Brunswick (NYSE:BC) Stock Price Down 7.6% on Disappointing Earnings

Brunswick Co. (NYSE:BC) fell 7.6% on Thursday following a dissappointing earnings announcement. The stock traded as low as $79.09 and last traded at $79.61. 604,486 shares changed hands during trading, a decline of 18% from the average session volume of 739,566 shares. The stock had previously closed at $86.13.

The company reported $1.35 EPS for the quarter, missing the consensus estimate of $1.36 by ($0.01). The company had revenue of $1.37 billion for the quarter, compared to analysts’ expectations of $1.36 billion. Brunswick had a return on equity of 25.37% and a net margin of 6.24%. Brunswick’s revenue for the quarter was down 21.7% on a year-over-year basis. During the same quarter in the previous year, the firm posted $2.57 earnings per share.

Brunswick Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, March 15th. Shareholders of record on Monday, February 26th were given a dividend of $0.42 per share. This is a positive change from Brunswick’s previous quarterly dividend of $0.40. This represents a $1.68 annualized dividend and a dividend yield of 2.07%. The ex-dividend date of this dividend was Friday, February 23rd. Brunswick’s payout ratio is presently 31.23%.

Wall Street Analyst Weigh In

Several equities research analysts have commented on the stock. B. Riley upgraded shares of Brunswick from a “neutral” rating to a “buy” rating and boosted their target price for the stock from $100.00 to $108.00 in a research report on Tuesday, February 20th. Truist Financial cut their price target on Brunswick from $115.00 to $105.00 and set a “buy” rating for the company in a research note on Friday, February 2nd. Morgan Stanley cut their price target on Brunswick from $91.00 to $86.00 and set an “equal weight” rating for the company in a research note on Friday. Raymond James downgraded Brunswick from an “outperform” rating to a “market perform” rating in a research note on Thursday, January 4th. Finally, Stifel Nicolaus lifted their price target on Brunswick from $88.00 to $97.00 and gave the stock a “buy” rating in a research note on Wednesday, January 17th. Five analysts have rated the stock with a hold rating and seven have issued a buy rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $92.83.

Insider Buying and Selling at Brunswick

In other Brunswick news, CFO Ryan M. Gwillim sold 9,036 shares of Brunswick stock in a transaction dated Friday, February 16th. The stock was sold at an average price of $87.10, for a total value of $787,035.60. Following the completion of the sale, the chief financial officer now owns 28,966 shares in the company, valued at approximately $2,522,938.60. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. In other news, CFO Ryan M. Gwillim sold 9,036 shares of the business’s stock in a transaction dated Friday, February 16th. The stock was sold at an average price of $87.10, for a total transaction of $787,035.60. Following the completion of the sale, the chief financial officer now owns 28,966 shares in the company, valued at approximately $2,522,938.60. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Christopher F. Dekker sold 6,234 shares of the business’s stock in a transaction dated Friday, February 9th. The stock was sold at an average price of $84.53, for a total value of $526,960.02. Following the sale, the vice president now owns 35,176 shares of the company’s stock, valued at approximately $2,973,427.28. The disclosure for this sale can be found here. Insiders sold 52,696 shares of company stock worth $4,574,199 in the last 90 days. 0.81% of the stock is owned by company insiders.

Hedge Funds Weigh In On Brunswick

Institutional investors have recently made changes to their positions in the business. FMR LLC raised its position in shares of Brunswick by 140.4% during the 3rd quarter. FMR LLC now owns 3,435,357 shares of the company’s stock valued at $271,393,000 after acquiring an additional 2,006,578 shares in the last quarter. American Century Companies Inc. increased its position in Brunswick by 0.5% in the third quarter. American Century Companies Inc. now owns 1,972,076 shares of the company’s stock worth $155,794,000 after buying an additional 9,465 shares during the period. Dimensional Fund Advisors LP increased its position in Brunswick by 2.5% in the fourth quarter. Dimensional Fund Advisors LP now owns 1,917,051 shares of the company’s stock worth $185,483,000 after buying an additional 47,053 shares during the period. Victory Capital Management Inc. increased its position in Brunswick by 32.1% in the fourth quarter. Victory Capital Management Inc. now owns 1,144,308 shares of the company’s stock worth $110,712,000 after buying an additional 278,082 shares during the period. Finally, Van Berkom & Associates Inc. increased its position in Brunswick by 25.7% in the third quarter. Van Berkom & Associates Inc. now owns 899,980 shares of the company’s stock worth $71,098,000 after buying an additional 184,088 shares during the period. 99.34% of the stock is owned by institutional investors and hedge funds.

Brunswick Price Performance

The company has a debt-to-equity ratio of 1.16, a current ratio of 1.68 and a quick ratio of 0.59. The company has a 50-day simple moving average of $89.13 and a two-hundred day simple moving average of $84.77. The stock has a market capitalization of $5.58 billion, a price-to-earnings ratio of 15.07 and a beta of 1.56.

Brunswick Company Profile

Brunswick Corporation designs, manufactures, and markets recreation products in the United States, Europe, the Asia-Pacific, Canada, and internationally. It operates through four segments: Propulsion, Engine P&A, Navico Group, and Boat. The Propulsion segment provides outboard, sterndrive, inboard engines, propulsion-related controls, rigging, and propellers for boat builders through marine retail dealers under the Mercury, Mercury MerCruiser, Mariner, Mercury Racing, Mercury Diesel, Avator, and Fliteboard brands.