Constellium SE (NYSE:CSTM) Receives Average Recommendation of “Buy” from Analysts

Constellium SE (NYSE:CSTM) has been given a consensus rating of “Buy” by the six brokerages that are covering the firm, MarketBeat reports. One investment analyst has rated the stock with a hold rating, four have given a buy rating and one has given a strong buy rating to the company. The average 1 year price target among brokerages that have issued a report on the stock in the last year is $29.00.

A number of analysts recently issued reports on the stock. JPMorgan Chase & Co. raised their target price on shares of Constellium from $26.00 to $29.00 and gave the stock an “overweight” rating in a research report on Thursday, February 19th. Weiss Ratings reissued a “hold (c)” rating on shares of Constellium in a research note on Monday, December 29th. Deutsche Bank Aktiengesellschaft raised their price objective on Constellium from $25.00 to $28.00 and gave the stock a “buy” rating in a report on Thursday, February 19th. BMO Capital Markets lifted their price objective on Constellium from $25.00 to $30.00 and gave the company an “outperform” rating in a research report on Wednesday, February 18th. Finally, Wells Fargo & Company upped their target price on Constellium from $25.00 to $29.00 and gave the company an “overweight” rating in a research note on Thursday, February 19th.

Constellium Price Performance

NYSE:CSTM opened at $23.41 on Friday. Constellium has a 12-month low of $7.32 and a 12-month high of $27.41. The firm has a market cap of $3.16 billion, a price-to-earnings ratio of 12.13 and a beta of 1.48. The company’s 50-day moving average is $24.34 and its two-hundred day moving average is $19.52. The company has a current ratio of 1.29, a quick ratio of 0.51 and a debt-to-equity ratio of 1.96.

Constellium (NYSE:CSTM) last issued its quarterly earnings results on Thursday, February 19th. The industrial products company reported $0.80 EPS for the quarter, topping analysts’ consensus estimates of $0.36 by $0.44. The business had revenue of $2.20 billion during the quarter, compared to the consensus estimate of $2.05 billion. Constellium had a net margin of 3.23% and a return on equity of 32.14%. The company’s quarterly revenue was up 27.9% compared to the same quarter last year. During the same period in the previous year, the firm posted ($0.34) earnings per share. Research analysts expect that Constellium will post 1.1 EPS for the current year.

Constellium announced that its board has approved a stock repurchase plan on Thursday, March 12th that allows the company to repurchase $300.00 million in shares. This repurchase authorization allows the industrial products company to reacquire up to 8.8% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board of directors believes its shares are undervalued.

Insider Activity at Constellium

In related news, SVP Nicolas Brun sold 17,701 shares of the firm’s stock in a transaction that occurred on Monday, March 9th. The shares were sold at an average price of $24.67, for a total value of $436,683.67. Following the sale, the senior vice president directly owned 103,466 shares of the company’s stock, valued at approximately $2,552,506.22. This trade represents a 14.61% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Philippe Hoffmann sold 80,000 shares of the business’s stock in a transaction that occurred on Wednesday, March 4th. The shares were sold at an average price of $26.45, for a total transaction of $2,116,000.00. Following the completion of the sale, the insider owned 55,425 shares of the company’s stock, valued at approximately $1,465,991.25. The trade was a 59.07% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 214,543 shares of company stock worth $5,565,129. Corporate insiders own 1.54% of the company’s stock.

Institutional Trading of Constellium

Several institutional investors have recently made changes to their positions in CSTM. Ethic Inc. raised its position in shares of Constellium by 1.6% in the 4th quarter. Ethic Inc. now owns 29,283 shares of the industrial products company’s stock worth $552,000 after buying an additional 456 shares during the period. Mackenzie Financial Corp grew its position in Constellium by 0.4% during the fourth quarter. Mackenzie Financial Corp now owns 132,642 shares of the industrial products company’s stock valued at $2,511,000 after acquiring an additional 512 shares during the period. GAMMA Investing LLC grew its position in Constellium by 29.7% during the fourth quarter. GAMMA Investing LLC now owns 3,089 shares of the industrial products company’s stock valued at $58,000 after acquiring an additional 707 shares during the period. Allworth Financial LP increased its stake in Constellium by 52.5% during the fourth quarter. Allworth Financial LP now owns 2,074 shares of the industrial products company’s stock worth $39,000 after acquiring an additional 714 shares during the last quarter. Finally, EverSource Wealth Advisors LLC increased its stake in Constellium by 34.2% during the fourth quarter. EverSource Wealth Advisors LLC now owns 3,151 shares of the industrial products company’s stock worth $59,000 after acquiring an additional 803 shares during the last quarter. 92.59% of the stock is owned by hedge funds and other institutional investors.

Constellium Company Profile

Constellium SE is a global leader in the design and manufacture of high-performance aluminum products and solutions. The company serves key markets including aerospace, automotive, and packaging, offering advanced rolled and extruded aluminum sheet, plate and structural components. Its product portfolio encompasses precision-engineered parts for commercial and military aircraft, automotive body structures and closures, beverage and specialty packaging, as well as industrial and structural applications.

Established in 2011 through the consolidation of Rio Tinto Alcan’s rolled-products and engineered-products businesses, Constellium has built a reputation for innovation in lightweighting and sustainability.