Arora Ashish Sells 60,000 Shares of Cricut (NASDAQ:CRCT) Stock

Cricut, Inc. (NASDAQ:CRCT) CEO Ashish Arora sold 60,000 shares of the firm’s stock in a transaction dated Wednesday, September 2nd. The shares were sold at an average price of $5.79, for a total value of $347,400.00. Following the completion of the sale, the chief executive officer directly owned 5,717,105 shares in the company, valued at approximately $33,102,037.95. This represents a 1.04% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Arora Ashish also recently made the following trade(s):

• On Wednesday, August 19th, Ashish Arora sold 60,000 shares of Cricut stock. The stock was sold at an average price of $5.48, for a total value of $328,800.00.
• On Monday, August 17th, Ashish Arora sold 60,000 shares of Cricut stock. The shares were sold at an average price of $5.60, for a total value of $336,000.00.
• On Wednesday, August 5th, Ashish Arora sold 60,000 shares of Cricut stock. The shares were sold at an average price of $5.98, for a total value of $358,800.00.
• On Monday, August 3rd, Ashish Arora sold 60,000 shares of Cricut stock. The shares were sold at an average price of $4.77, for a total value of $286,200.00.

Cricut Stock Down 5.3%

Shares of CRCT stock opened at $5.54 on Friday. Cricut, Inc. has a 12 month low of $3.73 and a 12 month high of $6.93. The firm has a market cap of $1.16 billion, a PE ratio of 12.88 and a beta of 0.25. The stock has a 50 day moving average of $5.10 and a 200-day moving average of $4.54.

Cricut (NASDAQ:CRCT) last announced its quarterly earnings data on Tuesday, August 4th. The company reported $0.19 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.06 by $0.13. The business had revenue of $156.28 million for the quarter, compared to the consensus estimate of $159.95 million. Cricut had a net margin of 12.71% and a return on equity of 24.57%. As a group, equities analysts predict that Cricut, Inc. will post 0.32 EPS for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the company. California State Teachers Retirement System grew its position in Cricut by 324.8% during the 2nd quarter. California State Teachers Retirement System now owns 199,613 shares of the company’s stock worth $876,000 after acquiring an additional 152,628 shares during the last quarter. AXQ Capital LP bought a new position in Cricut in the 2nd quarter valued at $74,000. Public Employees Retirement System of Ohio acquired a new position in Cricut in the second quarter worth $355,000. Bank of New York Mellon Corp bought a new stake in shares of Cricut during the second quarter worth $2,409,000. Finally, Bank of America Corp DE grew its holdings in shares of Cricut by 124.4% during the first quarter. Bank of America Corp DE now owns 116,790 shares of the company’s stock worth $437,000 after purchasing an additional 64,737 shares during the last quarter. Institutional investors own 19.60% of the company’s stock.

Wall Street Analyst Weigh In

A number of research firms have weighed in on CRCT. Morgan Stanley reiterated an “underweight” rating and set a $3.70 price target on shares of Cricut in a research note on Wednesday, August 5th. Weiss Ratings raised Cricut from a “hold (c-)” rating to a “hold (c)” rating in a report on Thursday, August 6th. The Goldman Sachs Group assumed coverage on Cricut in a research note on Wednesday, August 19th. They issued a “sell” rating and a $4.50 price target on the stock. Finally, Zacks Research upgraded Cricut from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, August 5th. One research analyst has rated the stock with a Strong Buy rating, one has given a Hold rating and four have assigned a Sell rating to the stock. According to data from MarketBeat, Cricut currently has a consensus rating of “Reduce” and an average target price of $4.07.

Trending Headlines about Cricut

Here are the key news stories impacting Cricut this week:

• Positive Sentiment: New product launch: Cricut introduced the Cricut Maker 5, a next-generation smart cutting machine with enhanced cutting and engraving capabilities, support for more materials and a more compact design. The launch could help drive hardware demand and engagement with Cricut’s software and subscription ecosystem. Cricut Introduces Cricut Maker 5
• Positive Sentiment: Improved quantitative outlook: Zacks upgraded CRCT to Rank #1, or “Strong Buy,” citing improving earnings prospects. The stock was also added to Zacks’ Strong Buy lists for momentum, value and income investors, potentially increasing buying interest. Cricut Upgraded to Strong Buy
• Neutral Sentiment: Recent operating results: Cricut’s latest quarterly EPS of $0.19 exceeded the $0.06 consensus estimate, although revenue of roughly $156.3 million fell short of expectations near $160 million. Analysts currently expect approximately $0.32 in full-year EPS.
• Negative Sentiment: CEO continues to sell shares: CEO Ashish Arora sold 60,000 shares for approximately $347,400 at an average price of $5.79. The transaction was made under a pre-arranged Rule 10b5-1 plan, reducing his direct ownership by 1.04%, and follows several similar sales since early August. While planned sales do not necessarily signal deteriorating fundamentals, the repeated insider selling may weigh on sentiment. Cricut CEO Insider Sale
• Negative Sentiment: Bearish analyst backdrop: Morgan Stanley and Goldman Sachs maintain negative ratings, and the broader analyst consensus is “Reduce” with a price target below the recent trading range. This could limit upside despite the favorable Zacks revision.

About Cricut

Cricut, Inc (NASDAQ: CRCT) is a U.S.-based technology company specializing in personal and small-business crafting solutions. The company designs and markets a family of cutting machines that leverage computer-aided design to precisely cut a wide range of materials, including paper, vinyl, fabric and leather. Complementing its hardware offerings, Cricut provides proprietary software and mobile applications that enable users to create custom artwork, import graphics and access a vast library of pre-designed projects and fonts through a subscription service.

Founded as a division of Provo Craft & Novelty in 2005, Cricut emerged as an independent public company in March 2021.