Altra Industrial Motion (AIMC) Rating Lowered to Hold at Zacks Investment Research

Altra Industrial Motion (NASDAQ:AIMC) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a note issued to investors on Tuesday.

According to Zacks, “In the last six months, Altra Industrial's shares have outperformed the industry. We believe that the company holds solid potential for organic and inorganic growth. For instance, the Stromag acquisition is predicted to be earnings accretive in 2017. Also, the company has been progressing well on its restructuring and cost-saving strategies. For 2017, the company increased its revenue guidance to $860-$870 million from the previous projection of $850-$865 million. Non-GAAP earnings are anticipated to be within $2.00-$2.06 per share, up from the earlier forecast of $1.95-$2.05. However, the company is exposed to risks arising from high debt levels, stiff competition, geopolitical issues as well as adverse foreign currency movements. Earnings estimates on the stock for both 2017 and 2018 remained stable in the last 60 days.”

Several other research firms have also recently issued reports on AIMC. Robert W. Baird reissued a “hold” rating and set a $48.00 price target on shares of Altra Industrial Motion in a report on Wednesday, October 4th. ValuEngine raised shares of Altra Industrial Motion from a “hold” rating to a “buy” rating in a report on Friday, September 1st. Sidoti cut shares of Altra Industrial Motion from a “buy” rating to a “neutral” rating and set a $53.00 price target for the company. in a report on Wednesday, October 4th. They noted that the move was a valuation call. Finally, BMO Capital Markets reissued a “buy” rating and set a $53.00 price target on shares of Altra Industrial Motion in a report on Wednesday, September 6th. Five investment analysts have rated the stock with a hold rating and two have given a buy rating to the company’s stock. The stock presently has an average rating of “Hold” and a consensus target price of $49.20.

Altra Industrial Motion (AIMC) opened at $50.40 on Tuesday. The company has a quick ratio of 1.57, a current ratio of 2.69 and a debt-to-equity ratio of 0.77. Altra Industrial Motion has a 12 month low of $35.20 and a 12 month high of $50.60. The stock has a market cap of $1,470.00, a price-to-earnings ratio of 35.74 and a beta of 1.66.

Altra Industrial Motion (NASDAQ:AIMC) last released its quarterly earnings data on Friday, October 20th. The industrial products company reported $0.48 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.46 by $0.02. Altra Industrial Motion had a net margin of 4.92% and a return on equity of 16.30%. The company had revenue of $214.60 million during the quarter, compared to the consensus estimate of $210.79 million. During the same quarter in the prior year, the firm posted $0.35 earnings per share. Altra Industrial Motion’s revenue for the quarter was up 24.0% on a year-over-year basis. equities research analysts forecast that Altra Industrial Motion will post 2.05 EPS for the current fiscal year.

In other news, Director Lipscomb S. Michael sold 25,000 shares of the stock in a transaction that occurred on Friday, October 27th. The shares were sold at an average price of $48.34, for a total value of $1,208,500.00. Following the sale, the director now directly owns 15,848 shares in the company, valued at $766,092.32. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Craig Schuele sold 1,685 shares of the stock in a transaction that occurred on Wednesday, October 18th. The shares were sold at an average price of $50.00, for a total transaction of $84,250.00. Following the completion of the sale, the vice president now owns 71,201 shares in the company, valued at $3,560,050. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 26,785 shares of company stock valued at $1,297,549. 3.20% of the stock is currently owned by corporate insiders.

A number of hedge funds and other institutional investors have recently made changes to their positions in AIMC. Aperio Group LLC raised its stake in shares of Altra Industrial Motion by 17.7% in the 2nd quarter. Aperio Group LLC now owns 7,473 shares of the industrial products company’s stock valued at $297,000 after acquiring an additional 1,122 shares during the period. Great West Life Assurance Co. Can increased its stake in Altra Industrial Motion by 191.6% during the 2nd quarter. Great West Life Assurance Co. Can now owns 4,453 shares of the industrial products company’s stock worth $176,000 after buying an additional 2,926 shares during the period. Sei Investments Co. increased its stake in Altra Industrial Motion by 3.0% during the 2nd quarter. Sei Investments Co. now owns 23,737 shares of the industrial products company’s stock worth $945,000 after buying an additional 700 shares during the period. Schwab Charles Investment Management Inc. increased its stake in Altra Industrial Motion by 15.6% during the 2nd quarter. Schwab Charles Investment Management Inc. now owns 169,644 shares of the industrial products company’s stock worth $6,752,000 after buying an additional 22,833 shares during the period. Finally, Rhumbline Advisers increased its stake in Altra Industrial Motion by 6.9% during the 2nd quarter. Rhumbline Advisers now owns 35,857 shares of the industrial products company’s stock worth $1,427,000 after buying an additional 2,328 shares during the period. Hedge funds and other institutional investors own 99.22% of the company’s stock.

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Altra Industrial Motion Company Profile

Altra Industrial Motion Corp. is a designer, producer and marketer of a range of mechanical power transmission (MPT) components. The Company operates through three segments: Couplings, Clutches and Brakes; Electromagnetic Clutches and Brakes, and Gearing. It manufactures a range of couplings suitable for various industrial and specialty applications.

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