Zacks Research Downgrades Hawkins (NASDAQ:HWKN) to Strong Sell

Hawkins (NASDAQ:HWKN) was downgraded by Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued to investors on Tuesday,Zacks.com reports.

Other equities analysts also recently issued research reports about the company. BWS Financial restated a “buy” rating and issued a $200.00 price objective on shares of Hawkins in a report on Monday. Weiss Ratings cut shares of Hawkins from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Tuesday, July 14th. Finally, Barclays set a $142.00 target price on shares of Hawkins and gave the stock an “equal weight” rating in a research report on Friday, July 31st. One equities research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $171.00.

Hawkins Trading Up 1.2%

Hawkins stock opened at $135.29 on Tuesday. Hawkins has a 12 month low of $117.98 and a 12 month high of $186.15. The company has a quick ratio of 1.54, a current ratio of 2.27 and a debt-to-equity ratio of 0.45. The stock has a market cap of $2.82 billion, a P/E ratio of 35.05, a P/E/G ratio of 2.54 and a beta of 0.79. The company’s fifty day simple moving average is $147.18 and its 200-day simple moving average is $149.48.

Hawkins (NASDAQ:HWKN) last released its quarterly earnings data on Wednesday, July 29th. The specialty chemicals company reported $1.35 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.39 by ($0.04). Hawkins had a net margin of 7.29% and a return on equity of 15.42%. The firm had revenue of $315.68 million for the quarter, compared to analyst estimates of $313.42 million. As a group, sell-side analysts forecast that Hawkins will post 4.04 EPS for the current fiscal year.

Institutional Investors Weigh In On Hawkins

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Kestra Advisory Services LLC bought a new stake in Hawkins during the fourth quarter worth approximately $29,000. MBM Wealth Consultants LLC acquired a new stake in shares of Hawkins in the first quarter worth $33,000. Sound Income Strategies LLC bought a new stake in shares of Hawkins during the 4th quarter worth $34,000. Simplex Trading LLC grew its stake in Hawkins by 246.0% in the 4th quarter. Simplex Trading LLC now owns 346 shares of the specialty chemicals company’s stock valued at $49,000 after buying an additional 246 shares during the last quarter. Finally, Advisory Services Network LLC bought a new position in Hawkins in the 3rd quarter worth $79,000. 69.71% of the stock is currently owned by institutional investors and hedge funds.

Hawkins News Roundup

Here are the key news stories impacting Hawkins this week:

• Positive Sentiment: Sidoti raised its Q2 2027 EPS estimate to $1.26 from $1.25, and increased its Q1 2028 forecast to $1.57 from $1.55. The firm also lifted its Q2 2028 estimate to $1.48 from $1.45.
• Neutral Sentiment: Sidoti currently projects FY2027 EPS of $4.20 and FY2028 EPS of $5.00. These forecasts provide a benchmark for future performance, but the estimates remain subject to changes in specialty-chemical demand, pricing and operating costs.
• Negative Sentiment: Sidoti cut its FY2027 EPS estimate to $4.20 from $4.45 and reduced its FY2028 forecast to $5.00 from $5.35. The firm also lowered estimates for Q3 2027 to $0.76 from $0.90, Q4 2027 to $0.82 from $0.95, Q3 2028 to $0.93 from $1.10 and Q4 2028 to $1.02 from $1.25.
• Negative Sentiment: The revisions follow Hawkins’ latest quarterly report, in which EPS of $1.35 missed the $1.39 consensus estimate, although revenue exceeded expectations. With the stock trading below its 50-day and 200-day moving averages and carrying a relatively elevated P/E ratio near 35, downward earnings revisions could limit enthusiasm despite the modest positive quarterly changes.

Hawkins Company Profile

Hawkins, Inc (NASDAQ: HWKN) is a specialty chemical company that produces and distributes water-treatment and industrial chemicals across North America. Founded in 1938 and headquartered in Roseville, Minnesota, the company has built a network of manufacturing facilities and distribution centers that serve municipal, industrial and commercial customers. As a publicly traded entity, Hawkins leverages its long-standing presence in the chemical distribution industry to provide tailored solutions for complex water-treatment challenges and specialty chemical needs.

Hawkins’ product portfolio encompasses a wide range of chemicals, including sodium hypochlorite, sodium hydroxide, hydrogen peroxide, chlorine, acids and specialty blends.