Gates Industrial (NYSE:GTES) Sets New 1-Year High Following Analyst Upgrade

Gates Industrial Corp PLC (NYSE:GTES) shares hit a new 52-week high on Friday after KeyCorp raised their price target on the stock from $22.00 to $23.00. KeyCorp currently has an overweight rating on the stock. Gates Industrial traded as high as $21.85 and last traded at $21.84, with a volume of 372725 shares trading hands. The stock had previously closed at $21.39.

A number of other analysts also recently issued reports on the stock. The Goldman Sachs Group lifted their price objective on shares of Gates Industrial from $18.00 to $20.00 and gave the stock a “neutral” rating in a report on Thursday, August 1st. Morgan Stanley initiated coverage on Gates Industrial in a research report on Friday, September 6th. They set an “equal weight” rating and a $19.00 price objective on the stock. Barclays boosted their target price on Gates Industrial from $16.00 to $21.00 and gave the stock an “equal weight” rating in a research report on Tuesday, November 5th. Evercore ISI increased their price target on shares of Gates Industrial from $15.00 to $16.00 and gave the company an “in-line” rating in a research report on Monday, August 19th. Finally, Robert W. Baird lowered their price objective on shares of Gates Industrial from $26.00 to $22.00 and set an “outperform” rating for the company in a report on Thursday, August 1st. Four analysts have rated the stock with a hold rating and six have issued a buy rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $20.40.

Hedge Funds Weigh In On Gates Industrial

Several hedge funds and other institutional investors have recently modified their holdings of GTES. Mitsubishi UFJ Trust & Banking Corp increased its holdings in Gates Industrial by 31.8% during the 1st quarter. Mitsubishi UFJ Trust & Banking Corp now owns 21,660 shares of the company’s stock valued at $384,000 after purchasing an additional 5,223 shares during the period. Vanguard Group Inc. raised its holdings in shares of Gates Industrial by 17.5% during the first quarter. Vanguard Group Inc. now owns 18,008,743 shares of the company’s stock valued at $318,935,000 after acquiring an additional 2,678,954 shares in the last quarter. Acadian Asset Management LLC lifted its stake in Gates Industrial by 799.6% in the first quarter. Acadian Asset Management LLC now owns 33,070 shares of the company’s stock worth $585,000 after acquiring an additional 29,394 shares during the period. Gamco Investors INC. ET AL bought a new stake in Gates Industrial in the first quarter valued at $266,000. Finally, Quadrature Capital Ltd increased its position in Gates Industrial by 35.6% during the 1st quarter. Quadrature Capital Ltd now owns 78,457 shares of the company’s stock valued at $1,389,000 after purchasing an additional 20,615 shares during the period. 98.50% of the stock is owned by institutional investors.

Gates Industrial Stock Up 2.8 %

The company’s fifty day simple moving average is $18.77 and its 200 day simple moving average is $17.50. The firm has a market capitalization of $5.60 billion, a P/E ratio of 26.47 and a beta of 1.38. The company has a current ratio of 3.02, a quick ratio of 2.11 and a debt-to-equity ratio of 0.70.

Gates Industrial announced that its board has authorized a stock buyback plan on Wednesday, July 31st that permits the company to buyback $250.00 million in outstanding shares. This buyback authorization permits the company to purchase up to 5.4% of its stock through open market purchases. Stock buyback plans are typically a sign that the company’s leadership believes its stock is undervalued.

Gates Industrial Company Profile

Gates Industrial Corporation PLC designs and manufactures power transmission equipment. Its products serves harsh and hazardous industries such as agriculture, construction, manufacturing and energy, to everyday consumer applications such as printers, power washers, automatic doors and vacuum cleaners and virtually every form of transportation.