Timken (NYSE:TKR) Hits New 1-Year Low – Time to Sell?

The Timken Company (NYSE:TKR) shares hit a new 52-week low during mid-day trading on Tuesday . The company traded as low as $67.50 and last traded at $67.93, with a volume of 131906 shares changing hands. The stock had previously closed at $71.87.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on the stock. Citigroup decreased their price objective on shares of Timken from $90.00 to $85.00 and set a “buy” rating on the stock in a research report on Tuesday, January 14th. Jefferies Financial Group upgraded shares of Timken from a “hold” rating to a “buy” rating and raised their price objective for the company from $80.00 to $95.00 in a research report on Friday, December 6th. Morgan Stanley upped their target price on shares of Timken from $93.00 to $94.00 and gave the stock an “overweight” rating in a research report on Tuesday, February 11th. Bank of America upgraded Timken from an “underperform” rating to a “neutral” rating and raised their price target for the company from $73.00 to $78.00 in a research report on Tuesday, February 4th. Finally, Evercore ISI upped their price objective on Timken from $91.00 to $102.00 and gave the stock an “outperform” rating in a report on Wednesday, February 19th. Four research analysts have rated the stock with a hold rating and seven have issued a buy rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $92.70.

Timken Stock Down 4.9 %

The stock’s 50 day simple moving average is $77.98 and its two-hundred day simple moving average is $78.24. The firm has a market cap of $4.79 billion, a P/E ratio of 13.70, a P/E/G ratio of 1.51 and a beta of 1.37. The company has a debt-to-equity ratio of 0.69, a current ratio of 3.07 and a quick ratio of 1.61.

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

Timken Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, March 7th. Investors of record on Tuesday, February 25th were given a dividend of $0.34 per share. The ex-dividend date of this dividend was Tuesday, February 25th. This represents a $1.36 dividend on an annualized basis and a yield of 1.99%. Timken’s dividend payout ratio (DPR) is 27.25%.

Insiders Place Their Bets

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 stock was sold at an average price of $81.50, for a total transaction of $407,500.00. Following the completion of the transaction, the chief financial officer now directly owns 90,541 shares in the company, valued at approximately $7,379,091.50. The trade was a 5.23 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. 8.70% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Timken

Several large investors have recently made changes to their positions in the business. Victory Capital Management Inc. increased its holdings in Timken by 418.4% in the 4th quarter. Victory Capital Management Inc. now owns 882,156 shares of the industrial products company’s stock valued at $62,959,000 after acquiring an additional 711,979 shares during the last quarter. Norges Bank bought a new stake in shares of Timken in the fourth quarter worth about $42,748,000. Hotchkis & Wiley Capital Management LLC lifted its position in shares of Timken by 34.3% in the third quarter. Hotchkis & Wiley Capital Management LLC now owns 1,700,979 shares of the industrial products company’s stock worth $143,376,000 after buying an additional 434,800 shares in the last quarter. Millennium Management LLC grew its holdings in Timken by 1,421.1% during the 4th quarter. Millennium Management LLC now owns 458,700 shares of the industrial products company’s stock valued at $32,737,000 after buying an additional 428,545 shares in the last quarter. Finally, American Century Companies Inc. raised its position in shares of Timken by 11.3% during the 4th quarter. American Century Companies Inc. now owns 3,158,690 shares of the industrial products company’s stock valued at $225,436,000 after buying an additional 320,354 shares in the last quarter. 89.08% of the stock is currently owned by hedge funds and other 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.