Clearfield (NASDAQ:CLFD) Shares Gap Up After Strong Earnings

Clearfield, Inc. (NASDAQ:CLFD)’s stock price gapped up before the market opened on Friday following a better than expected earnings announcement. The stock had previously closed at $31.91, but opened at $39.90. Clearfield shares last traded at $36.87, with a volume of 284,385 shares trading hands.

The communications equipment provider reported ($0.40) EPS for the quarter, topping analysts’ consensus estimates of ($0.53) by $0.13. Clearfield had a net margin of 6.00% and a return on equity of 4.22%. The firm had revenue of $36.90 million during the quarter, compared to analysts’ expectations of $31.25 million. During the same period in the previous year, the company earned $0.67 EPS. The firm’s revenue for the quarter was down 43.1% compared to the same quarter last year.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on the stock. Roth Mkm reissued a “buy” rating and issued a $47.00 price objective on shares of Clearfield in a research report on Wednesday. Needham & Company LLC boosted their price objective on shares of Clearfield from $36.00 to $42.00 and gave the company a “buy” rating in a research report on Friday. Finally, Northland Securities raised shares of Clearfield from a “market perform” rating to an “outperform” rating and upped their price target for the stock from $25.00 to $40.00 in a research report on Friday. One equities research analyst has rated the stock with a sell rating, two have issued a hold rating and three have issued a buy rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $42.40.

Insider Activity

In related news, Chairman Ronald G. Roth bought 2,000 shares of the stock in a transaction that occurred on Friday, February 23rd. The stock was bought at an average cost of $29.62 per share, for a total transaction of $59,240.00. Following the purchase, the chairman now directly owns 1,259,796 shares of the company’s stock, valued at $37,315,157.52. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 16.00% of the company’s stock.

Hedge Funds Weigh In On Clearfield

Hedge funds have recently made changes to their positions in the company. Smith Graham & Co. Investment Advisors LP purchased a new position in Clearfield during the 4th quarter worth approximately $5,148,000. Federated Hermes Inc. raised its holdings in shares of Clearfield by 1,247.7% during the fourth quarter. Federated Hermes Inc. now owns 210,717 shares of the communications equipment provider’s stock worth $6,128,000 after purchasing an additional 195,082 shares during the last quarter. Nordea Investment Management AB acquired a new position in Clearfield during the third quarter valued at $1,247,000. Vanguard Group Inc. boosted its holdings in Clearfield by 0.9% in the third quarter. Vanguard Group Inc. now owns 1,160,764 shares of the communications equipment provider’s stock valued at $33,267,000 after purchasing an additional 10,370 shares during the last quarter. Finally, Barclays PLC grew its position in Clearfield by 69.6% during the 3rd quarter. Barclays PLC now owns 17,612 shares of the communications equipment provider’s stock worth $505,000 after purchasing an additional 7,226 shares during the period. 88.73% of the stock is owned by institutional investors and hedge funds.

Clearfield Stock Performance

The firm has a market cap of $531.36 million, a PE ratio of 44.06 and a beta of 1.33. The stock has a 50 day simple moving average of $29.81 and a two-hundred day simple moving average of $28.09.

Clearfield Company Profile

Clearfield, Inc manufactures and sells various fiber connectivity products in the United States and internationally. The company offers FieldSmart, a series of panels, cabinets, wall boxes, and other enclosures; WaveSmart, an optical components integrated for signal coupling, splitting, termination, multiplexing, demultiplexing, and attenuation for integration within its fiber management platform; and active cabinet products.