Fastenal (NASDAQ:FAST) Sees Large Volume Increase After Dividend Announcement

Shares of Fastenal (NASDAQ:FAST) saw an uptick in trading volume on Friday following a dividend announcement from the company. 2,058,813 shares were traded during trading, a decline of 26% from the previous session’s volume of 2,798,541 shares.The stock last traded at $75.71 and had previously closed at $74.77.

The newly announced dividend which will be paid on Friday, February 28th. Shareholders of record on Friday, January 31st will be given a dividend of $0.43 per share. This represents a $1.72 annualized dividend and a yield of 2.26%. This is a boost from Fastenal’s previous quarterly dividend of $0.39. Fastenal’s payout ratio is presently 77.61%.

Analyst Ratings Changes

A number of brokerages have recently weighed in on FAST. Hsbc Global Res downgraded Fastenal from a “hold” rating to a “moderate sell” rating in a report on Wednesday, December 11th. Wolfe Research boosted their price target on Fastenal from $74.00 to $76.00 and gave the stock an “underweight” rating in a research report on Thursday. Stifel Nicolaus downgraded shares of Fastenal from a “buy” rating to a “hold” rating and set a $86.00 price objective for the company. in a report on Wednesday, December 11th. UBS Group initiated coverage on Fastenal in a report on Wednesday, November 13th. They issued a “neutral” rating and a $88.00 target price on the stock. Finally, Stephens upped their target price on shares of Fastenal from $56.00 to $75.00 and gave the company an “equal weight” rating in a research note on Monday, October 14th. Two analysts have rated the stock with a sell rating, eight have assigned a hold rating and one has assigned a buy rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $77.27.

Fastenal Price Performance

The stock has a market cap of $43.54 billion, a P/E ratio of 37.76, a price-to-earnings-growth ratio of 3.94 and a beta of 1.02. The company has a current ratio of 4.40, a quick ratio of 2.29 and a debt-to-equity ratio of 0.03. The company’s fifty day simple moving average is $78.23 and its 200-day simple moving average is $72.82.

Fastenal (NASDAQ:FAST) last posted its earnings results on Friday, January 17th. The company reported $0.46 earnings per share for the quarter, missing analysts’ consensus estimates of $0.48 by ($0.02). The business had revenue of $1.82 billion during the quarter, compared to the consensus estimate of $1,842,560.16 billion. Fastenal had a net margin of 15.44% and a return on equity of 33.30%. The business’s revenue was up 3.7% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.46 EPS. As a group, sell-side analysts forecast that Fastenal will post 2.03 EPS for the current year.

Insider Transactions at Fastenal

In related news, Director Rita J. Heise sold 10,888 shares of the stock in a transaction dated Wednesday, October 30th. The shares were sold at an average price of $77.67, for a total transaction of $845,670.96. Following the completion of the sale, the director now owns 20,000 shares in the company, valued at $1,553,400. This trade represents a 35.25 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Daniel L. Johnson sold 8,474 shares of the business’s stock in a transaction dated Wednesday, November 13th. The shares were sold at an average price of $83.36, for a total transaction of $706,392.64. Following the completion of the transaction, the director now owns 10,595 shares in the company, valued at approximately $883,199.20. This trade represents a 44.44 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 74,660 shares of company stock valued at $6,211,126. Corporate insiders own 0.41% of the company’s stock.

Institutional Investors Weigh In On Fastenal

A number of hedge funds have recently added to or reduced their stakes in FAST. Aaron Wealth Advisors LLC bought a new stake in shares of Fastenal during the third quarter worth $310,000. Comgest Global Investors S.A.S. lifted its position in Fastenal by 73.0% during the 3rd quarter. Comgest Global Investors S.A.S. now owns 87,081 shares of the company’s stock valued at $6,219,000 after purchasing an additional 36,742 shares during the period. PNC Financial Services Group Inc. boosted its stake in shares of Fastenal by 1.8% in the 3rd quarter. PNC Financial Services Group Inc. now owns 369,267 shares of the company’s stock valued at $26,373,000 after purchasing an additional 6,488 shares during the last quarter. Franklin Resources Inc. grew its position in shares of Fastenal by 3.8% during the 3rd quarter. Franklin Resources Inc. now owns 4,572,999 shares of the company’s stock worth $350,703,000 after buying an additional 165,423 shares during the period. Finally, Matrix Trust Co bought a new stake in shares of Fastenal during the fourth quarter worth approximately $1,756,000. Institutional investors own 81.38% of the company’s stock.

About Fastenal

Fastenal Company, together with its subsidiaries, engages in the wholesale distribution of industrial and construction supplies in the United States, Canada, Mexico, North America, and internationally. It offers fasteners, and related industrial and construction supplies under the Fastenal name. The company’s fastener products include threaded fasteners, bolts, nuts, screws, studs, and related washers that are used in manufactured products and construction projects, as well as in the maintenance and repair of machines.