Shares of Blue Bird Corporation (NASDAQ:BLBD) experienced a notable increase of 8.1% during trading on Thursday, driven by the release of a stronger than expected earnings report. The stock peaked at $54.00 before settling at $53.71 by the end of the trading session, significantly up from its previous close of $49.69. Approximately 146,056 shares changed hands, a marked decline of 66% from the average trading volume of 433,577 shares.
The company reported earnings of $1.00 per share for the quarter, exceeding analysts’ consensus estimates of $0.80 by $0.20. Blue Bird also reported a net margin of 8.63% and a return on equity of 62.87%. With total revenue reaching $333.08 million, the company surpassed the consensus estimate of $325.74 million. This performance reflects a 6.1% increase in revenue compared to the same quarter in the previous year when earnings per share stood at $0.92.
Recent Insider Transactions
In related news, significant insider trading activity has been observed. Phil Horlock, a director at the company, sold 15,381 shares on December 12 at an average price of $50.42, resulting in a total transaction value of $775,510.02. After this sale, Horlock retains 225,385 shares, valued at about $11,363,911.70. This transaction represents a 6.39% reduction in his ownership of the company’s stock.
Additionally, Razvan Radulescu, the Chief Financial Officer, sold 7,984 shares on December 10 at an average price of $50.39, bringing in $402,313.76. Post-transaction, Radulescu owns 49,087 shares valued at approximately $2,473,493.93, indicating a 13.99% decrease in his stake. Both transactions have been disclosed in filings with the Securities and Exchange Commission.
Institutional Investor Activity
The stock has attracted interest from various institutional investors recently. Independent Advisor Alliance increased its position in Blue Bird by 38.0% in the fourth quarter, now holding 7,660 shares valued at $360,000. Similarly, VIRGINIA RETIREMENT SYSTEMS expanded its holdings by 18.9%, acquiring an additional 4,800 shares to total 30,200 shares valued at $1,419,000.
Other notable transactions include HighPoint Advisor Group LLC, which increased its stake by 49.7%, and Truist Financial Corp, which boosted its holdings by 45.3%. Collectively, hedge funds and institutional investors control approximately 93.59% of Blue Bird’s stock.
The company’s financial health is reflected in its debt-to-equity ratio of 0.33, a current ratio of 1.74, and a quick ratio of 1.15. With a market capitalization of $1.72 billion, Blue Bird maintains a price-to-earnings ratio of 14.03, and a price-to-earnings-growth ratio of 2.49. The stock currently has a 50-day moving average price of $50.01 and a 200-day moving average price of $52.45.
Founded in 1927 and headquartered in Fort Valley, Georgia, Blue Bird Corporation is a leading manufacturer of buses and mass transportation vehicles. The company specializes in designing, engineering, and producing various types of school and activity buses, including zero-emission electric models, reflecting its commitment to sustainability and advanced propulsion technologies.
