CECO Environmental Corp. (NASDAQ: CECO) stock jumped 2.53% on Wednesday to $11.73 against a previous-day closing price of $11.44. With 0.13 million shares changed hands, the volume of the stock remained lighter than its average volume of 0.29 million shares. During the session, the Pollution & Treatment Controls company that operates in wider Industrials sector, reached to the highest price of $11.77 whereas the lowest price it dropped to was $11.32. The 52-week range on CECO shows that it touched its highest point at $12.54 and its lowest point at $4.09 during that stretch. It currently has a 1-year price target of $15.00. Beta for the stock currently stands at 1.28.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of CECO was up-trending over the past week, with a rise of 2.99%, but this was down by -0.09% over a month. Three-month performance surged to 12.25% while six-month performance rose 91.04%. The stock gained 78.54% in the past year, while it has gained 88.28% so far this year. A look at the trailing 12-month EPS for CECO yields 0.29 with Next year EPS estimates of 0.78. For the next quarter, that number is 0.16. This implies an EPS growth rate of -82.70% for this year and 13.45% for next year. EPS is expected to grow by 15.00% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 15.30%.
Float and Shares Shorts:
At present, 34.46 million CECO shares are outstanding with a float of 28.70 million shares on hand for trading.
Other institutions hold 43.48% of CECO, in contrast to 30.19% held by mutual funds. Shares owned by individuals account for 23.43%. As the largest shareholder in CECO with 9.52% of the stake, Trigran Investments, Inc. holds 3,285,755 shares worth 3,285,755. A second-largest stockholder of CECO, Dimensional Fund Advisors LP, holds 2,299,971 shares, controlling over 6.67% of the firm’s shares. Luther King Capital Management Co is the third largest shareholder in CECO, holding 1,785,524 shares or 5.18% stake. With a 3.91% stake in CECO, the American Century Small Cap Value is the largest stakeholder. A total of 1,350,191 shares are owned by the mutual fund manager. The Vanguard Total Stock Market Index, which owns about 2.44% of CECO stock, is the second-largest Mutual Fund holder. It holds 843,032 shares valued at 9.96 million. Heartland Group Inc. – Value Fund holds 2.32% of the stake in CECO, owning 800,000 shares worth 9.46 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for CECO since 5 analysts follow the stock currently. There are 5 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 0 believe that the stock is worth HOLDING, 0 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With CECO analysts setting a high price target of $17.00 and a low target of $13.00, the average target price over the next 12 months is $15.00. Based on these targets, CECO could surge 44.93% to reach the target high and rise by 10.83% to reach the target low. Reaching the average price target will result in a growth of 27.88% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. CECO will report FY 2022 earnings on 03/09/2023. Analysts have provided yearly estimates in a range of $0.75 being high and $0.65 being low. For CECO, this leads to a yearly average estimate of $0.68. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. CECO Environmental Corp. surprised analysts by $0.09 when it reported $0.20 EPS against a consensus estimate of $0.11. The surprise factor in the prior quarter was $0.09. Based on analyst estimates, the high estimate for the next quarter is $0.22 and the low estimate is $0.12. The average estimate for the next quarter is thus $0.16.
Dividends & Yield:
In terms of dividends, CECO has a dividend of $0.24 is likely to be paid on average over the next five years. Dividend yield is another indicator that appeals to many investors, and CECO currently yields $1.04. In the past year, CECO’s dividend yield has been $1.04, but when looking at the stock over the past five years, its yield has been $2.86. Accordingly, CECO has a current buyback yield of $2.06. This was $2.06 for the TTM.
Summary of Insider Activity:
Insiders traded CECO stock several times over the past three months with 3 Buys and 0 Sells. In these transactions, 15,300 shares were bought while 0 shares were sold. The number of buy transactions has increased to 35 while that of sell transactions has risen to 1 over the past year. The total number of shares bought during that period was 383,213 while 1,776 shares were sold.