Patterson Companies Inc. (NASDAQ:PDCO) shares traded lower over the last trading session, losing -2.11% on 05/28/21. The shares fell to a low of $32.00 before closing at $32.54. Intraday shares traded counted 1.6 million, which was -118.13% lower than its 30-day average trading volume of 735.43K. PDCO’s previous close was $33.24 while the outstanding shares total 95.73M. The firm has a beta of 1.58. The stock’s Relative Strength Index (RSI) is 38.01, with weekly volatility at 3.13% and ATR at 1.03. The PDCO stock’s 52-week price range has touched low of $17.06 and a $37.16 high.
Investors have identified the Medical Distribution company Patterson Companies Inc. 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 $3.21 billion, 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.
Patterson Companies Inc. (PDCO) 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 PDCO, the company has in raw cash 155.96 million on their books with 208.75 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 1.72 billion total, with 1.2 billion as their total liabilities.
PDCO were able to record -625.99 million as free cash flow during the 09/02/2021 quarter of the year, this saw their quarterly net cash flow reduce by 78.02 million. In cash movements, the company had a total of -604.88 million as operating cash flow.
Potential earnings growth for Patterson Companies Inc. (PDCO)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 09/02/2021 quarter of the year, Patterson Companies Inc. recorded a total of 1.55 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 6.13% coming in sequential stages and their sales for the 09/02/2021 quarter reducing by -0.12%.
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 1.23 billion trying to sell their products during the last quarter, with the result yielding a gross income of 324.54 million. This allows shareholders to hold on to 95.73M with the recently reported earning now reading 0.51 cents per share. This is a figure that compared to analyst’s prediction for their 09/02/2021 (0.58 cents a share).
Having a look at the company’s valuation, the company is expected to record 2.12 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 PDCO sounds very interesting.
Is the stock of PDCO attractive?
In related news, VP, General Counsel, KORSH LES B sold 1,174 shares of the company’s stock in a transaction that recorded on Apr 26. The sale was performed at an average price of 33.65, for a total value of 39,505. As the sale deal closes, the Chief Financial Officer, Zurbay Donald now sold 6,817 shares of the company’s stock, valued at 205,173. Also, Director, FERAGEN JODY H sold 10,052 shares of the company’s stock in a deal that was recorded on Jan 13. The shares were price at an average price of 32.83 per share, with a total market value of 329,986. Following this completion of acquisition, the VP, General Counsel, KORSH LES B now holds 3,111 shares of the company’s stock, valued at 78,025. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.80%.
3 out of 16 analysts covering the stock have rated it a Buy, while 11 have maintained a Hold recommendation on Patterson Companies Inc.. 1 analysts has assigned a Sell rating on the PDCO stock. The 12-month mean consensus price target for the company’s shares has been set at $33.67.