Otter Tail (NASDAQ:OTTR) Cut to Sell at StockNews.com

StockNews.com downgraded shares of Otter Tail (NASDAQ:OTTR) from a hold rating to a sell rating in a research report sent to investors on Wednesday.

Otter Tail Stock Performance

Shares of OTTR stock traded down $3.43 during midday trading on Wednesday, hitting $79.06. 608,343 shares of the company were exchanged, compared to its average volume of 279,585. The firm has a market capitalization of $3.31 billion, a P/E ratio of 10.92 and a beta of 0.52. The company has a debt-to-equity ratio of 0.58, a quick ratio of 1.67 and a current ratio of 2.17. The firm’s 50 day moving average price is $78.62 and its two-hundred day moving average price is $85.63. Otter Tail has a 52 week low of $73.43 and a 52 week high of $100.84.

Otter Tail (NASDAQ:OTTR) last announced its earnings results on Monday, November 4th. The utilities provider reported $2.03 EPS for the quarter, topping the consensus estimate of $1.97 by $0.06. The business had revenue of $338.03 million during the quarter, compared to the consensus estimate of $362.20 million. Otter Tail had a net margin of 22.70% and a return on equity of 19.84%. During the same quarter in the previous year, the firm posted $2.19 EPS. As a group, equities research analysts anticipate that Otter Tail will post 7.01 earnings per share for the current year.

Otter Tail Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 10th. Shareholders of record on Friday, November 15th will be issued a $0.468 dividend. This represents a $1.87 dividend on an annualized basis and a yield of 2.37%. The ex-dividend date of this dividend is Friday, November 15th. Otter Tail’s dividend payout ratio is currently 25.83%.

Insider Activity

In other news, VP Jennifer O. Smestad sold 4,000 shares of the business’s stock in a transaction that occurred on Tuesday, August 13th. The shares were sold at an average price of $88.74, for a total value of $354,960.00. Following the completion of the transaction, the vice president now directly owns 12,300 shares in the company, valued at approximately $1,091,502. The trade was a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 2.30% of the company’s stock.

Hedge Funds Weigh In On Otter Tail

A number of institutional investors have recently added to or reduced their stakes in the stock. Creative Planning increased its position in Otter Tail by 2.2% during the 2nd quarter. Creative Planning now owns 6,281 shares of the utilities provider’s stock worth $550,000 after purchasing an additional 137 shares in the last quarter. Foster & Motley Inc. increased its position in Otter Tail by 1.5% during the 2nd quarter. Foster & Motley Inc. now owns 9,855 shares of the utilities provider’s stock worth $863,000 after purchasing an additional 149 shares in the last quarter. GAMMA Investing LLC increased its position in Otter Tail by 46.3% during the 2nd quarter. GAMMA Investing LLC now owns 657 shares of the utilities provider’s stock worth $58,000 after purchasing an additional 208 shares in the last quarter. Arizona State Retirement System increased its position in Otter Tail by 2.0% in the 2nd quarter. Arizona State Retirement System now owns 10,525 shares of the utilities provider’s stock valued at $922,000 after acquiring an additional 208 shares during the period. Finally, Los Angeles Capital Management LLC increased its position in Otter Tail by 1.3% in the 2nd quarter. Los Angeles Capital Management LLC now owns 21,091 shares of the utilities provider’s stock valued at $1,847,000 after acquiring an additional 265 shares during the period. 61.32% of the stock is currently owned by institutional investors and hedge funds.

Otter Tail Company Profile

Otter Tail Corporation, together with its subsidiaries, engages in electric utility, manufacturing, and plastic pipe businesses in the United States. It operates through three segments: Electric, Manufacturing, and Plastics. The Electric segment produces, transmits, distributes, and sells electric energy in Minnesota, North Dakota, and South Dakota; and operates as a participant in the Midcontinent Independent System Operator markets.