Lancaster Colony (NASDAQ:LANC) Trading 9.6% Higher Following Earnings Beat

Shares of Lancaster Colony Co. (NASDAQ:LANC) were up 9.6% during trading on Tuesday after the company announced better than expected quarterly earnings. The stock traded as high as $181.44 and last traded at $182.41. Approximately 26,362 shares were traded during mid-day trading, a decline of 80% from the average daily volume of 131,905 shares. The stock had previously closed at $166.50.

The company reported $2.22 EPS for the quarter, beating the consensus estimate of $1.94 by $0.28. Lancaster Colony had a net margin of 8.49% and a return on equity of 19.01%.

Lancaster Colony Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, December 31st. Investors of record on Thursday, December 5th were given a $0.95 dividend. This represents a $3.80 annualized dividend and a dividend yield of 2.06%. The ex-dividend date was Thursday, December 5th. This is an increase from Lancaster Colony’s previous quarterly dividend of $0.90. Lancaster Colony’s dividend payout ratio is 65.74%.

Analysts Set New Price Targets

Several equities research analysts recently commented on LANC shares. Loop Capital reduced their price target on shares of Lancaster Colony from $232.00 to $227.00 and set a “buy” rating for the company in a research report on Friday, November 1st. Stephens reiterated an “equal weight” rating and issued a $196.00 price objective on shares of Lancaster Colony in a research note on Tuesday, November 19th. Finally, Benchmark reiterated a “hold” rating on shares of Lancaster Colony in a research note on Tuesday, November 19th.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in LANC. AQR Capital Management LLC increased its stake in shares of Lancaster Colony by 36.5% during the 2nd quarter. AQR Capital Management LLC now owns 16,811 shares of the company’s stock worth $3,168,000 after purchasing an additional 4,493 shares during the last quarter. Millennium Management LLC increased its stake in shares of Lancaster Colony by 1,055.2% during the 2nd quarter. Millennium Management LLC now owns 36,090 shares of the company’s stock worth $6,820,000 after purchasing an additional 32,966 shares during the last quarter. Creative Planning increased its stake in shares of Lancaster Colony by 6.6% during the 2nd quarter. Creative Planning now owns 4,138 shares of the company’s stock worth $782,000 after purchasing an additional 258 shares during the last quarter. Sanctuary Advisors LLC acquired a new position in shares of Lancaster Colony during the 2nd quarter worth $480,000. Finally, Handelsbanken Fonder AB increased its stake in shares of Lancaster Colony by 34.2% during the 3rd quarter. Handelsbanken Fonder AB now owns 6,272 shares of the company’s stock worth $1,107,000 after purchasing an additional 1,600 shares during the last quarter. Institutional investors and hedge funds own 66.44% of the company’s stock.

Lancaster Colony Stock Performance

The company’s 50 day moving average price is $178.08 and its 200 day moving average price is $181.01. The company has a market cap of $5.09 billion, a price-to-earnings ratio of 31.79 and a beta of 0.35.

About Lancaster Colony

Lancaster Colony Corporation engages in the manufacturing and marketing of specialty food products for the retail and foodservice channels in the United States. It operates in two segments, Retail and Foodservice. The company offers frozen garlic bread under the New York BRAND Bakery; frozen Parkerhouse style yeast and dinner rolls under the Sister Schubert's brand; salad dressings under the Marzetti, Simply Dressed, Cardini's, and Girard's brands; vegetable and fruit dips under the Marzetti brand; croutons and salad toppings under the New York BRAND Bakery, Chatham Village, and Marzetti brands; and frozen pasta under the Marzetti Frozen Pasta brand.