Lakeland Industries Inc. [NASDAQ: LAKE] price plunged by -0.71 percent to reach at -$0.18. The company report on July 1, 2020 that Lakeland Industries Announces New Credit Facility with Bank of America.
DECATUR, AL / ACCESSWIRE / July 1, 2020 / Lakeland Industries, Inc. (LAKE) (the “Company” or “Lakeland”), a leading global manufacturer of protective clothing for industry, healthcare and to first responders on the federal, state and local levels, today announced that it has established a new credit facility with Bank of America. The new facility consists of a senior secured $12.5 million revolving credit facility, which includes a $5 million letter of credit sub-facility and an option to convert up to $5 million of the revolving credit facility into a term loan facility. The facility also includes an accordion feature under which the Company may request from time to time an increase in the revolving commitment of up to $5 million (for a total commitment of up to $17.5 million). The facility will mature on June 25, 2025. Terms of the new facility are more completely discussed in the Company’s Form 8-K filed with the Securities and Exchange Commission.
Allen E. Dillard, Chief Financial Officer of Lakeland Industries, stated, “We look forward to our new banking relationship with Bank of America. While Lakeland’s financial condition has substantially improved over the past five years as evidenced by our net cash position increasing to $23.3 million at April 30, 2020 as compared with net debt of $4.3 million at April 30, 2015, we have aligned the size of our new credit facility to reflect our current capital requirements while incorporating expansion flexibility. At the same time, we will receive improved pricing, decreased administration, and will have access to Bank of America’s global platform for cash management. This facility and its enhanced features reflect our efforts to optimize all aspects of our business and financial operations aimed at better supporting our continued worldwide growth.”.
A sum of 1898409 shares traded at recent session while its average daily volume was at 1.04M shares. Lakeland Industries Inc. shares reached a high of $27.68 and dropped to a low of $24.56 until finishing in the latest session at $25.12.
The one-year LAKE stock forecast points to a potential upside of 11.33. The average equity rating for LAKE stock is currently 2.00, trading closer to a bullish pattern in the stock market.
Guru’s Opinion on Lakeland Industries Inc. [LAKE]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for LAKE shares is $28.33 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on LAKE stock is a recommendation set at 2.00. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
The Benchmark Company have made an estimate for Lakeland Industries Inc. shares, keeping their opinion on the stock as Buy, with their previous recommendation back on June 09, 2020. While these analysts kept the previous recommendation, ROTH Capital raised their target price to Buy. The new note on the price target was released on April 15, 2020, representing the official price target for Lakeland Industries Inc. stock. Previously, the target price had yet another raise to $18, while ROTH Capital analysts kept a Buy rating on LAKE stock.
The Average True Range (ATR) for Lakeland Industries Inc. is set at 1.58, with the Price to Sales ratio for LAKE stock in the period of the last 12 months amounting to 1.56. The Price to Book ratio for the last quarter was 2.14, with the Price to Cash per share for the same quarter was set at 2.94. Price to Free Cash Flow for LAKE in the course of the last twelve months was 17.92 with Quick ratio for the last quarter at 4.10.
LAKE Stock Performance Analysis:
Lakeland Industries Inc. [LAKE] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 7.90. With this latest performance, LAKE shares gained by 7.49% in over the last four-week period, additionally plugging by 99.37% over the last 6 months – not to mention a rise of 130.46% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for LAKE stock in for the last two-week period is set at 66.14, with the RSI for the last a single of trading hit 67.76, and the three-weeks RSI is set at 63.03 for Lakeland Industries Inc. [LAKE]. The present Moving Average for the last 50 days of trading for this stock 20.88, while it was recorded at 24.35 for the last single week of trading, and 15.05 for the last 200 days.
Insight into Lakeland Industries Inc. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Lakeland Industries Inc. [LAKE] shares currently have an operating margin of +5.45 and a Gross Margin at +32.74. Lakeland Industries Inc.’s Net Margin is presently recorded at +3.04.
Return on Total Capital for LAKE is now 6.79, given the latest momentum, and Return on Invested Capital for the company is 3.84. Return on Equity for this stock inclined to 3.90, with Return on Assets sitting at 3.38. When it comes to the capital structure of this company, Lakeland Industries Inc. [LAKE] has a Total Debt to Total Equity ratio set at 4.00. Additionally, LAKE Total Debt to Total Capital is recorded at 3.85, with Total Debt to Total Assets ending up at 3.42. Long-Term Debt to Equity for the company is recorded at 1.66, with the Long-Term Debt to Total Capital now at 1.60.
Reflecting on the efficiency of the workforce at the company, Lakeland Industries Inc. [LAKE] managed to generate an average of $1,794 per employee. Receivables Turnover for the company is 6.29 with a Total Asset Turnover recorded at a value of 1.11.Lakeland Industries Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 4.10 and a Current Ratio set at 7.00.
LAKE Stock EPS
With the latest financial reports released by the company, Lakeland Industries Inc. posted 0.17/share EPS, while the average EPS was predicted by analysts to be reported at 0.03/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 466.70%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for LAKE. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Lakeland Industries Inc. go to 10.00%.
Lakeland Industries Inc. [LAKE] Insider Position Details
There are presently around $100 million, or 52.90% of LAKE stock, in the hands of institutional investors. The top three institutional holders of LAKE stocks are: RENAISSANCE TECHNOLOGIES LLC with ownership of 640,402, which is approximately 14.461% of the company’s market cap and around 2.60% of the total institutional ownership; DIMENSIONAL FUND ADVISORS LP, holding 607,930 shares of the stock with an approximate value of $15.27 million in LAKE stocks shares; and WELLINGTON MANAGEMENT GROUP LLP, currently with $14.8 million in LAKE stock with ownership of nearly New of the company’s market capitalization.
Positions in Lakeland Industries Inc. stocks held by institutional investors increased at the end of June and at the time of the June reporting period, where 42 institutional holders increased their position in Lakeland Industries Inc. [NASDAQ:LAKE] by around 1,820,266 shares. Additionally, 26 investors decreased positions by around 2,354,428 shares, while 4 investors held positions by with 202,721 shares. The mentioned changes placed institutional holdings at 3,971,973 shares, according to the latest SEC report filing. LAKE stock had 29 new institutional investments in for a total of 1,283,985 shares, while 16 institutional investors sold positions of 634,119 shares during the same period.