Polaris (NYSE:PII) Shares Gap Up Following Better-Than-Expected Earnings

Polaris Inc. (NYSE:PII)’s stock price gapped up before the market opened on Tuesday after the company announced better than expected quarterly earnings. The stock had previously closed at $55.15, but opened at $59.59. Polaris shares last traded at $59.0540, with a volume of 204,035 shares trading hands.

The company reported $1.08 EPS for the quarter, topping analysts’ consensus estimates of $0.59 by $0.49. The firm had revenue of $2.04 billion during the quarter, compared to analyst estimates of $1.90 billion. Polaris had a negative net margin of 3.50% and a positive return on equity of 16.77%. The company’s revenue was up 10.9% on a year-over-year basis. During the same quarter last year, the business posted ($0.28) EPS.

Polaris Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st were issued a dividend of $0.68 per share. This represents a $2.72 annualized dividend and a dividend yield of 4.6%. The ex-dividend date was Tuesday, September 1st. Polaris’s payout ratio is currently -58.75%.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on the stock. Royal Bank Of Canada lifted their price objective on shares of Polaris from $65.00 to $75.00 and gave the company a “sector perform” rating in a research note on Wednesday, July 29th. Robert W. Baird reduced their price target on shares of Polaris from $72.00 to $65.00 and set a “neutral” rating for the company in a report on Wednesday, October 7th. Roth Capital reiterated a “neutral” rating on shares of Polaris in a research report on Wednesday, July 29th. Citigroup reduced their target price on Polaris from $67.00 to $56.00 and set a “neutral” rating on the stock in a report on Monday, October 19th. Finally, Zacks Research downgraded shares of Polaris from a “strong-buy” rating to a “hold” rating in a research note on Monday, October 5th. One investment analyst has rated the stock with a Buy rating, twelve have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $63.00.

Hedge Funds Weigh In On Polaris

Large investors have recently made changes to their positions in the company. Kingswood Wealth Advisors LLC acquired a new position in Polaris during the 3rd quarter valued at about $294,000. Signaturefd LLC raised its stake in shares of Polaris by 3.9% during the third quarter. Signaturefd LLC now owns 4,877 shares of the company’s stock worth $254,000 after buying an additional 185 shares during the last quarter. Evergreen Capital Management LLC lifted its holdings in Polaris by 69.9% in the third quarter. Evergreen Capital Management LLC now owns 4,998 shares of the company’s stock valued at $261,000 after buying an additional 2,056 shares during the period. Sterling Capital Management LLC lifted its holdings in Polaris by 841.1% in the third quarter. Sterling Capital Management LLC now owns 1,807 shares of the company’s stock valued at $94,000 after buying an additional 1,615 shares during the period. Finally, Inspire Investing LLC lifted its holdings in Polaris by 22.6% in the third quarter. Inspire Investing LLC now owns 12,116 shares of the company’s stock valued at $632,000 after buying an additional 2,237 shares during the period. Institutional investors and hedge funds own 88.06% of the company’s stock.

Polaris Trading Up 6.4%

The stock has a market capitalization of $3.34 billion, a P/E ratio of -12.66 and a beta of 1.32. The company has a debt-to-equity ratio of 2.28, a current ratio of 1.20 and a quick ratio of 0.47. The business’s 50 day simple moving average is $57.15 and its 200-day simple moving average is $62.85.

About Polaris

Polaris Inc is a manufacturer of powersports products headquartered in Medina, Minnesota. Founded in 1954, the company began as a snowmobile manufacturer and has expanded into a diversified portfolio of off-road vehicles, motorcycles, snowmobiles and boats.

Its off-road vehicle lineup includes utility and recreational models sold under brands such as RANGER, RZR, Sportsman and GENERAL. Polaris also manufactures snowmobiles under the Polaris brand and motorcycles through Indian Motorcycle and Slingshot.