CNH Industrial (NYSE:CNH) Shares Gap Up After Strong Earnings

CNH Industrial N.V. (NYSE:CNH)’s stock price gapped up before the market opened on Monday after the company announced better than expected quarterly earnings. The stock had previously closed at $10.25, but opened at $11.41. CNH Industrial shares last traded at $11.8680, with a volume of 5,348,600 shares traded.

The company reported $0.13 earnings per share for the quarter, topping the consensus estimate of $0.11 by $0.02. The business had revenue of $4.80 billion during the quarter, compared to the consensus estimate of $4.77 billion. CNH Industrial had a net margin of 2.13% and a return on equity of 7.48%. The company’s quarterly revenue was up 2.0% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.17 earnings per share.

Analyst Upgrades and Downgrades

A number of research analysts recently commented on the stock. Evercore set a $12.25 price objective on shares of CNH Industrial in a research note on Monday, May 11th. DA Davidson reaffirmed a “neutral” rating and set a $12.00 price target on shares of CNH Industrial in a research note on Monday, May 4th. Sanford C. Bernstein initiated coverage on CNH Industrial in a research note on Thursday, May 7th. They issued a “market perform” rating and a $11.00 price objective on the stock. The Goldman Sachs Group lowered CNH Industrial from a “buy” rating to a “neutral” rating and cut their price objective for the company from $12.00 to $10.50 in a report on Monday, May 11th. Finally, Truist Financial set a $16.00 target price on CNH Industrial in a research note on Friday, May 1st. Six research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of “Hold” and an average target price of $12.77.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. National Pension Service acquired a new stake in CNH Industrial during the 4th quarter worth about $2,620,000. Mitsubishi UFJ Asset Management Co. Ltd. boosted its holdings in shares of CNH Industrial by 21.0% in the fourth quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 915,808 shares of the company’s stock worth $8,563,000 after buying an additional 158,729 shares during the period. CWM LLC increased its position in shares of CNH Industrial by 113.6% in the fourth quarter. CWM LLC now owns 414,233 shares of the company’s stock worth $3,819,000 after acquiring an additional 220,328 shares in the last quarter. Sei Investments Co. increased its position in shares of CNH Industrial by 61.3% in the first quarter. Sei Investments Co. now owns 4,666,201 shares of the company’s stock worth $51,330,000 after acquiring an additional 1,774,178 shares in the last quarter. Finally, BNP Paribas Financial Markets raised its holdings in shares of CNH Industrial by 5.3% during the fourth quarter. BNP Paribas Financial Markets now owns 7,108,081 shares of the company’s stock valued at $65,537,000 after acquiring an additional 360,898 shares during the period. Institutional investors own 59.88% of the company’s stock.

CNH Industrial Price Performance

The stock’s fifty day moving average price is $10.60 and its 200-day moving average price is $10.95. The company has a debt-to-equity ratio of 3.32, a current ratio of 12.27 and a quick ratio of 10.17. The firm has a market cap of $14.56 billion, a price-to-earnings ratio of 37.89, a price-to-earnings-growth ratio of 1.96 and a beta of 1.15.

CNH Industrial Company Profile

CNH Industrial N.V. is a global capital goods company specializing in the design, production and sale of agricultural and construction equipment, commercial vehicles and powertrain solutions. The firm operates through five core brands—Case IH and New Holland for agricultural machinery, Case and New Holland for construction equipment, Iveco for light, medium and heavy commercial vehicles, and FPT Industrial for engines and drivetrain components. Established in 2013 through the combination of Fiat Industrial and CNH Global, the company draws on a rich heritage of innovation dating back to pioneering landmarks in farm and construction machinery from the 19th century.

The company’s product portfolio encompasses tractors, combines, balers, excavators, backhoe loaders, trucks, vans and bespoke engines for marine, automotive and industrial markets.