TechnipFMC (NYSE:FTI) Shares Up 8.7% After Earnings Beat

TechnipFMC plc (NYSE:FTI) shares shot up 8.7% during trading on Thursday after the company announced better than expected quarterly earnings. The company traded as high as $40.04 and last traded at $40.78. 902,123 shares changed hands during trading, a decline of 81% from the average session volume of 4,698,540 shares. The stock had previously closed at $37.51.

The oil and gas company reported $0.75 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.65 by $0.10. TechnipFMC had a return on equity of 29.42% and a net margin of 9.60%.The business had revenue of $2.65 billion for the quarter, compared to analyst estimates of $2.60 billion. During the same period last year, the company earned $0.64 EPS. TechnipFMC’s revenue for the quarter was up 12.7% compared to the same quarter last year. TechnipFMC has set its FY 2025 guidance at EPS.

TechnipFMC Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, December 3rd. Investors of record on Tuesday, November 18th will be given a dividend of $0.05 per share. This represents a $0.20 annualized dividend and a yield of 0.5%. The ex-dividend date is Tuesday, November 18th. TechnipFMC’s dividend payout ratio (DPR) is presently 9.43%.

TechnipFMC declared that its board has initiated a stock repurchase program on Wednesday, October 22nd that authorizes the company to buyback $2.00 billion in outstanding shares. This buyback authorization authorizes the oil and gas company to purchase up to 13.3% of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s board of directors believes its shares are undervalued.

Analyst Ratings Changes

Several research firms recently issued reports on FTI. BNP Paribas Exane upgraded TechnipFMC from a “neutral” rating to an “outperform” rating and set a $47.00 price target on the stock in a research report on Friday, October 10th. Evercore ISI boosted their target price on TechnipFMC from $42.00 to $46.00 and gave the company an “outperform” rating in a research note on Friday, July 25th. Wall Street Zen raised TechnipFMC from a “hold” rating to a “buy” rating in a research note on Saturday, October 4th. Citigroup reissued a “buy” rating and set a $41.00 target price (up from $35.00) on shares of TechnipFMC in a research note on Thursday, July 10th. Finally, BNP Paribas set a $47.00 target price on TechnipFMC and gave the company an “outperform” rating in a research note on Friday, October 10th. Three research analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Buy” and an average price target of $41.93.

Insider Activity at TechnipFMC

In related news, CFO Alf Melin sold 113,760 shares of TechnipFMC stock in a transaction that occurred on Monday, September 22nd. The stock was sold at an average price of $38.61, for a total transaction of $4,392,273.60. Following the sale, the chief financial officer directly owned 241,140 shares in the company, valued at $9,310,415.40. The trade was a 32.05% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Thierry Conti sold 50,000 shares of TechnipFMC stock in a transaction that occurred on Monday, September 22nd. The shares were sold at an average price of $38.64, for a total value of $1,932,000.00. Following the sale, the insider owned 56,352 shares in the company, valued at $2,177,441.28. This represents a 47.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 876,603 shares of company stock worth $33,832,588 over the last ninety days. 1.80% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. Bank of New York Mellon Corp raised its stake in TechnipFMC by 0.6% during the first quarter. Bank of New York Mellon Corp now owns 1,462,924 shares of the oil and gas company’s stock valued at $46,360,000 after buying an additional 8,823 shares during the last quarter. Cambridge Investment Research Advisors Inc. purchased a new position in TechnipFMC during the first quarter valued at $205,000. Credit Agricole S A raised its stake in TechnipFMC by 170.3% during the first quarter. Credit Agricole S A now owns 94,097 shares of the oil and gas company’s stock valued at $2,982,000 after buying an additional 59,281 shares during the last quarter. Stephens Investment Management Group LLC raised its stake in TechnipFMC by 0.8% during the first quarter. Stephens Investment Management Group LLC now owns 3,439,595 shares of the oil and gas company’s stock valued at $109,001,000 after buying an additional 27,884 shares during the last quarter. Finally, OMNI 360 Wealth Inc. purchased a new position in TechnipFMC during the second quarter valued at $226,000. Hedge funds and other institutional investors own 96.58% of the company’s stock.

TechnipFMC Stock Up 8.9%

The stock has a 50 day simple moving average of $37.86 and a 200-day simple moving average of $33.89. The firm has a market cap of $16.78 billion, a PE ratio of 19.26, a PEG ratio of 1.10 and a beta of 1.04. The company has a debt-to-equity ratio of 0.15, a current ratio of 1.10 and a quick ratio of 0.86.

TechnipFMC Company Profile

TechnipFMC plc engages in the energy projects, technologies, and systems and services businesses in Europe, Central Asia, North America, Latin America, the Asia Pacific, Africa, the Middle East, and internationally. It operates through two segments: Subsea and Surface Technologies. The Subsea segment engages in the design, engineering, procurement, manufacturing, fabrication, installation, and life of field services for subsea systems, subsea field infrastructure, and subsea pipe systems used in oil and gas production and transportation.