According to Bloomberg Ratings, Freshpet, Inc. (NASDAQ:FRPT) has received an average rating of “Moderate Buy” from the eleven analysts that are currently covering the stock. Out of these analysts, four have recommended holding the stock, six have given a buy recommendation, and one analyst has strongly recommended buying shares in the company. The average 12-month price objective among brokers who have recently updated their coverage on the stock is $88.64.
On Monday, NASDAQ FRPT opened at $65.88. The company has a 50-day simple moving average of $73.34 and a 200-day simple moving average of $68.03. Freshpet’s 52-week low stands at $45.13 while its 52-week high is $84.70.The organization boasts a debt-to-equity ratio of 0.42 and possesses a quick ratio of 5.45 along with a current ratio of 6.29. With a market capitalization of $3.18 billion, Freshpet has a price-to-earnings ratio of -49.91 and a beta value of 0.95.
Various hedge funds and institutional investors have been observed buying and selling shares of FRPT lately. Wellington Management Group LLP increased its stake in Freshpet by 39.8% during the first quarter and now holds 3,415,887 shares valued at $226,098,000 after acquiring an additional 972,837 shares last quarter.Also in the second quarter, Alliancebernstein L.P., grew its holdings by 47.6%, now owning2,545,493 shares worth167,519,000USD.Eagle Asset Management Inc., purchased fresh shares worth35,691,000USD in Freshpet during the fourth quarter.These are just some notable examples of activity surrounding the company.
Freshpet released its quarterly earnings results on August 7th, reporting earnings per share of ($0.35) for the quarter. This surpassed the consensus estimate of ($0.40) by $0.05. The company generated revenue of $183.30 million during the quarter, slightly below analysts’ expectations of $184.71 million. Freshpet experienced a negative net margin of 9.45% and a negative return on equity of 6.39%. However, its quarterly revenue was up by 25.5% compared to the previous year’s figures. In the same period last year, Freshpet recorded earnings per share of ($0.45). Analysts predict that for the current fiscal year, Freshpet will post an earnings per share of -1.02.
In conclusion, despite receiving an average “Moderate Buy” rating from analysts and having a favorable 12-month price objective, Freshpet’s recent financial performance has been mixed with positive earnings per share results but slightly lower-than-expected revenue figures in its latest quarterly report.
The Enigma of Freshpet: Mixed Ratings and Insider Trading Leave Investors Confused
Freshpet, a leading pet food company, has recently received mixed ratings from equities analysts. This development has sparked interest and confusion among investors who are trying to make sense of the stock’s potential. On September 13th, Benchmark reaffirmed a “buy” rating for Freshpet and established a $100.00 price target. However, JPMorgan Chase & Co. downgraded the stock from an “overweight” rating to a “neutral” rating on August 8th, while raising their target price from $78.00 to $84.00.
The situation became even more perplexing when TheStreet upgraded Freshpet’s rating from a “d” to a “c-” on August 7th. Citigroup also provided a neutral rating for the company and increased their target price from $71.00 to $83.00 on August 9th. Lastly, Stifel Nicolaus raised their target price from $75.00 to $95.00 on August 8th.
In the midst of this uncertainty, there is an interesting development involving one of Freshpet’s directors, Walter N. George. On August 24th, George purchased 1,000 shares of the company’s stock at an average price of $73.53 per share, totaling $73,530.00 in transactions. As a result, he now holds 47,176 shares valued at approximately $3,468,851.28.
This purchase by Director Walter N. George has caught the attention of investors and adds another layer of curiosity to the company’s current situation. Insiders now own approximately 3.60% of Freshpet’s stock.
These recent activities have left market participants with more questions than answers about the future prospects of Freshpet as an investment opportunity in the pet food industry.
It is important for investors to carefully weigh these different ratings and take into consideration insider trading before making any investment decisions. With conflicting opinions from reputable analysts and a director’s significant purchase, Freshpet remains an enigmatic and intriguing stock.
For those interested in further exploring the company’s potential, the purchase made by Director Walter N. George can be found in a legal filing with the Securities & Exchange Commission accessible through the SEC website.
The perplexing nature of Freshpet’s recent ratings and insider trading activities emphasizes the importance of conducting thorough research and seeking professional advice before making any investment choices.