Turning Point Brands (NYSE:TPB) Shares Down 5.5% – Here’s Why

Turning Point Brands, Inc. (NYSE:TPB)’s stock price traded down 5.5% during trading on Tuesday . The company traded as low as $102.56 and last traded at $102.1580. 73,605 shares traded hands during mid-day trading, a decline of 75% from the average session volume of 294,508 shares. The stock had previously closed at $108.16.

Analyst Upgrades and Downgrades

TPB has been the topic of a number of research analyst reports. Wall Street Zen raised Turning Point Brands from a “hold” rating to a “buy” rating in a report on Sunday, December 21st. Alliance Global Partners raised their price target on Turning Point Brands from $103.00 to $110.00 and gave the company a “buy” rating in a research note on Wednesday, November 5th. Zacks Research upgraded shares of Turning Point Brands from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, November 12th. Industrial Alliance Securities set a $110.00 target price on Turning Point Brands in a report on Wednesday, November 5th. Finally, Oppenheimer boosted their target price on shares of Turning Point Brands from $110.00 to $120.00 and gave the company an “outperform” rating in a research report on Wednesday, November 19th. One investment analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, Turning Point Brands has a consensus rating of “Buy” and an average target price of $102.50.

Turning Point Brands Stock Performance

The business has a 50-day moving average of $101.77 and a 200 day moving average of $93.55. The company has a market cap of $1.96 billion, a PE ratio of 36.25 and a beta of 0.86. The company has a debt-to-equity ratio of 0.82, a current ratio of 5.56 and a quick ratio of 3.98.

Turning Point Brands (NYSE:TPB) last released its quarterly earnings results on Wednesday, November 5th. The company reported $1.27 earnings per share for the quarter, topping analysts’ consensus estimates of $0.81 by $0.46. Turning Point Brands had a return on equity of 24.44% and a net margin of 12.02%.The business had revenue of $118.98 million during the quarter, compared to analysts’ expectations of $111.42 million. During the same period in the prior year, the business posted $0.68 EPS. The company’s revenue was up 12.7% compared to the same quarter last year. Equities research analysts anticipate that Turning Point Brands, Inc. will post 2.59 EPS for the current fiscal year.

Turning Point Brands Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, January 9th. Shareholders of record on Friday, December 19th will be paid a $0.075 dividend. The ex-dividend date is Friday, December 19th. This represents a $0.30 annualized dividend and a dividend yield of 0.3%. Turning Point Brands’s dividend payout ratio (DPR) is presently 10.56%.

Insider Buying and Selling

In related news, Director Gregory H.A. Baxter sold 1,500 shares of the business’s stock in a transaction that occurred on Friday, November 21st. The stock was sold at an average price of $98.23, for a total value of $147,345.00. Following the completion of the transaction, the director directly owned 38,919 shares in the company, valued at approximately $3,823,013.37. The trade was a 3.71% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Chairman David Edward Glazek sold 30,000 shares of the company’s stock in a transaction that occurred on Friday, December 19th. The shares were sold at an average price of $110.26, for a total value of $3,307,800.00. Following the completion of the transaction, the chairman directly owned 127,083 shares in the company, valued at $14,012,171.58. The trade was a 19.10% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 96,220 shares of company stock valued at $9,958,542. 6.60% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Turning Point Brands

A number of large investors have recently added to or reduced their stakes in TPB. First Horizon Corp purchased a new position in shares of Turning Point Brands in the third quarter worth $25,000. Caitong International Asset Management Co. Ltd bought a new position in Turning Point Brands in the 3rd quarter worth about $28,000. Advisory Services Network LLC purchased a new position in Turning Point Brands in the third quarter valued at about $28,000. GAMMA Investing LLC grew its stake in shares of Turning Point Brands by 90.7% during the second quarter. GAMMA Investing LLC now owns 328 shares of the company’s stock worth $25,000 after acquiring an additional 156 shares during the last quarter. Finally, Briaud Financial Planning Inc acquired a new stake in shares of Turning Point Brands during the second quarter worth $31,000. Hedge funds and other institutional investors own 96.12% of the company’s stock.

About Turning Point Brands

Turning Point Brands, Inc (NYSE: TPB) is a U.S.-based consumer products company focused on the manufacture, marketing and distribution of smokeless tobacco, vaping and cigar products. Headquartered in Old Hickory, Tennessee, the company serves retail outlets across all 50 states through a direct-store-delivery network and select third-party distributors. Turning Point Brands operates two reporting segments—Smokeless Products and Cigar—and leverages its logistics capabilities to offer a broad portfolio of brands and SKUs.

In its Smokeless Products segment, Turning Point Brands produces moist smokeless tobacco under leading brand names such as Grizzly, Kodiak and Stoker’s.