S&P 500 component Fastenal fell during stock market action on Monday after the industrial products distributor slightly missed third-quarter earnings estimates and met revenue targets.
The stock market appeared to be expecting more from the industrial distributor's earnings release early Monday. The company saw Q3 EPS grow 11.5% to 29 cents with revenue also increasing more than 11% to $2.133 billion. Analysts consensus expected Fastenal earnings of 30 cents per share and sales totaling $2.131 billion, according to FactSet.
The S&P 500 component is a leader in the wholesale distribution of industrial and construction supplies, and offers fasteners, bolts, nuts, studs, washers and other products to industrial customers. Fastenal's report on Monday kicks off earnings for industrials and construction, key economic bellwethers, and gives investors the first hint of what to expect in the sectors.
The company noted Monday that "industrial production was still sluggish in the third quarter of 2025" but that the "performance" of its fastener product line "outperformed our non-fastener product lines."
S&P 500: FAST Stock
Fastenal stock fell 7.5% to 42.33 during Monday's stock market after dropping 4.3% to 45.78 last week
The S&P 500 component entered Monday's stock market open up more than 22% in 2025, but down 6.6% in October.
Fastenal stock at Monday's market close is about 16% below a traditional 50.63 buy point, according to MarketSurge charts. However, it is currently solidly below its 50-day moving average and is in a downtrend in the current base. FAST stock undercut the low of its flat base on Friday.
Last week, Barclays initiated coverage of Fastenal with an equal weight rating and 49 price target. The firm noted that the S&P 500 component is "well positioned in a tariff-driven inflationary environment due to its robust network, industrial vending and functional mock-up interface installed base, and large first-in, first-out reported inventory."
However, the analysts also wrote that investment positives for Fastenal are already reflected in its valuation and there could be limited upside potential in the stock.
Investors can keep tabs on the IBD Leaderboard watchlist, the IBD 50 list of top growth stocks and IBD SwingTrader along with the IBD Sector Leaders list.
Fastenal stock has a 71 Composite Rating out of a best-possible 99. The S&P 500 stock also has a 73 Relative Strength Rating and a 78 EPS Rating.
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