Paragon 28 (NYSE:FNA) Shares Gap Down on Disappointing Earnings

Paragon 28, Inc. (NYSE:FNA)’s stock price gapped down prior to trading on Friday following a dissappointing earnings announcement. The stock had previously closed at $8.31, but opened at $7.91. Paragon 28 shares last traded at $7.04, with a volume of 168,170 shares changing hands.

The company reported ($0.17) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.15) by ($0.02). Paragon 28 had a negative net margin of 24.45% and a negative return on equity of 27.72%. The company had revenue of $61.02 million during the quarter, compared to analysts’ expectations of $60.08 million. During the same period last year, the firm earned ($0.13) earnings per share. Paragon 28’s quarterly revenue was up 19.6% on a year-over-year basis.

Analyst Ratings Changes

Several equities research analysts have recently weighed in on the stock. JMP Securities lowered their price target on shares of Paragon 28 from $23.00 to $20.00 and set a “market outperform” rating for the company in a research report on Thursday, May 9th. Needham & Company LLC lowered their price target on shares of Paragon 28 from $14.00 to $11.00 and set a “buy” rating for the company in a research report on Friday. Finally, Piper Sandler reaffirmed an “overweight” rating and issued a $12.00 price target (down previously from $15.00) on shares of Paragon 28 in a research report on Friday. Five analysts have rated the stock with a buy rating, According to data from MarketBeat.com, the stock has an average rating of “Buy” and a consensus price target of $15.25.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of FNA. Vanguard Group Inc. increased its stake in Paragon 28 by 12.2% during the 3rd quarter. Vanguard Group Inc. now owns 2,001,692 shares of the company’s stock valued at $25,121,000 after purchasing an additional 217,246 shares in the last quarter. Zurcher Kantonalbank Zurich Cantonalbank increased its stake in Paragon 28 by 26.4% during the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 13,886 shares of the company’s stock valued at $173,000 after purchasing an additional 2,902 shares in the last quarter. Roubaix Capital LLC increased its stake in Paragon 28 by 6.9% during the 4th quarter. Roubaix Capital LLC now owns 221,678 shares of the company’s stock valued at $2,755,000 after purchasing an additional 14,290 shares in the last quarter. Dynamic Technology Lab Private Ltd acquired a new position in Paragon 28 during the 4th quarter valued at approximately $875,000. Finally, GW&K Investment Management LLC acquired a new position in Paragon 28 during the 4th quarter valued at approximately $3,447,000. Institutional investors and hedge funds own 63.57% of the company’s stock.

Paragon 28 Price Performance

The company has a debt-to-equity ratio of 0.67, a quick ratio of 1.78 and a current ratio of 3.57. The firm has a market cap of $553.28 million, a price-to-earnings ratio of -10.92 and a beta of 0.99. The stock’s 50 day simple moving average is $7.22 and its 200-day simple moving average is $9.53.

About Paragon 28

Paragon 28, Inc develops, distributes, and sells foot and ankle surgical systems in the United States and internationally. It offers plating systems, including gorilla plating systems, such as lisfranc, lapidus, lateral column, calcaneus slide, and naviculocuneiform (NC) fusion plating systems; baby gorilla plate-specific screws, navicular fracture plates, and 5th metatarsal hook plates; and silverback plating systems.