunswick had a return on equity of 25.37% and a net margin of 6.24%. The company had revenue of $1.37 billion for the quarter, compared to analyst estimates of $1.36 billion. During the same period in the prior year, the business earned $2.57 earnings per share. Brunswick’s revenue for the quarter was down 21.7% compared to the same quarter last year.

Brunswick Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 15th. Shareholders of record on Monday, February 26th were issued a $0.42 dividend. The ex-dividend date of this dividend was Friday, February 23rd. This represents a $1.68 dividend on an annualized basis and a yield of 2.07%. This is an increase from Brunswick’s previous quarterly dividend of $0.40. Brunswick’s dividend payout ratio (DPR) is 31.23%.

Analyst Ratings Changes

A number of research firms have commented on BC. BNP Paribas reissued a “neutral” rating and issued a $82.00 target price (down previously from $94.00) on shares of Brunswick in a report on Monday, April 15th. DA Davidson reissued a “neutral” rating and issued a $77.00 target price on shares of Brunswick in a report on Friday, March 15th. B. Riley raised Brunswick from a “neutral” rating to a “buy” rating and raised their target price for the company from $100.00 to $108.00 in a report on Tuesday, February 20th. Roth Mkm restated a “buy” rating and issued a $94.00 price target on shares of Brunswick in a research report on Thursday. Finally, Raymond James cut Brunswick from an “outperform” rating to a “market perform” rating in a research report on Thursday, January 4th. Five investment analysts have rated the stock with a hold rating and seven have assigned a buy rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $92.83.

Insider Buying and Selling

In other Brunswick news, CEO David M. Foulkes sold 35,000 shares of Brunswick stock in a transaction that occurred on Monday, February 26th. The stock was sold at an average price of $87.11, for a total transaction of $3,048,850.00. Following the sale, the chief executive officer now directly owns 272,626 shares in the company, valued at approximately $23,748,450.86. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. In other Brunswick news, CEO David M. Foulkes sold 35,000 shares of Brunswick stock in a transaction that occurred on Monday, February 26th. The stock was sold at an average price of $87.11, for a total transaction of $3,048,850.00. Following the sale, the chief executive officer now directly owns 272,626 shares in the company, valued at approximately $23,748,450.86. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, VP Christopher F. Dekker sold 6,234 shares of Brunswick stock in a transaction that occurred on Friday, February 9th. The stock was sold at an average price of $84.53, for a total value of $526,960.02. Following the sale, the vice president now owns 35,176 shares in the company, valued at $2,973,427.28. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 52,696 shares of company stock valued at $4,574,199. Corporate insiders own 0.81% of the company’s stock.

Institutional Investors Weigh In On Brunswick

A number of institutional investors have recently made changes to their positions in the company. Raymond James Trust N.A. increased its holdings in shares of Brunswick by 4.4% in the 4th quarter. Raymond James Trust N.A. now owns 2,863 shares of the company’s stock valued at $277,000 after acquiring an additional 120 shares during the last quarter. Verdence Capital Advisors LLC increased its holdings in shares of Brunswick by 4.3% in the 3rd quarter. Verdence Capital Advisors LLC now owns 3,645 shares of the company’s stock valued at $288,000 after acquiring an additional 149 shares during the last quarter. Wrapmanager Inc. increased its holdings in shares of Brunswick by 5.6% in the 3rd quarter. Wrapmanager Inc. now owns 2,806 shares of the company’s stock valued at $222,000 after acquiring an additional 149 shares during the last quarter. Raymond James Financial Services Advisors Inc. increased its holdings in shares of Brunswick by 2.9% in the 3rd quarter. Raymond James Financial Services Advisors Inc. now owns 5,488 shares of the company’s stock valued at $434,000 after acquiring an additional 155 shares during the last quarter. Finally, Fifth Third Bancorp increased its holdings in shares of Brunswick by 17.9% in the 3rd quarter. Fifth Third Bancorp now owns 1,042 shares of the company’s stock valued at $82,000 after acquiring an additional 158 shares during the last quarter. 99.34% of the stock is currently owned by institutional investors.

Brunswick Stock Up 1.3 %

The firm has a market capitalization of $5.58 billion, a P/E ratio of 15.07 and a beta of 1.56. The stock has a fifty day moving average price of $89.13 and a two-hundred day moving average price of $84.77. The company has a debt-to-equity ratio of 1.16, a quick ratio of 0.59 and a current ratio of 1.68.

About Brunswick

Brunswick Corporation designs, manufactures, and markets recreation products in the United States, Europe, the Asia-Pacific, Canada, and internationally. It operates through four segments: Propulsion, Engine P&A, Navico Group, and Boat. The Propulsion segment provides outboard, sterndrive, inboard engines, propulsion-related controls, rigging, and propellers for boat builders through marine retail dealers under the Mercury, Mercury MerCruiser, Mariner, Mercury Racing, Mercury Diesel, Avator, and Fliteboard brands.