Transcat (NASDAQ:TRNS) Hits New 52-Week High After Earnings Beat

Transcat, Inc. (NASDAQ:TRNS) shares reached a new 52-week high during trading on Wednesday following a stronger than expected earnings report. The stock traded as high as $106.00 and last traded at $105.5940, with a volume of 63,138 shares trading hands. The stock had previously closed at $89.52.

The scientific and technical instruments company reported $0.64 EPS for the quarter, beating the consensus estimate of $0.45 by $0.19. Transcat had a net margin of 0.99% and a return on equity of 5.56%. The business had revenue of $97.09 million for the quarter, compared to the consensus estimate of $92.46 million.

Key Stories Impacting Transcat

Here are the key news stories impacting Transcat this week:

• Positive Sentiment: Quarterly results topped expectations: Transcat reported earnings of $0.64 per share, above consensus estimates of $0.42–$0.45, while revenue of $97.09 million exceeded expectations of $92.46 million. Earnings also increased from $0.44 per share a year earlier. Zacks earnings article
• Positive Sentiment: Service growth and margins strengthened: The company reported double-digit organic revenue growth in its service business and significant service gross-margin expansion. It raised its FY2027 service organic growth outlook to low double digits and aims for at least 100 basis points of service gross-margin expansion in the second half. Outlook article
• Positive Sentiment: Oppenheimer upgraded the stock: The firm moved Transcat from “market perform” to “outperform” and set a $115 price target, signaling a more bullish view of the shares’ prospects.

Analysts Set New Price Targets

TRNS has been the subject of a number of recent analyst reports. Northland Securities upgraded Transcat from a “market perform” rating to an “outperform” rating and set a $95.00 price objective for the company in a research report on Wednesday, October 21st. Oppenheimer raised shares of Transcat from a “market perform” rating to an “outperform” rating and set a $115.00 price target on the stock in a research note on Wednesday. Weiss Ratings reiterated a “sell (d+)” rating on shares of Transcat in a research note on Tuesday, August 25th. Finally, CJS Securities started coverage on shares of Transcat in a research note on Tuesday, October 27th. They issued an “outperform” rating and a $115.00 price target on the stock. Three investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus target price of $108.33.

Insider Buying and Selling at Transcat

In other news, Director Christopher Gillette sold 504 shares of the business’s stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $94.23, for a total transaction of $47,491.92. Following the completion of the transaction, the director directly owned 200 shares of the company’s stock, valued at approximately $18,846. The trade was a 71.59% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Craig D. Cairns bought 1,050 shares of the business’s stock in a transaction that occurred on Thursday, August 6th. The shares were purchased at an average price of $93.97 per share, for a total transaction of $98,668.50. Following the completion of the purchase, the director directly owned 1,480 shares of the company’s stock, valued at approximately $139,075.60. This trade represents a 244.19% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. 1.80% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in TRNS. BlackRock Inc. acquired a new position in Transcat in the second quarter valued at $67,445,000. Barrow Hanley Mewhinney & Strauss LLC acquired a new stake in shares of Transcat during the second quarter worth about $37,106,000. Wellington Management Group LLP acquired a new stake in shares of Transcat during the second quarter worth about $29,409,000. Dimensional Fund Advisors LP lifted its holdings in shares of Transcat by 3.7% in the 1st quarter. Dimensional Fund Advisors LP now owns 262,033 shares of the scientific and technical instruments company’s stock valued at $19,244,000 after purchasing an additional 9,266 shares during the last quarter. Finally, Bamco Inc. NY purchased a new stake in shares of Transcat in the 2nd quarter valued at about $17,649,000. Institutional investors and hedge funds own 98.34% of the company’s stock.

Transcat Price Performance

The firm has a market capitalization of $999.91 million, a PE ratio of 287.80 and a beta of 0.61. The company has a current ratio of 2.49, a quick ratio of 2.11 and a debt-to-equity ratio of 0.36. The company has a fifty day moving average price of $86.10 and a two-hundred day moving average price of $81.83.

Transcat Company Profile

Transcat, Inc (NASDAQ: TRNS) provides calibration, compliance, and measurement services for organizations that rely on accurate test and measurement equipment. The company supports customers in regulated industries, including life sciences, aerospace and defense, energy, manufacturing, and other industrial markets.

Its service offerings include laboratory and onsite calibration, repair, validation, and asset-management services. Transcat calibrates a broad range of equipment used to measure temperature, pressure, electrical and electronic properties, radio frequency signals, dimensional characteristics, and other technical parameters.