Compass Diversified (NYSE:CODI) Trading 7% Higher – Here’s What Happened

Compass Diversified Holdings (NYSE:CODI) shares rose 7% during mid-day trading on Tuesday . The stock traded as high as $7.04 and last traded at $6.8370. Approximately 529,549 shares were traded during mid-day trading, a decline of 59% from the average daily volume of 1,290,765 shares. The stock had previously closed at $6.39.

Analysts Set New Price Targets

Several brokerages recently commented on CODI. Zacks Research lowered shares of Compass Diversified from a “hold” rating to a “strong sell” rating in a research report on Monday, January 19th. CJS Securities raised shares of Compass Diversified to an “outperform” rating in a research note on Tuesday, January 27th. Compass Point set a $15.00 price objective on Compass Diversified in a report on Tuesday, January 27th. Weiss Ratings reiterated a “sell (d)” rating on shares of Compass Diversified in a report on Friday, December 26th. Finally, Wall Street Zen downgraded Compass Diversified from a “hold” rating to a “sell” rating in a report on Saturday, December 20th. Two analysts have rated the stock with a Buy rating, two have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $14.00.

Compass Diversified Price Performance

The company has a market cap of $514.87 million, a PE ratio of -2.50 and a beta of 1.09. The company has a 50-day moving average price of $5.59 and a two-hundred day moving average price of $6.45.

Compass Diversified (NYSE:CODI) last released its quarterly earnings results on Wednesday, January 14th. The financial services provider reported ($0.98) EPS for the quarter, missing the consensus estimate of $0.61 by ($1.59). The company had revenue of $472.56 million for the quarter, compared to analyst estimates of $497.19 million. Compass Diversified had a positive return on equity of 24.48% and a negative net margin of 7.08%. On average, equities research analysts anticipate that Compass Diversified Holdings will post 1.96 earnings per share for the current year.

Hedge Funds Weigh In On Compass Diversified

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Allspring Global Investments Holdings LLC lifted its stake in shares of Compass Diversified by 1.2% in the fourth quarter. Allspring Global Investments Holdings LLC now owns 4,346,106 shares of the financial services provider’s stock worth $20,209,000 after acquiring an additional 49,423 shares in the last quarter. Mangrove Partners IM LLC raised its position in shares of Compass Diversified by 48.7% in the 3rd quarter. Mangrove Partners IM LLC now owns 3,684,800 shares of the financial services provider’s stock valued at $24,393,000 after purchasing an additional 1,206,524 shares in the last quarter. Jacobs Levy Equity Management Inc. boosted its stake in shares of Compass Diversified by 75.2% during the 4th quarter. Jacobs Levy Equity Management Inc. now owns 1,966,408 shares of the financial services provider’s stock valued at $9,439,000 after buying an additional 843,965 shares during the last quarter. SG Capital Management LLC purchased a new position in shares of Compass Diversified during the 4th quarter valued at approximately $7,626,000. Finally, CenterBook Partners LP acquired a new stake in shares of Compass Diversified during the fourth quarter worth approximately $6,597,000. 72.73% of the stock is owned by hedge funds and other institutional investors.

About Compass Diversified

Compass Diversified Holdings (NYSE:CODI) is a publicly traded private equity company headquartered in Bethesda, Maryland. The firm specializes in acquiring and managing middle-market businesses across a variety of industries, with a focus on driving operational performance and sustainable growth. As an externally managed entity, Compass Diversified leverages a disciplined investment approach to build a portfolio of market-leading companies that benefit from strategic oversight, capital support and shared best practices.

Compass Diversified’s investment activities span five core sectors: branded consumer, consumer services, differentiated industrial products, value-added distribution and business services.