Gates Industrial (NYSE:GTES) Cut to Buy at Wall Street Zen

Gates Industrial (NYSE:GTES) was downgraded by analysts at Wall Street Zen from a “strong-buy” rating to a “buy” rating in a research note issued to investors on Saturday.

GTES has been the topic of several other research reports. Robert W. Baird set a $39.00 price target on shares of Gates Industrial in a research report on Friday, February 13th. JPMorgan Chase & Co. decreased their price objective on shares of Gates Industrial from $33.00 to $32.00 and set an “overweight” rating for the company in a research report on Tuesday, December 16th. Citigroup raised their target price on Gates Industrial from $27.00 to $33.00 and gave the company a “buy” rating in a research report on Friday, February 13th. Morgan Stanley lifted their price target on Gates Industrial from $25.00 to $27.00 and gave the company an “equal weight” rating in a research note on Wednesday, March 11th. Finally, Weiss Ratings raised Gates Industrial from a “hold (c+)” rating to a “buy (b-)” rating in a report on Friday, March 13th. Seven investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, Gates Industrial currently has a consensus rating of “Moderate Buy” and an average price target of $30.73.

Gates Industrial Stock Down 1.9%

Shares of GTES stock opened at $21.72 on Friday. Gates Industrial has a twelve month low of $14.70 and a twelve month high of $28.47. The stock has a market cap of $5.51 billion, a P/E ratio of 22.39 and a beta of 1.23. The stock has a 50 day moving average of $24.85 and a 200 day moving average of $23.97. The company has a current ratio of 3.37, a quick ratio of 2.42 and a debt-to-equity ratio of 0.61.

Gates Industrial (NYSE:GTES) last released its quarterly earnings data on Thursday, February 12th. The company reported $0.38 EPS for the quarter, topping the consensus estimate of $0.37 by $0.01. The business had revenue of $856.20 million for the quarter, compared to analyst estimates of $853.35 million. Gates Industrial had a return on equity of 10.36% and a net margin of 7.30%.The business’s quarterly revenue was up 3.2% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.36 EPS. Gates Industrial has set its FY 2026 guidance at 1.520-1.680 EPS. As a group, sell-side analysts expect that Gates Industrial will post 1.36 EPS for the current year.

Institutional Investors Weigh In On Gates Industrial

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Vanguard Group Inc. raised its position in shares of Gates Industrial by 5.0% in the third quarter. Vanguard Group Inc. now owns 26,753,365 shares of the company’s stock valued at $664,019,000 after buying an additional 1,281,339 shares during the last quarter. Allspring Global Investments Holdings LLC lifted its stake in shares of Gates Industrial by 5.3% in the fourth quarter. Allspring Global Investments Holdings LLC now owns 14,169,457 shares of the company’s stock worth $312,578,000 after buying an additional 717,353 shares in the last quarter. Dimensional Fund Advisors LP boosted its position in Gates Industrial by 3.7% during the fourth quarter. Dimensional Fund Advisors LP now owns 11,250,875 shares of the company’s stock worth $241,562,000 after acquiring an additional 400,359 shares during the last quarter. JPMorgan Chase & Co. grew its stake in Gates Industrial by 98.7% during the 4th quarter. JPMorgan Chase & Co. now owns 8,373,294 shares of the company’s stock valued at $179,775,000 after acquiring an additional 4,158,341 shares in the last quarter. Finally, Invesco Ltd. grew its stake in Gates Industrial by 5.9% during the 4th quarter. Invesco Ltd. now owns 8,322,654 shares of the company’s stock valued at $178,687,000 after acquiring an additional 461,160 shares in the last quarter. Institutional investors and hedge funds own 98.50% of the company’s stock.

Gates Industrial Company Profile

Gates Industrial Corporation PLC (NYSE: GTES) is a leading global manufacturer of engineered power transmission belts and fluid power products. The company’s portfolio includes synchronous belts, V-belts, hose assemblies, fittings and hydraulic components designed to support a wide range of industrial and automotive applications. Gates Industrial serves sectors such as agriculture, mining, construction, manufacturing, transportation and consumer markets, offering solutions that improve performance, reliability and efficiency in demanding operating environments.

In its power transmission segment, Gates Industrial produces high-strength belts engineered for precise motion control and minimal maintenance.