PureCycle Technologies (NASDAQ:PCT) Shares Down 9% – Here’s Why

Shares of PureCycle Technologies, Inc. (NASDAQ:PCT) were down 9% during mid-day trading on Tuesday . The company traded as low as $10.67 and last traded at $10.9410. Approximately 4,701,853 shares changed hands during trading, an increase of 3% from the average daily volume of 4,582,625 shares. The stock had previously closed at $12.02.

Wall Street Analyst Weigh In

Several equities research analysts have recently commented on PCT shares. Weiss Ratings restated a “sell (e+)” rating on shares of PureCycle Technologies in a report on Friday. Cantor Fitzgerald decreased their price objective on PureCycle Technologies from $16.00 to $14.00 and set an “overweight” rating for the company in a report on Friday, February 27th. TD Cowen decreased their price objective on PureCycle Technologies from $7.00 to $6.00 and set a “hold” rating for the company in a report on Friday, May 8th. Finally, Wall Street Zen downgraded PureCycle Technologies from a “sell” rating to a “strong sell” rating in a report on Sunday, May 10th. One equities research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, one has given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $12.00.

PureCycle Technologies Price Performance

The company has a market cap of $1.95 billion, a P/E ratio of -7.34 and a beta of 2.48. The business’s fifty day moving average is $8.88 and its 200 day moving average is $8.71. The company has a current ratio of 1.71, a quick ratio of 1.57 and a debt-to-equity ratio of 47.59.

PureCycle Technologies (NASDAQ:PCT) last issued its earnings results on Wednesday, May 6th. The company reported ($0.21) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.26) by $0.05. The firm had revenue of $4.13 million for the quarter, compared to analyst estimates of $3.83 million. PureCycle Technologies had a negative return on equity of 393.01% and a negative net margin of 2,062.36%. As a group, sell-side analysts anticipate that PureCycle Technologies, Inc. will post -0.99 EPS for the current year.

Institutional Trading of PureCycle Technologies

Hedge funds have recently made changes to their positions in the company. Cassaday & Co Wealth Management LLC bought a new stake in shares of PureCycle Technologies in the first quarter valued at $33,000. Larson Financial Group LLC raised its holdings in PureCycle Technologies by 6,571.8% during the 3rd quarter. Larson Financial Group LLC now owns 2,602 shares of the company’s stock valued at $34,000 after acquiring an additional 2,563 shares during the period. Advisory Services Network LLC bought a new stake in PureCycle Technologies during the 3rd quarter valued at $35,000. SHP Wealth Management bought a new stake in PureCycle Technologies during the 4th quarter valued at $43,000. Finally, Sigma Planning Corp bought a new stake in PureCycle Technologies during the 1st quarter valued at $53,000. 63.01% of the stock is currently owned by institutional investors.

About PureCycle Technologies

PureCycle Technologies, Inc operates as a recycling technology company focused on restoring waste polypropylene to a “virgin-like” state through a proprietary purification process licensed from Procter & Gamble. The company develops, owns and operates recycling facilities that convert used polypropylene feedstock—such as packaging and industrial plastics—into ultra‐pure recycled resin. This resin, known as Qualified Recycled Polymer (QRP), is designed to meet stringent quality specifications for applications in packaging, consumer goods and industrial products.

Headquartered in Orlando, Florida, PureCycle was established with technology development efforts dating back to licensing agreements in the mid-2010s and later spun off as a publicly traded entity in 2021.