On February 3, 2023, Longbow Research downgraded their outlook for Stanley Black & Decker from Buy to Neutral.
Analyst Price Forecast Suggests 8.10% Downside
As of February 4, 2023, the average one-year price target for Stanley Black & Decker is $86.22. The forecasts range from a low of $69.69 to a high of $105.00. The average price target represents a decrease of 8.10% from its latest reported closing price of $93.82.
The projected annual revenue for Stanley Black & Decker is $16,313MM, a decrease of 5.59%. The projected annual EPS is $4.68, a decrease of 50.68%.
Stanley Black & Decker Declares $0.80 Dividend
Stanley Black & Decker said on October 20, 2022 that its board of directors declared a regular quarterly dividend of $0.80 per share ($3.20 annualized). Shareholders of record as of November 30, 2022 received the payment on December 20, 2022. Previously, the company paid $0.80 per share.
At the current share price of $93.82 / share, the stock's dividend yield is 3.41%. Looking back five years and taking a sample every week, the average dividend yield has been 2.06%, the lowest has been 1.27%, and the highest has been 4.28%. The standard deviation of yields is 0.69 (n=237).
The current dividend yield is 1.95 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 0.33. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.16%, demonstrating that it has increased its dividend over time.
What are large shareholders doing?
Massachusetts Financial Services holds 8,039,425 shares representing 5.43% ownership of the company. In it's prior filing, the firm reported owning 7,980,335 shares, representing an increase of 0.74%. The firm decreased its portfolio allocation in SWK by 21.65% over the last quarter.
Price T Rowe Associates holds 7,554,260 shares representing 5.11% ownership of the company. In it's prior filing, the firm reported owning 2,031,238 shares, representing an increase of 73.11%. The firm increased its portfolio allocation in SWK by 54.15% over the last quarter.
Capital Research Global Investors holds 4,703,932 shares representing 3.18% ownership of the company. In it's prior filing, the firm reported owning 2,626,589 shares, representing an increase of 44.16%. The firm increased its portfolio allocation in SWK by 35.49% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 4,405,328 shares representing 2.98% ownership of the company. In it's prior filing, the firm reported owning 4,447,567 shares, representing a decrease of 0.96%. The firm decreased its portfolio allocation in SWK by 25.95% over the last quarter.
Wells Fargo holds 4,250,282 shares representing 2.87% ownership of the company. In it's prior filing, the firm reported owning 4,410,625 shares, representing a decrease of 3.77%. The firm decreased its portfolio allocation in SWK by 27.20% over the last quarter.
Fund Sentiment
There are 1472 funds or institutions reporting positions in Stanley Black & Decker. This is a decrease of 86 owner(s) or 5.52%.
Average portfolio weight of all funds dedicated to US:SWK is 0.1887%, a decrease of 6.5922%. Total shares owned by institutions increased in the last three months by 1.69% to 159,988K shares.
Stanley Black & Decker Background Information
(This description is provided by the company.)
Stanley Black & Decker is a purpose-driven, $14.5 billion revenue industrial organization. Stanley Black & Decker has 53,000 employees in more than 60 countries and operates the world's largest tools and storage business, the world's second-largest commercial electronic security services company, a leading engineered fastening business as well as Oil & Gas and Infrastructure businesses. The company's iconic brands include BLACK+DECKER, Bostitch, CRAFTSMAN, DEWALT, FACOM, IRWIN, LENOX, Porter Cable and STANLEY. Stanley Black & Decker is a company for the makers and innovators, the craftsmen and the caregivers, and those doing the hard work to make the world a better place.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
