Latest news with #ATKR
Yahoo
13-05-2025
- Business
- Yahoo
What Makes Atkore (ATKR) a Compelling Investment?
The London Company, an investment management company, released 'The London Company Small Cap Strategy' first quarter 2025 investor letter. A copy of the letter can be downloaded here. U.S. equities experienced a correction in 1Q25 due to macro risks, weak economic growth, and inflation. The fund declined 6.9% (-7.1%, net) compared to a 9.5% decrease in the Russell 2000 Index. The positive impact of stock selection contributed to the strategy's relative performance in the quarter, partially offset by sector exposure. For more information on the fund's top picks in 2025, please check its top five holdings. In its first-quarter 2025 investor letter, The London Company Small Cap Strategy highlighted stocks such as Atkore Inc. (NYSE:ATKR). Atkore Inc. (NYSE:ATKR) manufactures and distributes electrical, mechanical, safety, and infrastructure products and solutions. The one-month return of Atkore Inc. (NYSE:ATKR) was 23.31%, and its shares lost 54.83% of their value over the last 52 weeks. On May 12, 2025, Atkore Inc. (NYSE:ATKR) stock closed at $70.25 per share with a market capitalization of $2.364 billion. The London Company Small Cap Strategy stated the following regarding Atkore Inc. (NYSE:ATKR) in its Q1 2025 investor letter: "Initiated: Atkore Inc. (NYSE:ATKR) - ATKR dominates the electrical conduit market with 35% market share, offering bundled products - conduits, PVC, HDPE pipes, and other electrical raceway products. ATKR benefits from oligopolistic industry dynamics with only 2 competitors possessing comparable scale, translating to scale advantages. It operates mainly in U.S. non-residential construction and is levered to trends like electrification and data center growth. The company has improved margins (5% to -11% normalized) and ROIC (>14%) through diversification and proactive pricing strategies. ATKR requires minimal capex and generates strong cash flow. Most of the cash generated is used for effective share repurchases, a small dividend, and acquisitions. ATKR has retired more than 45% of outstanding shares since 2017." A technician on a ladder inspecting the electrical components of an industrial building. Atkore Inc. (NYSE:ATKR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 32 hedge fund portfolios held Atkore Inc. (NYSE:ATKR) at the end of the fourth quarter compared to 36 in the third quarter. Atkore Inc. (NYSE:ATKR) reported net sales of $702 million in Q2 2025. While we acknowledge the potential of Atkore Inc. (NYSE:ATKR) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. In another article, we covered Atkore Inc. (NYSE:ATKR) and shared the list of best electrical equipment stocks to buy. Middle Coast Investing sold a large portion of its Atkore Inc. (NYSE:ATKR) position in Q1 2025. In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors. READ NEXT: Michael Burry Is Selling These Stocks and A New Dawn Is Coming to US Stocks. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
04-05-2025
- Business
- Yahoo
4 Stocks to Watch That Recently Declared Dividend Hikes Amid Volatility
Economic data released this week doesn't paint a rosy picture, raising concerns over the economy slipping into a recession in the coming months. Although President Donald Trump temporarily paused reciprocal tariffs last month, which helped markets rebound from their earlier lows, Wall Street remains volatile. Given this uncertainty, cautious investors looking for a steady income and ways to protect their capital may want to hold or buy dividend-paying stocks. Three such stocks are Atkore Inc. ATKR, Enact Holdings, Inc. ACT, Pool Corporation POOL and American Water Works Company, Inc. AWK. The Commerce Department said earlier this week that the U.S. economy contracted in the first quarter of 2025. Gross domestic product (GDP) fell 0.3% in the first three months of the year, recording the first quarter of negative growth since the first quarter of 2022, and missing analysts' expectations of 0.4% growth. This came as fears grew that Trump's tariffs could weigh on the economy's health. Trump temporarily paused tariffs for 90 days, which saw a sharp rise in imports in the final month of the first quarter as consumers bought imported goods at a higher rate. Imports jumped 41.3% for the quarter, while exports grew just 1.8%. Consumer spending also slowed as people saved more, anticipating tougher days ahead. Besides, there was also a significant decline in federal expenditures, which played a major role in the sluggish GDP figures. Investors are worried that the economy could shrink further once the tariffs go into effect. Consumer confidence fell 7.9 points to 86 in April to hit a five-year low. Needless to say, investors aren't confident about the economy and with the picture on trade negotiations still unclear, markets could remain volatile for a longer period. Given the uncertainty, it would be a wise decision to invest in stocks that pay dividends. These companies usually remain stable and consistently pay out dividends while sustaining profitability through strong business strategies. In a fluctuating market, companies that pay high dividends often outperform those that do not. Atkore Inc. manufactures and distributes electrical raceway products. It offers steel tubes and pipes, electrical conduit, armored wire and cable, cable trays, metal framing systems and building components. Atkore has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank stocks here. On April 30, Atkore announced that its shareholders would