Fomento Economico Mexicano (NYSE:FMX) Hits New 52-Week High on Earnings Beat

Shares of Fomento Economico Mexicano S.A.B. de C.V. (NYSE:FMX) reached a new 52-week high during trading on Tuesday after the company announced better than expected quarterly earnings. The company traded as high as $141.47 and last traded at $132.1070, with a volume of 37022 shares changing hands. The stock had previously closed at $132.15.

The company reported $0.93 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.92 by $0.01. The firm had revenue of $13.20 billion for the quarter, compared to analyst estimates of $12.94 billion. Fomento Economico Mexicano had a net margin of 3.40% and a return on equity of 7.33%.

Fomento Economico Mexicano Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, July 27th. Shareholders of record on Wednesday, July 15th were paid a dividend of $1.827 per share. This is a boost from Fomento Economico Mexicano’s previous quarterly dividend of $0.67. This represents a $7.31 dividend on an annualized basis and a yield of 5.4%. The ex-dividend date of this dividend was Wednesday, July 15th. Fomento Economico Mexicano’s payout ratio is currently 54.36%.

Wall Street Analyst Weigh In

A number of research firms have recently issued reports on FMX. Weiss Ratings upgraded shares of Fomento Economico Mexicano from a “hold (c-)” rating to a “hold (c)” rating in a report on Monday, May 11th. Barclays raised their price objective on shares of Fomento Economico Mexicano from $125.00 to $130.00 and gave the stock an “equal weight” rating in a research note on Tuesday, July 14th. UBS Group lifted their price objective on shares of Fomento Economico Mexicano from $122.00 to $139.00 and gave the stock a “buy” rating in a research report on Thursday, May 28th. JPMorgan Chase & Co. boosted their target price on shares of Fomento Economico Mexicano from $117.00 to $126.00 and gave the company an “overweight” rating in a research note on Friday, June 26th. Finally, Zacks Research upgraded Fomento Economico Mexicano from a “hold” rating to a “strong-buy” rating in a report on Thursday, April 30th. One investment analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $119.50.

Hedge Funds Weigh In On Fomento Economico Mexicano

Hedge funds have recently bought and sold shares of the business. AQR Capital Management LLC raised its position in shares of Fomento Economico Mexicano by 19.0% in the first quarter. AQR Capital Management LLC now owns 6,072 shares of the company’s stock valued at $593,000 after purchasing an additional 969 shares during the period. Northwestern Mutual Wealth Management Co. lifted its position in shares of Fomento Economico Mexicano by 2,006.2% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 337 shares of the company’s stock worth $35,000 after purchasing an additional 321 shares during the last quarter. New York State Common Retirement Fund bought a new stake in shares of Fomento Economico Mexicano in the second quarter valued at approximately $429,000. EverSource Wealth Advisors LLC grew its stake in shares of Fomento Economico Mexicano by 61.0% in the second quarter. EverSource Wealth Advisors LLC now owns 1,156 shares of the company’s stock worth $119,000 after acquiring an additional 438 shares during the last quarter. Finally, Jump Financial LLC acquired a new stake in shares of Fomento Economico Mexicano in the second quarter worth $504,000. 61.00% of the stock is owned by institutional investors and hedge funds.

Fomento Economico Mexicano Price Performance

The stock’s 50-day moving average is $126.01 and its 200-day moving average is $116.42. The company has a quick ratio of 0.87, a current ratio of 1.16 and a debt-to-equity ratio of 0.47. The firm has a market cap of $46.37 billion, a P/E ratio of 30.02, a price-to-earnings-growth ratio of 0.69 and a beta of 0.41.

Fomento Economico Mexicano Company Profile

Fomento Económico Mexicano, SAB. de C.V. (FEMSA) is a Mexican multinational company active primarily in the retail and beverage sectors. Headquartered in Monterrey, Mexico, FEMSA’s operations span convenience store retailing, beverage bottling and distribution, and related logistics and consumer services. The company’s business model combines high-frequency retail outlets with large-scale beverage production and a regional supply chain network.

FEMSA Comercio, the company’s retail arm, operates a large chain of convenience stores under the OXXO brand and has expanded its retail footprint with complementary formats and services.