Norges Bank has acquired a significant stake in ESAB Corporation, purchasing 695,266 shares valued at approximately $83,814,000. This investment, revealed in the bank’s recent Form 13F filing with the Securities and Exchange Commission, positions Norges Bank as owning 1.15% of the company as of the latest reporting period.
Several other institutional investors have also adjusted their holdings in ESAB. Notably, Cetera Investment Advisers increased its stake by 57.2% in the first quarter, bringing its total to 23,666 shares valued at $2,757,000. LPL Financial LLC expanded its holdings by 38.3%, now owning 61,466 shares worth $7,161,000 after acquiring an additional 17,027 shares. Additionally, Natixis Advisors LLC increased its stake by 21.6%, now holding 19,544 shares valued at $2,277,000.
Other notable acquisitions include Jefferies Financial Group Inc., which bought a new stake worth approximately $265,000, and PNC Financial Services Group Inc., which raised its stake by 20.1% to 1,844 shares valued at $215,000. Collectively, institutional investors now hold 91.13% of ESAB’s stock.
Analyst Ratings and Market Performance
A number of analysts have recently provided insights into ESAB’s stock. UBS Group raised its price target from $147.00 to $149.00, maintaining a “buy” rating. Similarly, Stifel Nicolaus upgraded its rating from “hold” to “buy,” setting a price objective of $141.00. Wall Street Zen also upgraded ESAB to a “buy” rating, while Zacks Research adjusted its rating from “strong-buy” to “hold.” Overall, eight investment analysts have given the stock a “buy” rating, with a consensus target price of $143.33.
On the trading front, shares of ESAB opened at $113.13 on October 20, 2023. The company boasts a market capitalization of $6.87 billion, a price-to-earnings (P/E) ratio of 28.50, and a P/E growth (P/E/G) ratio of 2.19. The stock has fluctuated between a 12-month low of $100.17 and a high of $135.84.
Recent Financial Results and Future Guidance
ESAB Corporation reported its quarterly earnings on October 29, 2023, revealing earnings of $1.32 per share, surpassing analyst expectations of $1.27 by $0.05. The company generated revenue of $727.85 million, exceeding estimates of $663.57 million. Year-over-year, revenue increased by 8.1%, with the previous year posting earnings of $1.25 per share. For the fiscal year 2025, ESAB has set guidance for earnings per share between $5.20 and $5.30, with analysts forecasting $5.16 for the current fiscal year.
In addition to its strong financial performance, ESAB announced a quarterly dividend of $0.10 per share, scheduled for payment on January 16, 2024. Shareholders of record on December 31, 2023, will receive this dividend, reflecting an annualized payout of $0.40 and a dividend yield of 0.4%. The company maintains a dividend payout ratio of 10.08%.
ESAB Corporation specializes in the formulation, development, manufacture, and supply of consumable products and equipment for cutting, joining, automated welding, and gas control. Its diverse range of welding consumables includes electrodes, cored and solid wires, and fluxes, along with cutting consumables.
For further insights on ESAB and its shareholders, investors can visit HoldingsChannel.com to access the latest filings and trades associated with ESAB Corporation.
