The Honest Company, Inc. (NASDAQ:HNST) Receives $3.00 Consensus Target Price from Analysts
by Michael Walen · The Markets DailyThe Honest Company, Inc. (NASDAQ:HNST – Get Free Report) has earned an average rating of “Reduce” from the seven ratings firms that are covering the stock, MarketBeat reports. Two equities research analysts have rated the stock with a sell rating, four have assigned a hold rating and one has given a buy rating to the company. The average 12 month price objective among brokers that have issued a report on the stock in the last year is $3.00.
HNST has been the topic of several recent research reports. Morgan Stanley set a $3.00 price objective on shares of Honest in a research report on Wednesday, March 4th. Wall Street Zen cut shares of Honest from a “hold” rating to a “sell” rating in a research report on Saturday. Telsey Advisory Group restated a “market perform” rating and issued a $3.00 price target on shares of Honest in a research note on Thursday, February 26th. Zacks Research raised Honest from a “strong sell” rating to a “hold” rating in a report on Thursday, March 26th. Finally, JPMorgan Chase & Co. reiterated an “underweight” rating on shares of Honest in a research report on Friday, January 16th.
Read Our Latest Stock Analysis on Honest
Honest Price Performance
Shares of Honest stock opened at $2.82 on Friday. The business has a 50-day moving average price of $2.58 and a 200 day moving average price of $2.89. Honest has a fifty-two week low of $2.07 and a fifty-two week high of $5.55. The firm has a market cap of $317.17 million, a P/E ratio of -20.14 and a beta of 2.16.
Honest (NASDAQ:HNST – Get Free Report) last posted its quarterly earnings results on Wednesday, February 25th. The company reported ($0.21) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.02 by ($0.23). The business had revenue of $88.04 million during the quarter, compared to the consensus estimate of $88.57 million. Honest had a positive return on equity of 4.57% and a negative net margin of 4.22%. As a group, equities research analysts anticipate that Honest will post -0.07 earnings per share for the current year.
Honest announced that its board has approved a share repurchase program on Friday, February 20th that authorizes the company to buyback $25.00 million in outstanding shares. This buyback authorization authorizes the company to repurchase up to 9.9% of its stock through open market purchases. Stock buyback programs are often a sign that the company’s management believes its shares are undervalued.
Insider Activity
In other news, insider Dorria L. Ball sold 15,099 shares of the company’s stock in a transaction on Thursday, March 5th. The stock was sold at an average price of $2.85, for a total value of $43,032.15. Following the completion of the sale, the insider owned 432,295 shares in the company, valued at $1,232,040.75. This represents a 3.37% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, General Counsel Brendan Sheehey sold 22,556 shares of the firm’s stock in a transaction that occurred on Thursday, March 5th. The stock was sold at an average price of $2.85, for a total transaction of $64,284.60. Following the sale, the general counsel owned 725,672 shares of the company’s stock, valued at $2,068,165.20. The trade was a 3.01% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 191,894 shares of company stock worth $546,898 in the last quarter. 8.90% of the stock is currently owned by corporate insiders.
Institutional Trading of Honest
Hedge funds have recently modified their holdings of the business. Caitong International Asset Management Co. Ltd lifted its position in Honest by 1,392.2% in the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 7,073 shares of the company’s stock worth $26,000 after buying an additional 6,599 shares in the last quarter. Amicus Financial Advisors LLC purchased a new position in shares of Honest during the 4th quarter valued at $29,000. Wealthcare Advisory Partners LLC acquired a new position in shares of Honest in the fourth quarter worth $32,000. Hibernia Wealth Partners LLC acquired a new position in shares of Honest in the fourth quarter worth $32,000. Finally, Equity Wealth Partners LLC purchased a new stake in shares of Honest during the third quarter worth $37,000. Hedge funds and other institutional investors own 45.54% of the company’s stock.
About Honest
The Honest Company, Inc (NASDAQ: HNST) is an American consumer goods firm specializing in eco-friendly and responsibly formulated products for babies, personal care, beauty and home cleaning. The company emphasizes transparency in ingredient sourcing and product safety, positioning itself in the premium segment of mass-market retail and direct-to-consumer channels.
Honest was founded in 2011 by actress Jessica Alba and environmental health advocate Christopher Gavigan with a mission to offer parents household and baby care items free from harsh chemicals and synthetic fragrances.