Koppers (NYSE:KOP) Reaches New 12-Month Low After Earnings Miss

Koppers Holdings Inc. (NYSE:KOP) shares hit a new 52-week low during trading on Thursday following a dissappointing earnings announcement. The stock traded as low as $27.56 and last traded at $28.78, with a volume of 87296 shares changing hands. The stock had previously closed at $32.27.

The specialty chemicals company reported $0.77 earnings per share for the quarter, missing analysts’ consensus estimates of $0.95 by ($0.18). Koppers had a return on equity of 16.71% and a net margin of 3.55%. The firm had revenue of $477.00 million during the quarter, compared to analyst estimates of $497.00 million.

Koppers Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, March 24th. Investors of record on Friday, March 7th will be issued a dividend of $0.08 per share. This is a positive change from Koppers’s previous quarterly dividend of $0.07. This represents a $0.32 dividend on an annualized basis and a yield of 1.08%. The ex-dividend date of this dividend is Friday, March 7th. Koppers’s payout ratio is presently 9.09%.

Koppers announced that its Board of Directors has authorized a share buyback plan on Thursday, February 27th that allows the company to repurchase $100.00 million in shares. This repurchase authorization allows the specialty chemicals company to repurchase up to 16.7% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s management believes its shares are undervalued.

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on KOP shares. StockNews.com raised shares of Koppers from a “sell” rating to a “hold” rating in a research note on Monday, November 11th. Barrington Research restated an “outperform” rating and issued a $64.00 price target on shares of Koppers in a research report on Monday.

Hedge Funds Weigh In On Koppers

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Dimensional Fund Advisors LP raised its holdings in Koppers by 0.7% during the 4th quarter. Dimensional Fund Advisors LP now owns 1,237,486 shares of the specialty chemicals company’s stock worth $40,094,000 after buying an additional 8,111 shares during the period. Pzena Investment Management LLC raised its holdings in shares of Koppers by 18.0% during the fourth quarter. Pzena Investment Management LLC now owns 908,772 shares of the specialty chemicals company’s stock valued at $29,444,000 after acquiring an additional 138,603 shares during the period. LSV Asset Management lifted its position in shares of Koppers by 0.4% in the 4th quarter. LSV Asset Management now owns 632,862 shares of the specialty chemicals company’s stock valued at $20,505,000 after acquiring an additional 2,312 shares in the last quarter. Principal Financial Group Inc. boosted its stake in Koppers by 20.7% in the 3rd quarter. Principal Financial Group Inc. now owns 568,787 shares of the specialty chemicals company’s stock worth $20,778,000 after purchasing an additional 97,586 shares during the period. Finally, Charles Schwab Investment Management Inc. grew its position in Koppers by 5.1% during the 3rd quarter. Charles Schwab Investment Management Inc. now owns 424,871 shares of the specialty chemicals company’s stock worth $15,521,000 after purchasing an additional 20,586 shares in the last quarter. Institutional investors and hedge funds own 92.75% of the company’s stock.

Koppers Price Performance

The company has a market cap of $598.04 million, a PE ratio of 8.38 and a beta of 1.83. The stock has a fifty day moving average price of $30.92 and a 200-day moving average price of $34.68. The company has a debt-to-equity ratio of 1.83, a current ratio of 2.54 and a quick ratio of 1.13.

Koppers Company Profile

Koppers Holdings Inc provides treated wood products, wood preservation chemicals, and carbon compounds in the United States, Australasia, Europe, and internationally. The company operates through Railroad and Utility Products and Services (RUPS), Performance Chemicals (PC), and Carbon Materials and Chemicals (CMC) segments.