Steelcase (NYSE:SCS) Rating Lowered to Sell at Zacks Investment Research

Zacks Investment Research cut shares of Steelcase (NYSE:SCS) from a hold rating to a sell rating in a research note issued to investors on Tuesday morning, Zacks.com reports.

According to Zacks, “Steelcase Inc. is a designer and manufacturer of products used to create high-performance work environments. Its product portfolio includes furniture systems, seating, storage, desks, casegoods, interior architectural products, technology products and related products and services. The company reports two geographic furniture segments: North America and International. “

Separately, Raymond James raised Steelcase from an outperform rating to a strong-buy rating and boosted their target price for the stock from $20.00 to $21.00 in a research note on Thursday, March 21st. One analyst has rated the stock with a sell rating, one has issued a hold rating, one has issued a buy rating and one has given a strong buy rating to the stock. The stock presently has an average rating of Buy and an average target price of $19.00.

Shares of NYSE SCS opened at $16.65 on Tuesday. The company has a debt-to-equity ratio of 0.78, a quick ratio of 1.22 and a current ratio of 1.57. The firm has a market capitalization of $1.89 billion, a P/E ratio of 13.88 and a beta of 1.32. Steelcase has a 12 month low of $13.10 and a 12 month high of $19.35. The business’s 50-day simple moving average is $16.80.

Steelcase (NYSE:SCS) last issued its earnings results on Wednesday, June 19th. The business services provider reported $0.15 EPS for the quarter, missing the Thomson Reuters’ consensus estimate of $0.19 by ($0.04). The business had revenue of $824.30 million for the quarter, compared to analyst estimates of $839.07 million. Steelcase had a return on equity of 16.35% and a net margin of 3.61%. The firm’s revenue was up 9.3% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.14 EPS. As a group, equities research analysts forecast that Steelcase will post 1.28 EPS for the current year.

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, July 16th. Stockholders of record on Monday, July 1st will be paid a $0.145 dividend. This represents a $0.58 annualized dividend and a dividend yield of 3.48%. The ex-dividend date of this dividend is Friday, June 28th. Steelcase’s dividend payout ratio is currently 48.33%.

In other news, Director P Craig Welch, Jr. sold 200,000 shares of the company’s stock in a transaction that occurred on Wednesday, May 1st. The stock was sold at an average price of $17.09, for a total value of $3,418,000.00. Following the completion of the transaction, the director now owns 88,730 shares of the company’s stock, valued at $1,516,395.70. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, VP Allan W. Smith, Jr. sold 12,233 shares of the company’s stock in a transaction that occurred on Wednesday, May 1st. The shares were sold at an average price of $17.15, for a total value of $209,795.95. Following the completion of the transaction, the vice president now directly owns 29,600 shares of the company’s stock, valued at approximately $507,640. The disclosure for this sale can be found here. Corporate insiders own 17.58% of the company’s stock.

Several institutional investors have recently added to or reduced their stakes in SCS. Norges Bank acquired a new position in shares of Steelcase in the fourth quarter valued at approximately $29,625,000. Intrinsic Edge Capital Management LLC bought a new position in shares of Steelcase during the 4th quarter worth approximately $13,327,000. Bank of America Corp DE boosted its holdings in shares of Steelcase by 294.2% during the 4th quarter. Bank of America Corp DE now owns 933,797 shares of the business services provider’s stock worth $13,848,000 after buying an additional 696,906 shares in the last quarter. BlackRock Inc. boosted its holdings in shares of Steelcase by 7.4% during the 4th quarter. BlackRock Inc. now owns 6,279,610 shares of the business services provider’s stock worth $93,126,000 after buying an additional 432,754 shares in the last quarter. Finally, American Century Companies Inc. bought a new position in shares of Steelcase during the 4th quarter worth approximately $6,215,000. 66.17% of the stock is owned by institutional investors.

Steelcase Company Profile

Steelcase Inc manufactures and sells integrated furniture settings, user-centered technologies, and interior architectural products. It operates through Americas, EMEA, and Other Category segments. The company's furniture portfolio includes panel, fence and beam-based furniture systems, storage products, fixed and height-adjustable desks, benches, and tables, as well as complementary products, including worktools.

Further Reading: What are retained earnings?

Get a free copy of the Zacks research report on Steelcase (SCS)

For more information about research offerings from Zacks Investment Research, visit Zacks.com

Receive News & Ratings for Steelcase Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Steelcase and related companies with MarketBeat.com's FREE daily email newsletter.