Zacks Investment Research Upgrades MGP Ingredients (MGPI) to “Hold”

Zacks Investment Research upgraded shares of MGP Ingredients (NASDAQ:MGPI) from a sell rating to a hold rating in a report issued on Wednesday.

According to Zacks, “MGP Ingredients, Inc. produces and markets ingredients and distillery products to the packaged goods industry. Its Distillery Products segment primarily offers food grade alcohol, fuel grade alcohol, and distillers feed. The company’s Ingredient Solutions segment primarily provides specialty wheat starches and proteins, commodity wheat starches, and commodity vital wheat gluten. MGP Ingredients, Inc. is headquartered in Atchison, Kansas. “

Several other equities analysts have also commented on MGPI. BidaskClub lowered MGP Ingredients from a hold rating to a sell rating in a research report on Tuesday, August 21st. ValuEngine lowered MGP Ingredients from a buy rating to a hold rating in a research report on Friday, November 2nd. One analyst has rated the stock with a sell rating, three have given a hold rating and three have issued a buy rating to the company’s stock. The company currently has a consensus rating of Hold and a consensus target price of $88.00.

Shares of MGP Ingredients stock opened at $56.51 on Wednesday. The company has a quick ratio of 1.69, a current ratio of 5.07 and a debt-to-equity ratio of 0.23. The firm has a market cap of $951.54 million, a price-to-earnings ratio of 30.22 and a beta of 1.16. MGP Ingredients has a 12 month low of $53.66 and a 12 month high of $99.73.

MGP Ingredients (NASDAQ:MGPI) last announced its quarterly earnings data on Thursday, November 1st. The company reported $0.52 EPS for the quarter, beating the consensus estimate of $0.51 by $0.01. The business had revenue of $95.00 million during the quarter, compared to analyst estimates of $93.08 million. MGP Ingredients had a return on equity of 19.23% and a net margin of 10.48%. The company’s revenue for the quarter was up 10.1% on a year-over-year basis. During the same quarter last year, the firm posted $0.82 earnings per share. Sell-side analysts anticipate that MGP Ingredients will post 2.09 EPS for the current year.

The company also recently disclosed a quarterly dividend, which was paid on Friday, November 30th. Shareholders of record on Thursday, November 15th were given a dividend of $0.08 per share. This represents a $0.32 annualized dividend and a yield of 0.57%. The ex-dividend date of this dividend was Wednesday, November 14th. MGP Ingredients’s dividend payout ratio is currently 17.11%.

In other news, Director Karen Seaberg sold 7,644 shares of MGP Ingredients stock in a transaction dated Thursday, September 27th. The stock was sold at an average price of $78.69, for a total value of $601,506.36. Following the completion of the transaction, the director now owns 11,864 shares of the company’s stock, valued at approximately $933,578.16. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, insider Augustus C. Griffin purchased 2,000 shares of the stock in a transaction dated Friday, December 14th. The stock was bought at an average cost of $55.50 per share, with a total value of $111,000.00. Following the transaction, the insider now owns 122,775 shares in the company, valued at $6,814,012.50. The disclosure for this purchase can be found here. Insiders have sold 45,681 shares of company stock valued at $3,104,270 in the last three months. Insiders own 22.19% of the company’s stock.

Institutional investors and hedge funds have recently bought and sold shares of the company. Legal & General Group Plc raised its position in shares of MGP Ingredients by 9.0% in the 2nd quarter. Legal & General Group Plc now owns 25,169 shares of the company’s stock worth $2,251,000 after purchasing an additional 2,076 shares during the last quarter. Price Capital Management Inc. purchased a new position in shares of MGP Ingredients in the 3rd quarter worth about $126,000. Rhumbline Advisers raised its position in shares of MGP Ingredients by 4.4% in the 2nd quarter. Rhumbline Advisers now owns 31,088 shares of the company’s stock worth $2,761,000 after purchasing an additional 1,297 shares during the last quarter. Russell Investments Group Ltd. raised its position in shares of MGP Ingredients by 82.8% in the 3rd quarter. Russell Investments Group Ltd. now owns 27,591 shares of the company’s stock worth $2,179,000 after purchasing an additional 12,494 shares during the last quarter. Finally, BlackRock Inc. raised its position in shares of MGP Ingredients by 8.4% in the 2nd quarter. BlackRock Inc. now owns 1,782,058 shares of the company’s stock worth $158,264,000 after purchasing an additional 137,338 shares during the last quarter. 98.10% of the stock is owned by hedge funds and other institutional investors.

About MGP Ingredients

MGP Ingredients, Inc, together with its subsidiaries, produces and supplies distilled spirits, and specialty wheat proteins and starch food ingredients. It operates in two segments, Distillery Products and Ingredient Solutions. The Distillery Products segment provides food grade alcohol for beverage applications that include bourbon and rye whiskeys, as well as grain neutral spirits, including vodka and gin; and food grade industrial alcohol, which is used as an ingredient in foods, personal care products, cleaning solutions, pharmaceuticals, and various other products.

Further Reading: SEC Filing

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