Posted on September 25, 2023
On September 24, 2023, it was reported that Merrion Investment Management Co LLC had acquired a new position in Tidewater Inc. (NYSE:TDW) during the second quarter. According to the company’s most recent Form 13F filing with the Securities and Exchange Commission (SEC), Merrion Investment Management purchased 4,000 shares of Tidewater’s stock, amounting to approximately $222,000.
Tidewater (NYSE:TDW) released its quarterly earnings data on August 7th, providing valuable insights into the company’s financial performance. For the quarter, Tidewater reported earnings per share of $0.46, which fell short of analysts’ consensus estimates of $0.74 by ($0.28). This discrepancy highlights a potential deviation from market expectations.
Despite falling below expectations in terms of earnings per share, Tidewater demonstrated positive net margin and return on equity figures. The company achieved a net margin of 6.27% and a return on equity of 7.21%. These metrics indicate that Tidewater effectively managed costs and generated satisfactory returns for its shareholders.
In addition to its financial results, Tidewater also disclosed its revenue for the quarter, which amounted to $214.96 million. Although this figure fell slightly short of analysts’ consensus estimate of $220.45 million, it is important to note that revenue can be subject to various factors that may impact accuracy.
Looking ahead, research analysts anticipate that Tidewater Inc. will post an earnings per share (EPS) of 3.73 for the current year. This projection provides investors with an indication of the company’s expected future performance and serves as a basis for evaluating investment opportunities.
Overall, Merrion Investment Management Co LLC’s acquisition of Tidewater shares signifies investor confidence in the oil and gas company despite its recent quarterly earnings miss. As with any investment decision, it is crucial for investors to thoroughly analyze and consider all available information, including financial reports and market trends, before making any investment choices.
Hedge Funds and Analysts Show Confidence in Tidewater Inc. as Institutional Ownership Increases
Tidewater Inc., an oil and gas company, has seen several changes to its stock positions in recent months. Hedge funds such as Price T Rowe Associates Inc. MD, BlackRock Inc., Dimensional Fund Advisors LP, Encompass Capital Advisors LLC, and State Street Corp have all made adjustments to their holdings in the company.
Price T Rowe Associates Inc. MD slightly increased its position in Tidewater during the fourth quarter of last year. They now own approximately 8,099,470 shares of the company’s stock, which is valued at around $298,466,000. Similarly, BlackRock Inc. raised its holdings by 8.4% during the third quarter and now owns approximately 2,967,847 shares worth $64,403,000.
Dimensional Fund Advisors LP also increased its position in Tidewater by 16.9% during the first quarter of this year. They now hold around 1,823,664 shares worth $80,389,000. Additionally, Encompass Capital Advisors LLC boosted their holdings by 24.7%, resulting in ownership of approximately 1,728,345 shares valued at $63,690,000.
State Street Corp also saw a significant increase in its holdings during the first quarter of this year. They now own around 1,395,610 shares worth $61,518 million after a boost of 12.9%.
It is worth noting that institutional investors and hedge funds collectively own a substantial portion of Tidewater’s stock – specifically about 84.19%. These adjustments made by major investors demonstrate their confidence and interest in the company’s future prospects.
As for the performance of Tidewater’s stock itself – on September 24th it traded at $65.91 per share during mid-day trading with a volume of 446,805 shares exchanged. The stock has experienced a one-year low of $20.02 and a one-year high of $73.16. Its 50-day simple moving average stands at $63.55, while its two-hundred-day simple moving average is $52.44.
Tidewater’s financial health seems solid, with a quick ratio of 1.88 and a current ratio of 1.99 indicating the company’s ability to meet short-term obligations efficiently. The debt-to-equity ratio stands at 0.20, reflecting a conservative level of debt relative to equity.
With a market capitalization of $3.47 billion and a P/E ratio of 70.12, Tidewater holds a prominent position in the oil and gas industry. Its beta of 1.41 suggests that the stock is relatively more volatile than the overall market.
In other news related to Tidewater, Director Robert Robotti recently acquired an additional 1,135 shares of the company’s stock in July this year at an average cost of $57.06 per share – totaling approximately $64,763.10 for the transaction. Following this acquisition, Robotti now owns impressive 3,026,792 shares valued at $172,708,751.
On the other hand, CFO Samuel R. Rubio sold 21,788 shares on August 14th at an average price of $62.37 per share – totaling approximately $1,358,917.56 for the transaction- which reduces his direct ownership to 117,677 shares valued at $7,339,514.
Overall insider activity shows that corporate insiders have purchased a total of 168,519 shares worth around $10,531,632 over the last ninety days – representing approximately 9.59% of the total outstanding stock.
Several equities analysts have provided their insights on Tidewater’s stock as well: Raymond James issued a “strong-buy” rating with a price target of $85; Evercore ISI assigned an “outperform” rating with a target price of $90; TheStreet upgraded the stock from “c+” to “b-“; BTIG Research raised their target price to $91 and gave the company a “buy” rating. Finally, StockNews.com has issued a “hold” rating on Tidewater’s stock.
In summary, Tidewater Inc. has experienced changes in its stock positions from various hedge funds over recent months. With a notable percentage of institutional ownership and positive analyst ratings, it seems that investors have shown confidence in the company’s future prospects. However, potential investors should conduct thorough research and analysis before making any investment decisions.
