Ducommun (NYSE:DCO) Reaches New 1-Year High on Strong Earnings

Ducommun Incorporated (NYSE:DCO)’s stock price reached a new 52-week high on Wednesday following a better than expected earnings announcement. The stock traded as high as $60.00 and last traded at $56.00, with a volume of 20564 shares. The stock had previously closed at $55.18.

The aerospace company reported $0.70 EPS for the quarter, beating analysts’ consensus estimates of $0.52 by $0.18. The firm had revenue of $190.90 million for the quarter, compared to analysts’ expectations of $189.20 million. Ducommun had a return on equity of 5.94% and a net margin of 2.10%. Ducommun’s quarterly revenue was up 5.4% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.63 EPS.

Analyst Ratings Changes

DCO has been the topic of a number of analyst reports. Royal Bank of Canada reiterated an “outperform” rating and set a $60.00 target price on shares of Ducommun in a report on Friday, February 16th. Truist Financial decreased their price objective on Ducommun from $69.00 to $65.00 and set a “buy” rating on the stock in a report on Friday, February 16th. B. Riley restated a “buy” rating and set a $72.00 price objective on shares of Ducommun in a report on Friday, February 16th. Finally, StockNews.com upgraded Ducommun from a “hold” rating to a “buy” rating in a report on Thursday. One equities research analyst has rated the stock with a hold rating and five have given a buy rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $62.80.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the stock. Paradigm Capital Management Inc. NY raised its position in Ducommun by 33.0% in the third quarter. Paradigm Capital Management Inc. NY now owns 1,420,200 shares of the aerospace company’s stock valued at $61,793,000 after purchasing an additional 352,185 shares during the period. Dimensional Fund Advisors LP raised its position in Ducommun by 1.8% in the fourth quarter. Dimensional Fund Advisors LP now owns 1,016,433 shares of the aerospace company’s stock valued at $52,916,000 after purchasing an additional 17,897 shares during the period. Vanguard Group Inc. raised its position in Ducommun by 8.1% in the third quarter. Vanguard Group Inc. now owns 723,575 shares of the aerospace company’s stock valued at $31,483,000 after purchasing an additional 54,228 shares during the period. William Blair Investment Management LLC raised its position in Ducommun by 3.0% in the third quarter. William Blair Investment Management LLC now owns 479,006 shares of the aerospace company’s stock valued at $20,842,000 after purchasing an additional 13,858 shares during the period. Finally, GW&K Investment Management LLC purchased a new position in Ducommun in the fourth quarter valued at about $13,699,000. 92.15% of the stock is owned by hedge funds and other institutional investors.

Ducommun Stock Performance

The firm has a market capitalization of $837.26 million, a PE ratio of 49.73 and a beta of 1.26. The company has a debt-to-equity ratio of 0.40, a current ratio of 2.99 and a quick ratio of 1.91. The stock has a 50-day moving average price of $52.06 and a 200-day moving average price of $50.65.

About Ducommun

Ducommun Incorporated provides engineering and manufacturing services for products and applications used primarily in the aerospace and defense, industrial, medical, and other industries in the United States. The company operates through two segments, Electronic Systems and Structural Systems. The Electronic Systems segment provides cable assemblies and interconnect systems; printed circuit board assemblies; electronic, electromechanical, and mechanical components and assemblies, as well as lightning diversion systems; and radar enclosures, aircraft avionics racks, shipboard communications and control enclosures, printed circuit board assemblies, cable assemblies, wire harnesses, interconnect systems, lightning diversion strips, surge suppressors, conformal shields, and other assemblies.