Cadre (NYSE:CDRE) Shares Gap Down on Disappointing Earnings

Cadre Holdings, Inc. (NYSE:CDRE)’s stock price gapped down before the market opened on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $34.35, but opened at $31.00. Cadre shares last traded at $30.74, with a volume of 260,051 shares traded.

The company reported $0.18 EPS for the quarter, missing analysts’ consensus estimates of $0.25 by ($0.07). Cadre had a return on equity of 21.85% and a net margin of 8.01%. The company had revenue of $137.86 million for the quarter, compared to analyst estimates of $127.99 million. During the same period in the prior year, the firm posted $0.19 earnings per share. The business’s quarterly revenue was up 23.4% compared to the same quarter last year.

Cadre Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, May 17th. Shareholders of record on Friday, May 3rd will be paid a $0.0875 dividend. This represents a $0.35 dividend on an annualized basis and a yield of 1.15%. The ex-dividend date of this dividend is Thursday, May 2nd. Cadre’s dividend payout ratio is presently 34.31%.

Analyst Upgrades and Downgrades

CDRE has been the subject of several recent analyst reports. Roth Mkm restated a “buy” rating and set a $43.00 target price (up previously from $38.00) on shares of Cadre in a research note on Wednesday, March 6th. Raymond James downgraded Cadre from an “outperform” rating to a “market perform” rating in a research note on Monday, January 22nd. Stephens boosted their price objective on Cadre from $36.00 to $40.00 and gave the company an “overweight” rating in a research note on Friday, February 16th. B. Riley reaffirmed a “buy” rating and issued a $48.00 target price (up from $40.00) on shares of Cadre in a report on Wednesday, March 6th. Finally, Stifel Nicolaus raised their price objective on shares of Cadre from $33.00 to $34.00 and gave the stock a “hold” rating in a research report on Wednesday, March 6th. Two investment analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $41.25.

Insider Buying and Selling at Cadre

In other news, CEO Warren B. Kanders sold 1,438,127 shares of the firm’s stock in a transaction that occurred on Tuesday, March 19th. The stock was sold at an average price of $35.00, for a total value of $50,334,445.00. Following the completion of the sale, the chief executive officer now directly owns 12,184,918 shares of the company’s stock, valued at approximately $426,472,130. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. 49.20% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Legato Capital Management LLC acquired a new position in Cadre in the 4th quarter valued at $245,000. FMR LLC lifted its holdings in shares of Cadre by 12.4% during the 3rd quarter. FMR LLC now owns 5,637,904 shares of the company’s stock worth $150,250,000 after acquiring an additional 621,116 shares during the period. Oak Ridge Investments LLC acquired a new stake in shares of Cadre in the fourth quarter worth approximately $1,930,000. Vanguard Group Inc. grew its holdings in Cadre by 2.0% in the third quarter. Vanguard Group Inc. now owns 931,296 shares of the company’s stock valued at $24,819,000 after purchasing an additional 18,173 shares during the period. Finally, SG Americas Securities LLC acquired a new position in Cadre during the fourth quarter worth approximately $229,000. 43.95% of the stock is currently owned by institutional investors and hedge funds.

Cadre Stock Performance

The stock’s fifty day simple moving average is $35.14 and its two-hundred day simple moving average is $33.40. The company has a market cap of $1.23 billion, a price-to-earnings ratio of 31.02, a price-to-earnings-growth ratio of 1.80 and a beta of 1.35. The company has a debt-to-equity ratio of 0.65, a quick ratio of 1.73 and a current ratio of 2.58.

About Cadre

Cadre Holdings, Inc manufactures and distributes safety that provides protection to users in hazardous or life-threatening situations in the United States and internationally. The company operates in two segments, Products and Distribution. It offers body armor product, such as concealable, corrections, and tactical armor under the Safariland and Protech Tactical brand names; survival suits, remotely operated vehicles, specialty tools, blast sensors, accessories, and vehicle blast attenuation seats for bomb safety technicians; bomb suits; duty gear, including belts and accessories; and other protective equipment comprising communications gear, forensic and investigation products, firearms cleaning solutions, and crowd control products.