Reformation (NYSE:REF) Shares Gap Down – What’s Next?

Reformation Inc. (NYSE:REF)’s share price gapped down before the market opened on Tuesday . The stock had previously closed at $14.63, but opened at $13.46. Reformation shares last traded at $13.61, with a volume of 12,199 shares trading hands.

Analyst Ratings Changes

Several equities research analysts have recently issued reports on REF shares. Robert W. Baird initiated coverage on shares of Reformation in a research note on Monday, August 24th. They set an “outperform” rating and a $19.00 price target for the company. Morgan Stanley initiated coverage on Reformation in a research note on Monday, August 24th. They issued an “equal weight” rating and a $16.00 target price on the stock. Telsey Advisory Group started coverage on Reformation in a research note on Monday, August 24th. They set an “outperform” rating and a $20.00 price target for the company. Zacks Research raised Reformation to a “hold” rating in a report on Tuesday, August 25th. Finally, Citigroup initiated coverage on shares of Reformation in a report on Monday, August 24th. They set a “buy” rating and a $20.00 price objective on the stock. Eight investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to MarketBeat, Reformation currently has a consensus rating of “Moderate Buy” and an average price target of $19.25.

Reformation Stock Up 2.3%

Reformation (NYSE:REF) last announced its quarterly earnings results on Thursday, September 10th. The company reported $0.23 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.20 by $0.03. The firm had revenue of $155.23 million during the quarter, compared to analysts’ expectations of $154.61 million. Reformation’s revenue for the quarter was up 24.1% compared to the same quarter last year. Research analysts forecast that Reformation Inc. will post 0.16 EPS for the current year.

Insider Buying and Selling

In other news, major shareholder Scsp Refo sold 149,596 shares of the business’s stock in a transaction on Tuesday, September 1st. The shares were sold at an average price of $13.95, for a total transaction of $2,086,864.20. Following the completion of the transaction, the insider directly owned 28,942,153 shares in the company, valued at $403,743,034.35. The trade was a 0.51% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Yael Aflalo sold 60,298 shares of the company’s stock in a transaction on Tuesday, September 1st. The stock was sold at an average price of $13.95, for a total transaction of $841,157.10. Following the completion of the transaction, the director directly owned 11,665,505 shares in the company, valued at approximately $162,733,794.75. The trade was a 0.51% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 4,401,122 shares of company stock worth $61,395,652 in the last ninety days.

Reformation Company Profile

Reformation, Inc is a fashion company that designs and sells women’s clothing, footwear and accessories under the Reformation brand. Its product range includes dresses, tops, denim, knitwear, outerwear, swimwear, bridal apparel and related accessories, with collections marketed around contemporary style and more sustainable production practices.

The company sells its products through its e-commerce platform and a network of retail stores, serving customers in the United States and select international markets.