Shares of Fastenal Company (NASDAQ:FAST) recorded -1.25% loss during trading session on February 7th, 2019. The script traded as low as $60.28 and last traded at $60.75. 2.99 million shares changed exchanged hands during trading, an increase of 7.15% from the 30-day average session volume of 3.22M shares. The firm had previously closed at $61.52. The company has $287.00M outstanding shares, a price-to-earnings ratio of 23.11, price-to-earnings-growth ratio of 3.51and a beta of 1.13. The company has a RSI of 66.46, ATR of 1.30 and a volatility of 1.98% this week. FAST has a 52 week low price of $47.37 and a 52 week high price of $62.12.
Investors have identified the tech company Fastenal Company as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around 17.44B, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Fastenal Company (FAST) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For FAST, the company has in raw cash 167.2 million on their books with 437.4 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 0 total, with 2.3 billion as their total liabilities. This figure have given the company a good sense of viability under numerous contexts.
FAST were able to record 497.9 million as free cash flow during the recently reported quarter of the year, this saw their quarterly net cash flow reduce by 50.3 million. In cash movements, the company had a total of 674.2 million as operating cash flow.
Potential earnings growth for Fastenal Company (FAST)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, Fastenal Company recorded a total of 1.23 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 0.12% coming in sequential stages and their sales for the third quarter reducing by -0.04%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 643.8 million trying to sell their products during the last quarter, with the result yielding a gross income of 587.8 million. This allows shareholders to hold on to 287.00M with the revenue now reading 590 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (0.76 cents a share).
Is the stock of FAST attractive?
Having a look at the company’s valuation, the company is expected to record 3.05 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on FAST sounds very interesting.
In related news, Senior Executive VP LUNDQUIST NICHOLAS J sold 5,000 shares of the company’s stock in a transaction that recorded on January 31st, 2019. The sale was performed at an average price of 60.51, for a total value of 302,550. As the sale deal closes, the Director LUNDQUIST NICHOLAS J now sold 2,500 shares of the company’s stock, valued at 150,000. Also, Director DOLAN MICHAEL JOHN sold 5,000 shares of the company’s stock in a deal that was recorded on December 3rd, 2019. The shares were sold at an average price of 60.00 per share, with a total market value of 15,000. Following this completion of acquisition, the Executive Vice-President now holds 830 shares of the company’s stock, valued at 41,948. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.10%.
4 out of 18 analysts covering the stock have rated it a Buy, while 12 have maintained a Hold recommendation on Fastenal Company stock. 0 analysts has assigned a Sell rating on the FAST stock. The 12-month mean consensus price target for the company’s shares has been set at $57.54.