West Pharmaceutical Services (NYSE:WST) Shares Gap Up Following Better-Than-Expected Earnings

West Pharmaceutical Services, Inc. (NYSE:WST) shares gapped up before the market opened on Thursday after the company announced better than expected quarterly earnings. The stock had previously closed at $286.44, but opened at $327.50. West Pharmaceutical Services shares last traded at $350.50, with a volume of 288,188 shares.

The medical instruments supplier reported $1.85 earnings per share for the quarter, topping analysts’ consensus estimates of $1.51 by $0.34. The business had revenue of $746.90 million for the quarter, compared to analysts’ expectations of $709.62 million. West Pharmaceutical Services had a return on equity of 19.17% and a net margin of 18.25%. The business’s quarterly revenue was down .1% on a year-over-year basis. During the same period in the prior year, the firm earned $2.16 EPS.

West Pharmaceutical Services Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, November 20th. Stockholders of record on Wednesday, November 13th will be given a dividend of $0.21 per share. This represents a $0.84 dividend on an annualized basis and a dividend yield of 0.27%. This is a boost from West Pharmaceutical Services’s previous quarterly dividend of $0.20. The ex-dividend date is Wednesday, November 13th. West Pharmaceutical Services’s dividend payout ratio is presently 11.08%.

Insider Transactions at West Pharmaceutical Services

In related news, VP Charles Witherspoon sold 1,029 shares of the firm’s stock in a transaction that occurred on Monday, August 19th. The stock was sold at an average price of $300.00, for a total value of $308,700.00. Following the sale, the vice president now directly owns 1,478 shares in the company, valued at $443,400. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Insiders own 0.53% of the company’s stock.

Institutional Trading of West Pharmaceutical Services

Large investors have recently added to or reduced their stakes in the business. Fidelis Capital Partners LLC acquired a new stake in West Pharmaceutical Services in the 1st quarter valued at approximately $27,000. Northwest Investment Counselors LLC acquired a new position in shares of West Pharmaceutical Services during the 3rd quarter valued at $30,000. Crewe Advisors LLC increased its position in shares of West Pharmaceutical Services by 322.7% during the 2nd quarter. Crewe Advisors LLC now owns 93 shares of the medical instruments supplier’s stock valued at $31,000 after purchasing an additional 71 shares during the period. ORG Partners LLC increased its position in shares of West Pharmaceutical Services by 820.0% during the 1st quarter. ORG Partners LLC now owns 138 shares of the medical instruments supplier’s stock valued at $55,000 after purchasing an additional 123 shares during the period. Finally, Quest Partners LLC increased its position in shares of West Pharmaceutical Services by 5,633.3% during the 2nd quarter. Quest Partners LLC now owns 172 shares of the medical instruments supplier’s stock valued at $57,000 after purchasing an additional 169 shares during the period. 93.90% of the stock is currently owned by institutional investors and hedge funds.

West Pharmaceutical Services Trading Down 6.9 %

The company has a market capitalization of $22.43 billion, a price-to-earnings ratio of 40.62, a PEG ratio of 10.21 and a beta of 1.01. The firm has a 50-day moving average price of $300.51 and a 200-day moving average price of $322.27. The company has a current ratio of 2.34, a quick ratio of 1.68 and a debt-to-equity ratio of 0.03.

About West Pharmaceutical Services

West Pharmaceutical Services, Inc designs, manufactures, and sells containment and delivery systems for injectable drugs and healthcare products in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It operates in two segments, Proprietary Products and Contract-Manufactured Products.