Service Co. International (NYSE:SCI) Shares Gap Down Following Weak Earnings

Shares of Service Co. International (NYSE:SCI) gapped down prior to trading on Thursday following a dissappointing earnings announcement. The stock had previously closed at $79.91, but opened at $72.35. Service Co. International shares last traded at $76.41, with a volume of 387,957 shares traded.

The company reported $0.79 EPS for the quarter, missing the consensus estimate of $0.86 by ($0.07). The firm had revenue of $1.03 billion for the quarter, compared to the consensus estimate of $1.03 billion. Service Co. International had a net margin of 12.73% and a return on equity of 32.23%. During the same quarter in the previous year, the business earned $0.83 earnings per share. The firm’s revenue for the quarter was up 2.0% on a year-over-year basis.

Service Co. International Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, June 28th. Investors of record on Friday, June 14th were paid a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a yield of 1.59%. The ex-dividend date of this dividend was Friday, June 14th. Service Co. International’s dividend payout ratio (DPR) is presently 34.48%.

Analysts Set New Price Targets

A number of brokerages have issued reports on SCI. UBS Group increased their price objective on shares of Service Co. International from $83.00 to $85.00 and gave the company a “buy” rating in a report on Friday, May 17th. Oppenheimer increased their price objective on shares of Service Co. International from $76.00 to $79.00 and gave the company an “outperform” rating in a report on Wednesday, May 22nd. Finally, Truist Financial lifted their target price on Service Co. International from $80.00 to $84.00 and gave the stock a “buy” rating in a report on Friday, June 21st. One research analyst has rated the stock with a hold rating and five have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $78.00.

Insider Transactions at Service Co. International

In related news, Director Tony Coelho sold 2,900 shares of the firm’s stock in a transaction on Friday, June 14th. The stock was sold at an average price of $72.38, for a total value of $209,902.00. Following the completion of the sale, the director now directly owns 60,629 shares in the company, valued at $4,388,327.02. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Company insiders own 5.10% of the company’s stock.

Institutional Trading of Service Co. International

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in SCI. Swedbank AB purchased a new stake in Service Co. International in the first quarter worth $224,137,000. Handelsbanken Fonder AB increased its stake in Service Co. International by 0.5% in the 4th quarter. Handelsbanken Fonder AB now owns 1,920,710 shares of the company’s stock worth $131,473,000 after buying an additional 10,000 shares during the period. Coho Partners Ltd. increased its stake in Service Co. International by 10.6% in the 1st quarter. Coho Partners Ltd. now owns 1,685,111 shares of the company’s stock worth $125,052,000 after buying an additional 161,570 shares during the period. Norges Bank bought a new stake in Service Co. International during the 4th quarter valued at about $92,331,000. Finally, Charles Schwab Investment Management Inc. increased its position in shares of Service Co. International by 1.0% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 908,456 shares of the company’s stock worth $62,184,000 after acquiring an additional 9,381 shares during the period. 85.53% of the stock is owned by hedge funds and other institutional investors.

Service Co. International Trading Down 5.3 %

The stock has a 50-day simple moving average of $72.53 and a two-hundred day simple moving average of $71.42. The firm has a market capitalization of $11.02 billion, a P/E ratio of 22.96, a price-to-earnings-growth ratio of 2.16 and a beta of 0.84. The company has a current ratio of 0.62, a quick ratio of 0.57 and a debt-to-equity ratio of 2.90.

About Service Co. International

Service Corporation International provides deathcare products and services in the United States and Canada. Its funeral service and cemetery operations comprise funeral service locations, cemeteries, funeral service/cemetery combination locations, crematoria, and other businesses. The company also provides professional services related to funerals and cremations, including the use of funeral home facilities and motor vehicles; arranging and directing services; and removal, preparation, embalming, cremation, memorialization, and travel protection, as well as catering services.