Pacer Advisors Inc. has significantly reduced its ownership in Daktronics, Inc. (NASDAQ: DAKT) by 39.1% during the third quarter of 2023. According to the firm’s latest disclosure to the Securities and Exchange Commission, Pacer Advisors now holds 163,894 shares of Daktronics, following the sale of 105,442 shares during this period. At the close of the reporting period, these holdings were valued at approximately $3.4 million, which constitutes around 0.34% of Daktronics’ total shares.
Other institutional investors have also adjusted their positions in Daktronics. American Century Companies Inc. increased its stake by 7.0% during the second quarter, acquiring an additional 105,313 shares to bring its total holdings to 1,619,937 shares, valued at $24.5 million. Similarly, Wealth Enhancement Advisory Services LLC raised its holdings by 3.2%, now owning 76,599 shares worth about $1.2 million.
In further moves, Inspire Investing LLC boosted its position by an impressive 206.3% during the same quarter, increasing its ownership to 86,188 shares, valued at approximately $1.3 million. Breach Inlet Capital Management LLC also made a substantial investment, increasing its stake by 82.6% to hold 1,656,758 shares, valued at $20.2 million after acquiring 749,444 shares. Lastly, CSM Advisors LLC entered the market with a new stake valued at about $6.2 million. Collectively, institutional investors now own 61.69% of Daktronics.
Analyst Ratings and Stock Performance
Recent evaluations from equity analysts show mixed sentiments towards Daktronics. Weiss Ratings maintained a “hold (c)” rating in a report issued on a Monday, while Wall Street Zen upgraded the stock from a “buy” to a “strong-buy” rating on September 14. Conversely, Zacks Research downgraded Daktronics from a “strong-buy” to a “hold” rating on November 10. Currently, one analyst has assigned a Buy rating, while two others suggest holding the stock. According to data from MarketBeat, Daktronics has an average rating of “Hold” with a consensus price target of $26.00.
As of December 10, 2023, Daktronics shares opened at $19.61. The company boasts a market capitalization of $955.99 million and a price-to-earnings (P/E) ratio of 150.86. Its financial health is indicated by a debt-to-equity ratio of 0.18, a current ratio of 2.23, and a quick ratio of 1.71. The stock’s performance has seen significant fluctuations within the past year, with a low of $10.24 and a high of $24.38.
In its most recent quarterly earnings report, Daktronics outperformed expectations by reporting earnings per share (EPS) of $0.35, surpassing the consensus estimate of $0.27 by $0.08. The firm reported revenues of $229.25 million, exceeding analysts’ predictions of $213.93 million. The company achieved a return on equity of 15.42% and recorded a net margin of 0.96%. Analysts anticipate that Daktronics will report an EPS of 0.96 for the current fiscal year.
Company Overview
Founded in 1968 in Brookings, South Dakota, Daktronics, Inc. is a leading designer and manufacturer of electronic display systems, video boards, scoreboards, and related control systems. The company, initially established by Al Kurtenbach and Duane Sander, has earned a solid reputation for delivering custom visual display solutions across various markets. Its product line includes large-format LED video displays, programmable message centers, digital billboards, and audio-visual solutions tailored for sports venues, transportation authorities, retail environments, and live event producers. Daktronics’ primary operations involve the engineering, fabrication, and installation of display systems for customers worldwide.
