Fastenal Company (FAST)

Fastenal's stock experienced several notable events over the past six months (July 2025 to January 2026). The stock reached an all-time high closing price of $50.13 on August 22, 2025. In Q2 2025, Fastenal surpassed $2 billion in quarterly sales for the first time, with an 8.6% year-over-year increase to $2.03 billion. Digital sales exceeded 30% of total revenue, and contract-based sales grew by 11%, representing 73.2% of total revenue. The company published its 2025 ESG Report on July 9, 2025. However, the Q3 2025 earnings report saw the company report $2.13 billion in revenue but adjusted EPS of $0.29, which slightly missed analyst estimates, leading to a nearly 8% decline in the stock price. In August 2025, Fastenal implemented a pricing adjustment due to new tariffs on steel and fasteners. Insider activity included Director Hsenghung Sam Hsu and Director Sarah N. Nielsen purchasing 1,000 shares each in November 2025. Analyst ratings also saw some adjustments, with Barclays cutting its price objective, while Jefferies Financial Group and UBS Group upgraded their ratings to "buy" in December 2025, with target price increases. Fastenal announced a CEO transition on December 22, 2025, with Daniel Florness stepping down and Jeffery Watts succeeding him. As of January 12, 2026, the stock's closing price was $41.69, reflecting a 3.86% decrease over the past six months.

Demand for Fastenal's products and services is influenced by the cyclical nature of the industrial and construction sectors. The company's Q4 2024 sales were impacted by a soft manufacturing environment and unusually sharp production cuts by customers during the late December holiday period, suggesting a seasonal slowdown towards the end of the year. Fastenal has been working to mitigate seasonality and diversify its demand base by expanding into non-traditional sectors. The increasing adoption of FMI technology and digital sales channels also helps to create more consistent demand and deeper customer relationships.

Fastenal, headquartered in Winona, Minnesota, is an American industrial supply company specializing in wholesale distribution and supply chain solutions for industrial and construction needs, operating primarily in the industrial supply sector and the MRO industry. The company provides a broad range of industrial and construction supplies, including fasteners, tools, safety equipment, metal cutting products, and miscellaneous hardware, managing over 1.2 million unique product SKUs. Fastenal distinguishes itself through a local branch network, a diverse product range, and innovative vending solutions for on-site inventory management.

Fastenal has a significant global presence, operating in 25 countries with a network of over 3,500 in-market locations. In North America, it has retail stores in every U.S. state, every province of Canada, and 14 Mexican states, as well as locations in Puerto Rico and Panama. Internationally, Fastenal has sites in countries such as China, the Dominican Republic, Hungary, Malaysia, the Netherlands, Germany, Singapore, Thailand, and the United Kingdom. In fiscal year 2024, the United States accounted for 83.13% of its revenue, followed by Canada and Mexico at 13.72%, and Non-North America at 3.14%.

Fastenal has maintained a strong brand reputation over the past year due to its commitment to sustainability, safety, and customer service. In 2024, the company received its second consecutive silver medal from EcoVadis for its sustainability management system. Fastenal also demonstrated excellent workplace safety results in 2024, with an EMR that was 54% better than the industry average. The company's focus on being a supply chain partner embedded at the point of use, along with its expanding digital commerce and automated inventory management programs, has been positively received by customers. Fastenal's consistent financial performance, high solvency, and a nearly 10% annualized return over the last three years further contribute to its positive standing.

Institutional investors hold a significant majority of Fastenal's stock, with approximately 86% ownership. The Vanguard Group, Inc. is the largest institutional shareholder, holding around 13% of the shares. Other major institutional owners include BlackRock, Inc., State Street Global Advisors, Inc., Charles Schwab Investment Management Inc., Geode Capital Management, LLC, and Bank Of New York Mellon Corp. The general public holds about 14% of the company's stock, and insiders own less than 1%, but there has been recent insider buying activity.