DA Davidson Lowers Earnings Estimates for Franklin Electric in FY2025

Franklin Electric Co., Inc. (NASDAQ:FELE - Free Report) has recently seen a downgrade in its FY2025 earnings estimates from DA Davidson. In a research note released on November 4th, analyst M. Summerville projected that the company would earn $4.20 per share for the fiscal year, a reduction from their previous estimate of $4.50. Currently, analysts anticipate Franklin Electric's full-year earnings to be around $3.82 per share.

Additionally, in a separate report on October 30th, Robert W. Baird revised its price target for Franklin Electric, lowering it from $107.00 to $105.00, maintaining a "neutral" rating on the stock.

Overview of Franklin Electric Stock Performance

On Wednesday, shares of FELE opened at $100.80. The company holds a market capitalization of $4.61 billion, with a price-to-earnings ratio of 25.52 and a P/E/G ratio of 2.13. Its beta value stands at 0.96. Over the past year, Franklin Electric's stock has reached a low of $85.82 and a high of $108.39. The stock is currently trading around its fifty-day moving average of $101.53 and a 200-day moving average of $100.09. The company exhibits a quick ratio of 1.06 and a current ratio of 2.40, while its debt-to-equity ratio is notably low at 0.01.

In its most recent quarterly earnings report released on October 29th, Franklin Electric fell short of expectations. The company reported earnings of $1.17 per share, missing the consensus estimate of $1.27 by $0.10. Revenue for the quarter was $531.40 million, also below analyst expectations of $551.08 million. Compared to the same quarter last year, Franklin Electric's revenue declined by 1.4%, and earnings per share were down from $1.23 the previous year.

Institutional Investor Activity

Recent activity among institutional investors shows that several hedge funds have either increased or decreased their stakes in Franklin Electric. First Merchants Corp added a new stake valued at about $19,054,000 in the second quarter. Similarly, F M Investments LLC established a new position worth approximately $9,158,000 during the same period. Assenagon Asset Management S.A. significantly boosted its holdings in Franklin Electric by 116.5%, acquiring an additional 89,128 shares and owning a total of 165,601 shares valued at $15,951,000. Edgestream Partners L.P. also increased its stake by 328.4%, adding 49,391 shares to reach 64,431 shares now valued at $6,206,000. Meanwhile, Allspring Global Investments Holdings LLC grew its position by 2.0% during the third quarter, now holding 2,030,238 shares worth $212,810,000. Currently, around 79.98% of the stock is owned by institutional investors and hedge funds.

Dividend Announcement

Franklin Electric has recently declared a quarterly dividend, scheduled for payment on Thursday, November 21st. Shareholders on record as of November 7th will receive a dividend of $0.25 per share, equating to an annualized dividend of $1.00 and a yield of 0.99%. The ex-dividend date for this announcement is also November 7th. The company's payout ratio stands at 25.32%.

Company Profile

Franklin Electric Co., Inc. is a global designer, manufacturer, and distributor of water and fuel pumping systems. The company operates through three segments: Water Systems, Fueling Systems, and Distribution. The Water Systems segment specializes in submersible motors, drives, pumps, electronic controls, water treatment systems, monitoring devices, and associated parts and equipment.

Earnings, Stocks, Estimates