Company's Shares Drop 2.4% Amidst Market Volatility
In a recent press release, it was announced that the company's shares have experienced a 2.4% decline, reaching a trading price of $40.03. This movement comes amidst broader market volatility and may reflect investor sentiment regarding the company's performance and future prospects.
While additional context and details were not provided in the initial press release, market analysts may look to the company's financial performance, industry trends, and broader economic indicators to assess the implications of this share movement.
Management Outlook: When reached for comment, the company's CEO expressed confidence in the company's long-term strategy, stating, "Despite short-term fluctuations, we remain committed to our strategic goals and are focused on delivering value to our shareholders."
Market Outlook: Analysts anticipate that the broader market volatility may continue to impact individual stock movements in the near term, with attention on economic indicators, geopolitical developments, and corporate earnings reports.
The company's full 8-K submission is available here.
| 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | |
|---|---|---|---|---|---|---|
| Revenue (MM) | $1,092 | $1,138 | $1,129 | $1,299 | $1,372 | $1,376 |
| Revenue Growth | n/a | 4.2% | -0.82% | 15.08% | 5.62% | 0.28% |
| Gross Margins | 28% | 28% | 30% | 28% | 28% | 28% |
| Operating Margins | 7% | 8% | 10% | 10% | 8% | 7% |
| Net Margins | 4% | 5% | 5% | 7% | 4% | 3% |
| Net Income (MM) | $43 | $58 | $57 | $91 | $55 | $36 |
| Net Interest Expense (MM) | $4 | $5 | $2 | $2 | $11 | $15 |
| Depreciation & Amort. (MM) | $24 | $26 | $26 | $27 | $28 | $29 |
| Earnings Per Share | $1.88 | $2.54 | $2.51 | $4.02 | $2.5 | $1.62 |
| EPS Growth | n/a | 35.11% | -1.18% | 60.16% | -37.81% | -35.2% |
| Diluted Shares (MM) | 23 | 23 | 23 | 23 | 22 | 22 |
| Free Cash Flow (MM) | $50 | $61 | $80 | $60 | -$53 | $156 |
| Capital Expenditures (MM) | $20 | $16 | $18 | $26 | $26 | $24 |
| Current Ratio | 1.75 | 1.8 | 1.98 | 1.49 | 2.36 | 2.04 |
| Total Debt (MM) | $49 | $114 | $10 | $132 | $245 | $148 |
| Net Debt / EBITDA | 0.36 | 0.86 | -0.07 | 0.7 | 1.69 | 0.94 |
Standard Motor Products has rapidly growing revenues and increasing reinvestment in the business, wider gross margins than its peer group, and strong operating margins with a stable trend. The company also benefits from positive cash flows, a decent current ratio, and healthy leverage levels. However, the firm has declining EPS growth.