receive a dividend of $0.33 a share on May 28. ATKR has a dividend yield of 2%. Over the past five years, Atkore has increased its dividend once, and its payout ratio presently sits at 12% of earnings. Check Atkore's dividend history here. Enact Holdings, Inc. operates principally through its wholly owned subsidiary Genworth Mortgage Insurance Corporation, which provides U.S. private mortgage insurance. Enact Holdings has a Zacks Rank #3. On April 30, Enact Holdings declared that its shareholders would receive a dividend of $0.21 a share on June 11. ACT has a dividend yield of 2.07%. Over the past five years, Enact Holdings has increased its dividend six times, and its payout ratio presently sits at 16% of earnings. Check Enact Holdings' dividend history here. Pool Corporation is the world's largest wholesale distributor of swimming pool supplies, equipment and related products. In addition, POOL is a leading regional wholesale distributor of irrigation and landscape products. Pool Corporation carries a Zacks Rank #3. On April 30, Pool Corporation announced that its shareholders would receive a dividend of $1.25 a share on May 29. POOL has a dividend yield of 1.64%. Over the past five years, Pool Corporation has increased its dividend six times, and its payout ratio presently sits at 46% of earnings. Check Pool Corporation's dividend history here. American Water Works Company, Inc. provides essential water services to more than 14 million customers in 24 states and has an employee strength of 6,700. AWK also acquires small water service providers to expand its customer base. American Water Works carries a Zacks Rank #2 (Buy). On April 30, American Water Works declared that its shareholders would receive a dividend of $0.83 a share on June 3. AWK has a dividend yield of 2.08%. Over the past five years, American Water Works has increased its dividend six times, and its payout ratio presently sits at 57% of earnings. Check American Water Works' dividend history here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Pool Corporation (POOL) : Free Stock Analysis Report American Water Works Company, Inc. (AWK) : Free Stock Analysis Report Enact Holdings, Inc. (ACT) : Free Stock Analysis Report Atkore Inc. (ATKR) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
02-04-2025
- Business
- Yahoo
Atkore (ATKR) Declined on Worse-Than-Expected Results and Lowered Guidance
River Road Asset Management, an investment management company released its 'River Road Small-Mid Cap Value Fund' Q4 2024 investor letter. A copy of the letter can be downloaded here. In the fourth quarter, AMG River Road Small Cap Value Fund (Class N) returned 3.67% compared to -0.26% returns for the Russell 2500TM Value Index. For the year 2024, the fund returned 12.46% compared to the Index return of 10.98%. For more information on the fund's best picks in 2024, please check its top five holdings. In its fourth quarter 2024 investor letter, River Road Small-Mid Cap Value Fund emphasized stocks such as Atkore Inc. (NYSE:ATKR). Atkore Inc. (NYSE:ATKR) manufactures and distributes electrical, mechanical, safety, and infrastructure products and solutions. The one-month return of Atkore Inc. (NYSE:ATKR) was -5.28%, and its shares lost 68.55% of their value over the last 52 week. On April 1, 2025, Atkore Inc. (NYSE:ATKR) stock closed at $60.02 per share with a market capitalization of $2.065 billion. River Road Small-Mid Cap Value Fund stated the following regarding Atkore Inc. (NYSE:ATKR) in its Q4 2024 investor letter: "The holding with the lowest contribution to active return in the portfolio during Q3 was Atkore Inc. (NYSE:ATKR), a branded manufacturer of products that protect and frame electric circuitry (including PVC conduit). ATKR delivered worse-than-expected Q3 2024 results and lowered 2024 EBITDA guidance by -11% due to higher amounts of imported steel conduit entering the market and a slower summer construction season. Steel conduit imports from Mexico have risen sharply over the past year in violation of existing trade agreements. ATKR has lost market share and has cut pricing in steel conduit, which is roughly 20% of total ATKR revenues. A Donald Trump administration is likely needed for effective trade enforcement. Weakness in residential, construction, and utility end markets led to lower-than-expected volumes and pricing. We believe ATKR's balance sheet remains in great shape with net leverage of only 0.6x and year-to-date free cash flow generation of $245MM has largely been used to fund $281MM of year-to-date share repurchases. We took no action on the position during the quarter." A technician on a ladder inspecting the electrical components of an industrial building. Atkore Inc. (NYSE:ATKR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 32 hedge fund portfolios held Atkore Inc. (NYSE:ATKR) at the end of the fourth quarter compared to 36 in the third quarter. In the fiscal first quarter of 2025, Atkore Inc. (NYSE:ATKR) reported net sales of $662 million and adjusted EBITDA of $99 million. While we acknowledge the potential of Atkore Inc. (NYSE:ATKR) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. We covered Atkore Inc. (NYSE:ATKR) in another article, where we shared Riverwater Partners Sustainable Value Strategy's views on the company. In addition, please check out our hedge fund investor letters Q4 2024 page for more investor letters from hedge funds and other leading investors. READ NEXT: Michael Burry Is Selling These Stocks and A New Dawn Is Coming to US Stocks. Disclosure: None. This article is originally published at Insider Monkey.
