BlackRock Inc. (Trades, Portfolio), a leading global investment management corporation, has recently increased its stake in The Toro Co., a prominent manufacturer of turf maintenance and landscaping equipment. This article provides an in-depth analysis of the transaction, the profiles of both BlackRock Inc. (Trades, Portfolio) and The Toro Co., and the potential implications of this acquisition on the stock market.
Details of the Transaction
On July 31, 2023, BlackRock Inc. (Trades, Portfolio) added 166,266 shares of The Toro Co. to its portfolio at a price of $101.65 per share. This transaction increased BlackRock's total holdings in The Toro Co. to 10,401,078 shares, representing 10% of the company's stock. Despite the significant share change, the impact on BlackRock's portfolio was minimal, with the position in The Toro Co. accounting for just 0.03% of its total holdings.
Profile of BlackRock Inc. (Trades, Portfolio)
Founded in 1988, BlackRock Inc. (Trades, Portfolio) has grown to become a significant presence in virtually every financial market worldwide. The firm operates through hundreds of subsidiaries and has 21 investment centers and 70 offices in 30 countries. BlackRock's top holdings include tech giants such as Apple Inc., Amazon.com Inc., Alphabet Inc., Microsoft Corp., and NVIDIA Corp. The firm's equity stands at a staggering $3,388.31 trillion, with a strong focus on the technology and healthcare sectors. 
Profile of The Toro Co.
The Toro Co., based in the USA, is a leading manufacturer of turf maintenance and landscaping equipment. The company, which went public on December 15, 1983, operates in the professional and residential segments, as well as other related areas. With a market capitalization of $10.61 billion, The Toro Co.'s stock is currently priced at $102.07, representing a modest undervaluation according to the GF Value Rank. The company's GF Score of 99/100 indicates a high potential for outperformance. 
Stock Performance Analysis
Since its IPO, The Toro Co.'s stock has seen a remarkable increase of 13,330.26%. However, the year-to-date performance shows a decline of 9.82%. The company's Financial Strength is rated 7/10, while its Profitability Rank and Growth Rank both stand at a perfect 10/10. The Toro Co.'s Momentum Rank is 8/10, indicating a strong upward trend.
Financial Health Indicators
The Toro Co.'s financial health is robust, with a Piotroski F-Score of 8 and an Altman Z score of 5.60. The company's interest coverage ratio is 13.50, and its cash to debt ratio is 0.14. The Toro Co.'s return on equity (ROE) is 37.65%, and its return on assets (ROA) is 14.47%.
Momentum and Predictability
The Toro Co.'s momentum indices and RSI values indicate a positive trend. The company's 5-day RSI is 56.47, its 9-day RSI is 53.77, and its 14-day RSI is 52.94. However, the company's predictability rank is not available.
Other Gurus' Involvement
BlackRock Inc. (Trades, Portfolio) is not the only guru holding The Toro Co.'s stock. Other notable investors include Ron Baron (Trades, Portfolio), Joel Greenblatt (Trades, Portfolio), and Ken Fisher (Trades, Portfolio). The largest guru holder of The Toro Co.'s stock is GAMCO Investors.
Implications of the Transaction
BlackRock Inc. (Trades, Portfolio)'s acquisition of additional shares in The Toro Co. is a significant endorsement of the company's potential. Despite the minimal impact on BlackRock's portfolio, the transaction could influence other investors' perceptions of The Toro Co. and potentially drive up its stock price. However, investors should conduct their own research and consider their investment goals before making any decisions.
All data and rankings are accurate as of August 8, 2023.
