Spirit AeroSystems (NYSE:SPR) Lowered to “Sell” at Zacks Investment Research

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Zacks Investment Research downgraded shares of Spirit AeroSystems (NYSE:SPR) from a hold rating to a sell rating in a research note released on Monday, Zacks.com reports. The brokerage currently has $84.00 price target on the aerospace company’s stock.

According to Zacks, “Spirit AeroSystems is one of the largest independent non-OEM aircraft parts designers. Both commercial and defense aerospace markets offer immense growth opportunities for Spirit AeroSystems. Accelerated defense-related activities within the United States have been contributing to its Fuselage Systems unit’s top-line growth. The pending Asco acquisition will expand the company’s ability to offer more Airbus A320 and A350 wings as well as structures for F-35 jets. However, it operates in a highly competitive market. Moreover, the uncertainty revolving around Boeing 737 forced Spirit AeroSystems to detain the 2019 guidance for now. The company also underperformed the industry in the past six months. Also, a delay related to the Asco transaction is further escalating Spirit AeroSystems' expenses.”

Several other equities research analysts have also commented on the stock. Jefferies Financial Group reaffirmed a buy rating on shares of Extended Stay America in a report on Tuesday, July 2nd. Cowen reaffirmed a buy rating and issued a $28.00 price target on shares of Intra-Cellular Therapies in a report on Monday. Canaccord Genuity set a $220.00 price target on shares of SAGE Therapeutics and gave the company a buy rating in a report on Monday, April 8th. ValuEngine lowered shares of Zumiez from a hold rating to a sell rating in a report on Tuesday, July 2nd. Finally, SunTrust Banks lowered their price target on shares of Broadcom to $307.00 and set a buy rating on the stock in a report on Friday, June 14th. Three research analysts have rated the stock with a sell rating, five have given a hold rating and eight have assigned a buy rating to the stock. The stock presently has an average rating of Hold and an average target price of $97.66.

NYSE:SPR opened at $75.16 on Monday. Spirit AeroSystems has a one year low of $64.48 and a one year high of $100.34. The company has a debt-to-equity ratio of 1.71, a quick ratio of 1.39 and a current ratio of 1.95. The stock has a market capitalization of $7.80 billion, a price-to-earnings ratio of 12.01, a price-to-earnings-growth ratio of 1.46 and a beta of 1.28. The firm has a fifty day simple moving average of $80.76.

Spirit AeroSystems (NYSE:SPR) last posted its quarterly earnings results on Wednesday, May 1st. The aerospace company reported $1.68 EPS for the quarter, beating the consensus estimate of $1.67 by $0.01. Spirit AeroSystems had a net margin of 8.78% and a return on equity of 63.36%. The company had revenue of $1.97 billion for the quarter, compared to analyst estimates of $1.93 billion. During the same period in the prior year, the company earned $1.10 earnings per share. The firm’s revenue was up 13.3% on a year-over-year basis. On average, research analysts predict that Spirit AeroSystems will post 6.98 EPS for the current year.

The company also recently announced a quarterly dividend, which was paid on Monday, July 8th. Stockholders of record on Monday, June 17th were paid a dividend of $0.12 per share. This represents a $0.48 annualized dividend and a dividend yield of 0.64%. The ex-dividend date was Friday, June 14th. Spirit AeroSystems’s payout ratio is currently 7.67%.

In other news, Director Robert D. Johnson sold 500 shares of the stock in a transaction dated Monday, June 3rd. The shares were sold at an average price of $79.95, for a total transaction of $39,975.00. Following the sale, the director now directly owns 2,925 shares of the company’s stock, valued at approximately $233,853.75. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Corporate insiders own 0.84% of the company’s stock.

Several hedge funds have recently bought and sold shares of the company. Great West Life Assurance Co. Can boosted its stake in shares of Spirit AeroSystems by 0.4% during the 4th quarter. Great West Life Assurance Co. Can now owns 29,127 shares of the aerospace company’s stock worth $2,002,000 after acquiring an additional 129 shares in the last quarter. Cerebellum GP LLC raised its position in shares of Spirit AeroSystems by 3.9% during the 1st quarter. Cerebellum GP LLC now owns 3,584 shares of the aerospace company’s stock worth $328,000 after purchasing an additional 133 shares during the last quarter. BMT Investment Advisors raised its position in shares of Spirit AeroSystems by 0.9% during the 1st quarter. BMT Investment Advisors now owns 23,527 shares of the aerospace company’s stock worth $2,153,000 after purchasing an additional 204 shares during the last quarter. Nissay Asset Management Corp Japan ADV raised its position in shares of Spirit AeroSystems by 2.2% during the 1st quarter. Nissay Asset Management Corp Japan ADV now owns 11,013 shares of the aerospace company’s stock worth $1,008,000 after purchasing an additional 237 shares during the last quarter. Finally, Rehmann Capital Advisory Group raised its position in shares of Spirit AeroSystems by 4.1% during the 1st quarter. Rehmann Capital Advisory Group now owns 6,275 shares of the aerospace company’s stock worth $574,000 after purchasing an additional 250 shares during the last quarter. 96.55% of the stock is currently owned by institutional investors and hedge funds.

Spirit AeroSystems Company Profile

Spirit AeroSystems Holdings, Inc designs, manufactures, and supplies commercial aero structures in the United States and internationally. The company operates in three segments: Fuselage Systems, Propulsion Systems, and Wing Systems. The Fuselage Systems segment develops, produces, and markets forward, mid, and rear fuselage sections and systems primarily to aircraft original equipment manufacturers (OEMs); and related spares, as well as maintenance, repairs, and overhaul (MRO) services.

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