Mohawk Industries (NYSE:MHK) Shares Gap Up on Earnings Beat

Shares of Mohawk Industries, Inc. (NYSE:MHK) gapped up before the market opened on Friday following a stronger than expected earnings report. The stock had previously closed at $110.27, but opened at $117.98. Mohawk Industries shares last traded at $116.12, with a volume of 91,161 shares trading hands.

The company reported $1.86 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.70 by $0.16. The business had revenue of $2.68 billion during the quarter, compared to the consensus estimate of $2.64 billion. Mohawk Industries had a negative net margin of 3.95% and a positive return on equity of 7.52%. Mohawk Industries’s revenue was down 4.5% compared to the same quarter last year. During the same quarter last year, the firm posted $1.75 EPS.

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on MHK shares. StockNews.com raised Mohawk Industries from a “hold” rating to a “buy” rating in a research report on Saturday, February 17th. Wells Fargo & Company decreased their target price on Mohawk Industries from $105.00 to $100.00 and set an “underweight” rating for the company in a research report on Monday, January 22nd. Barclays increased their target price on shares of Mohawk Industries from $100.00 to $122.00 and gave the stock an “equal weight” rating in a report on Monday, February 12th. Truist Financial boosted their target price on shares of Mohawk Industries from $98.00 to $127.00 and gave the stock a “buy” rating in a report on Tuesday, February 13th. Finally, The Goldman Sachs Group lifted their price target on shares of Mohawk Industries from $105.00 to $120.00 and gave the stock a “buy” rating in a research note on Thursday, January 11th. One investment analyst has rated the stock with a sell rating, three have given a hold rating and five have issued a buy rating to the company’s stock. According to MarketBeat, Mohawk Industries has a consensus rating of “Hold” and an average price target of $118.75.

Insider Buying and Selling

In related news, VP Rodney David Patton sold 1,551 shares of the business’s stock in a transaction dated Tuesday, March 12th. The shares were sold at an average price of $119.51, for a total transaction of $185,360.01. Following the transaction, the vice president now directly owns 15,321 shares in the company, valued at $1,831,012.71. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Insiders own 17.10% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the company. Fifth Third Bancorp raised its holdings in Mohawk Industries by 5.5% in the 4th quarter. Fifth Third Bancorp now owns 2,006 shares of the company’s stock valued at $208,000 after buying an additional 105 shares during the period. Treasurer of the State of North Carolina increased its holdings in shares of Mohawk Industries by 0.5% during the third quarter. Treasurer of the State of North Carolina now owns 23,225 shares of the company’s stock worth $1,993,000 after buying an additional 120 shares in the last quarter. Signaturefd LLC increased its holdings in shares of Mohawk Industries by 29.4% during the fourth quarter. Signaturefd LLC now owns 563 shares of the company’s stock worth $58,000 after buying an additional 128 shares in the last quarter. SG Americas Securities LLC lifted its position in Mohawk Industries by 2.1% in the 4th quarter. SG Americas Securities LLC now owns 6,744 shares of the company’s stock valued at $698,000 after acquiring an additional 136 shares in the last quarter. Finally, Huntington National Bank boosted its holdings in Mohawk Industries by 36.0% in the 3rd quarter. Huntington National Bank now owns 540 shares of the company’s stock worth $46,000 after buying an additional 143 shares during the period. 78.98% of the stock is owned by institutional investors and hedge funds.

Mohawk Industries Price Performance

The business’s 50-day simple moving average is $118.86 and its 200-day simple moving average is $102.85. The stock has a market cap of $7.34 billion, a PE ratio of -16.64 and a beta of 1.34. The company has a quick ratio of 0.97, a current ratio of 1.78 and a debt-to-equity ratio of 0.22.

About Mohawk Industries

Mohawk Industries, Inc designs, manufactures, sources, distributes, and markets flooring products for residential and commercial remodeling, and new construction channels in the United States, Europe, Latin America, and internationally. It operates through three segments: Global Ceramic, Flooring North America, and Flooring Rest of the World.