Enersys (NYSE:ENS) achieved a significant milestone on Monday, reaching a new 52-week high of $161.31 during mid-day trading. The stock closed at $160.1490, with a trading volume of 71,288 shares, compared to its previous close of $158.29.
Analysts have been closely monitoring Enersys, with several recent reports reflecting a positive outlook. On October 30, 2023, Weiss Ratings reaffirmed a “buy (B)” rating for the company. Subsequently, Wall Street Zen upgraded Enersys from a “buy” to a “strong-buy” rating in a research note on November 8, 2023. Oppenheimer also expressed confidence in the stock, maintaining an “outperform” rating on November 7, 2023. In contrast, Zacks Research lowered its rating from “strong-buy” to “hold” on January 6, 2024. Overall, five analysts recommend a buy, while one maintains a hold, leading to an average rating of “Moderate Buy” with a target price of $126.00, according to MarketBeat.
Recent Earnings and Future Guidance
Enersys released its latest earnings report on November 5, 2023, revealing earnings per share (EPS) of $2.56 for the quarter. This figure surpassed analysts’ consensus estimates of $2.36 by $0.20. The company reported a net margin of 9.05% and a return on equity of 22.48%. Revenue for the quarter reached $951.30 million, significantly exceeding the anticipated $890.27 million. This marks a 7.6% increase in revenue compared to the same period last year, when the company posted an EPS of $2.12. Looking forward, Enersys has set its guidance for Q3 2026 at an EPS range of 2.710 to 2.81. Analysts project an average EPS of 9.99 for the current year.
Dividend Announcements and Insider Activity
In addition to its strong earnings report, Enersys announced a quarterly dividend of $0.2625 per share, paid on December 26, 2023, to investors of record as of December 12, 2023. This dividend represents an annualized yield of 0.6% and a payout ratio of 12.28%.
In other corporate developments, insider Chad C. Uplinger sold 6,702 shares of Enersys on December 10, 2023, at an average price of $151.46, amounting to a total transaction value of approximately $1,015,084.92. Following this transaction, Uplinger retained 23,713 shares in the company, valued at around $3,591,570.98. This sale reflects a 22.04% decrease in Uplinger’s ownership stake. The transaction was disclosed to the Securities and Exchange Commission and can be reviewed on their website. Currently, insiders hold approximately 0.91% of the company’s stock.
Institutional investors have also been active in altering their positions in Enersys. Invesco Ltd. increased its holdings by 5.9% during the third quarter, now owning 1,158,838 shares worth approximately $130.9 million after acquiring an additional 64,503 shares. Geode Capital Management LLC raised its position by 2.4%, securing 989,020 shares valued at $84.84 million. First Trust Advisors LP boosted its stake by 9.4%, while New South Capital Management Inc. lifted its holdings by 22.6%. Boston Partners also grew its position by 4.7%. Collectively, institutional investors own 94.93% of Enersys’s stock.
Enersys, headquartered in Reading, Pennsylvania, is recognized as a global leader in stored energy solutions. The company specializes in manufacturing and distributing industrial batteries, battery chargers, and related accessories, serving a wide array of sectors including telecommunications, medical, aerospace, and electric vehicles. With a diverse product portfolio that includes lead-acid batteries and lithium-ion energy storage systems, Enersys continues to play a vital role in critical power applications across various industries.
