Helen of Troy (NASDAQ:HELE) Shares Gap Up Following Strong Earnings

Helen of Troy Limited (NASDAQ:HELE) shares gapped up before the market opened on Wednesday following a better than expected earnings announcement. The stock had previously closed at $62.37, but opened at $73.66. Helen of Troy shares last traded at $76.14, with a volume of 1,312,963 shares trading hands.

The company reported $1.21 earnings per share for the quarter, beating the consensus estimate of $1.05 by $0.16. The firm had revenue of $474.20 million for the quarter, compared to analyst estimates of $458.85 million. Helen of Troy had a net margin of 7.35% and a return on equity of 9.31%. The business’s quarterly revenue was down 3.5% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.45 earnings per share.

Helen of Troy declared that its Board of Directors has authorized a share repurchase program on Thursday, September 5th that permits the company to buyback $500.00 million in outstanding shares. This buyback authorization permits the company to purchase up to 39.8% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s leadership believes its shares are undervalued.

Analysts Set New Price Targets

A number of analysts have commented on the stock. UBS Group decreased their price target on shares of Helen of Troy from $100.00 to $72.00 and set a “neutral” rating for the company in a research note on Wednesday, July 10th. Canaccord Genuity Group reaffirmed a “buy” rating and issued a $84.00 price target on shares of Helen of Troy in a research report on Monday. DA Davidson lifted their price target on Helen of Troy from $67.00 to $71.00 and gave the company a “neutral” rating in a research note on Thursday. Finally, StockNews.com downgraded Helen of Troy from a “buy” rating to a “hold” rating in a research note on Wednesday, July 10th.

Institutional Investors Weigh In On Helen of Troy

A number of institutional investors have recently added to or reduced their stakes in the company. Entropy Technologies LP purchased a new position in shares of Helen of Troy in the 1st quarter worth approximately $239,000. Bessemer Group Inc. boosted its position in Helen of Troy by 153.7% in the first quarter. Bessemer Group Inc. now owns 576 shares of the company’s stock worth $67,000 after purchasing an additional 349 shares during the last quarter. Oppenheimer Asset Management Inc. boosted its position in Helen of Troy by 1.8% in the first quarter. Oppenheimer Asset Management Inc. now owns 11,271 shares of the company’s stock worth $1,299,000 after purchasing an additional 198 shares during the last quarter. BNP Paribas Financial Markets increased its position in shares of Helen of Troy by 42.0% during the 1st quarter. BNP Paribas Financial Markets now owns 14,982 shares of the company’s stock valued at $1,727,000 after purchasing an additional 4,431 shares during the last quarter. Finally, QRG Capital Management Inc. purchased a new stake in shares of Helen of Troy during the 2nd quarter valued at $289,000.

Helen of Troy Stock Down 1.6 %

The stock has a 50 day moving average price of $56.55 and a 200 day moving average price of $80.60. The company has a debt-to-equity ratio of 0.51, a quick ratio of 0.99 and a current ratio of 1.77. The company has a market capitalization of $1.65 billion, a P/E ratio of 12.10, a PEG ratio of 1.45 and a beta of 0.86.

About Helen of Troy

Helen of Troy Limited provides various consumer products in the United States, Canada, Europe, the Middle East, Africa, the Asia Pacific, and Latin America. The company operates in two segments: Home & Outdoor and Beauty & Wellness. The Home & Outdoor segment offers food storage containers, kitchen utensils for cooking and preparing salads, fruits, vegetables and meats, graters, slicers and choppers, baking essentials, kitchen organization, bath, cleaning, infant and toddler products, and coffee preparation tools and electronics; and insulated beverageware, including bottles, travel tumblers, drinkware, mugs, food and lunch containers, insulated totes, soft coolers, outdoor kitchenware, and accessories.