Astronics Corporation (NASDAQ: ATRO) has been upgraded to a strong-buy rating by Wall Street Zen, a move that reflects growing confidence in the aerospace company’s potential. This upgrade, announced in a research report sent to investors on Monday, follows a series of mixed evaluations from various financial analysts regarding Astronics’ stock performance.
Analysts have taken differing stances on Astronics recently. On October 8, 2023, Weiss Ratings reaffirmed a “sell (D-)” rating, while Zacks Research elevated its rating from “hold” to “strong-buy” on November 4, 2023. Truist Financial also raised its price target for Astronics from $49.00 to $58.00 and maintained a “buy” rating as of October 15, 2023. Additionally, Craig Hallum initiated coverage on October 10, 2023, assigning a “buy” rating with a price objective of $60.00. Currently, one analyst rates the stock as a strong buy, four have given it a buy rating, and one has issued a sell rating. According to MarketBeat.com, Astronics holds an average rating of “moderate buy” with a consensus target price of $61.00.
Recent Earnings Report Shows Positive Growth
Astronics revealed its latest earnings results on November 4, 2023, reporting earnings per share (EPS) of $0.49 for the quarter. This figure surpassed the consensus estimate of $0.42 by $0.07. The company generated $211.45 million in revenue during the quarter, slightly exceeding analyst projections of $210.80 million. The firm demonstrated a positive return on equity of 22.89%, although it reported a negative net margin of 0.45%. For the fiscal year 2025, Astronics has set guidance at EPS, with sell-side analysts forecasting an average EPS of $0.82 for the current year.
Insider Transactions and Institutional Holdings
In related news, insider James Mulato sold 1,129 shares of Astronics on September 5, 2023, at an average price of $38.16, totaling approximately $43,082.64. Following this transaction, Mulato retained 1,066 shares in the company, valued at around $40,678.56, reflecting a 51.44% decrease in his holdings. This sale has been disclosed to the Securities and Exchange Commission, which maintains records accessible through its website. Notably, company insiders currently hold 9.39% of Astronics’ stock.
Hedge funds have also been active in the stock, with several increasing their stakes. Brighton Jones LLC raised its position by 3.1% in the third quarter, now owning 7,085 shares valued at approximately $323,000. Covestor Ltd boosted its stake by 25.4%, now holding 1,068 shares worth around $49,000. Furthermore, US Bancorp DE increased its holdings by 41.0%, acquiring an additional 281 shares to reach a total of 966 shares valued at $44,000. Overall, institutional investors own 56.68% of Astronics’ stock.
Astronics Corporation, through its subsidiaries, designs and manufactures products for the aerospace, defense, and electronics industries on a global scale. The firm operates in two key segments: Aerospace and Test Systems, providing various products including lighting and safety systems, electrical power generation systems, and avionics products.
As the landscape for aerospace companies evolves, the recent upgrades and positive earnings report could signal a promising future for Astronics and its investors.
