Cricut (NASDAQ:CRCT) Shares Down 4.8% – What’s Next?

Cricut, Inc. (NASDAQ:CRCT)’s share price dropped 4.8% during trading on Friday . The company traded as low as $5.99 and last traded at $6.02. Approximately 313,748 shares traded hands during mid-day trading, a decline of 40% from the average daily volume of 525,963 shares. The stock had previously closed at $6.32.

Analyst Upgrades and Downgrades

CRCT has been the subject of a number of recent research reports. Weiss Ratings reiterated a “hold (c)” rating on shares of Cricut in a report on Saturday, September 27th. Wall Street Zen cut Cricut from a “buy” rating to a “hold” rating in a report on Friday, September 5th. Two investment analysts have rated the stock with a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Reduce” and an average target price of $4.52.

Cricut Trading Down 5.5%

The stock has a market capitalization of $1.27 billion, a P/E ratio of 18.09 and a beta of 0.18. The company has a 50-day moving average price of $5.91 and a 200 day moving average price of $5.76.

Cricut (NASDAQ:CRCT) last released its quarterly earnings results on Tuesday, August 5th. The company reported $0.11 EPS for the quarter, topping the consensus estimate of $0.06 by $0.05. The firm had revenue of $172.11 million during the quarter, compared to analyst estimates of $158.59 million. Cricut had a return on equity of 16.49% and a net margin of 10.09%. As a group, research analysts expect that Cricut, Inc. will post 0.28 earnings per share for the current year.

Insider Activity

In related news, CEO Arora Ashish sold 60,000 shares of the company’s stock in a transaction dated Monday, July 7th. The stock was sold at an average price of $6.25, for a total transaction of $375,000.00. Following the transaction, the chief executive officer directly owned 2,871,931 shares of the company’s stock, valued at $17,949,568.75. This represents a 2.05% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, General Counsel Matt Tuttle sold 40,491 shares of the company’s stock in a transaction dated Friday, August 8th. The shares were sold at an average price of $5.69, for a total value of $230,393.79. Following the transaction, the general counsel directly owned 329,164 shares in the company, valued at $1,872,943.16. This represents a 10.95% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 401,650 shares of company stock worth $2,390,480 over the last ninety days. 18.61% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the business. American Century Companies Inc. increased its position in Cricut by 11.5% during the 2nd quarter. American Century Companies Inc. now owns 1,544,659 shares of the company’s stock valued at $10,457,000 after buying an additional 159,339 shares in the last quarter. Geode Capital Management LLC increased its position in Cricut by 7.0% during the 2nd quarter. Geode Capital Management LLC now owns 1,395,525 shares of the company’s stock valued at $9,449,000 after buying an additional 91,339 shares in the last quarter. Arrowstreet Capital Limited Partnership increased its position in Cricut by 20.9% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 911,221 shares of the company’s stock valued at $6,169,000 after buying an additional 157,448 shares in the last quarter. Bank of New York Mellon Corp increased its position in Cricut by 2.0% during the 1st quarter. Bank of New York Mellon Corp now owns 485,840 shares of the company’s stock valued at $2,502,000 after buying an additional 9,300 shares in the last quarter. Finally, Jacobs Levy Equity Management Inc. increased its position in Cricut by 305.1% during the 1st quarter. Jacobs Levy Equity Management Inc. now owns 309,756 shares of the company’s stock valued at $1,595,000 after buying an additional 233,292 shares in the last quarter. 19.60% of the stock is owned by institutional investors and hedge funds.

About Cricut

Cricut, Inc engages in the design, marketing, and distribution of a creativity platform that enables users to turn ideas into professional-looking handmade goods. It operates through three segments: Connected Machines, Subscriptions, and Accessories and Materials. The company offers connected machines, design apps, and accessories and materials for users to create personalized birthday cards, mugs, T-shirts, and large-scale interior decorations.