B. Riley Predicts Higher Earnings for Compass Diversified

Compass Diversified (NYSE:CODI) – Equities researchers at B. Riley raised their FY2024 earnings per share (EPS) estimates for Compass Diversified in a report issued on Wednesday, December 4th. B. Riley analyst M. Howlett now forecasts that the financial services provider will post earnings of $1.96 per share for the year, up from their prior forecast of $1.89. The consensus estimate for Compass Diversified’s current full-year earnings is $1.96 per share. B. Riley also issued estimates for Compass Diversified’s Q4 2024 earnings at $0.51 EPS, Q1 2025 earnings at $0.52 EPS, Q2 2025 earnings at $0.52 EPS, Q3 2025 earnings at $0.56 EPS, Q4 2025 earnings at $0.57 EPS and FY2025 earnings at $2.15 EPS.

Separately, TD Cowen initiated coverage on Compass Diversified in a research report on Wednesday, November 27th. They issued a “buy” rating and a $34.00 target price on the stock.

Compass Diversified Price Performance

NYSE:CODI opened at $23.92 on Monday. Compass Diversified has a 52 week low of $19.76 and a 52 week high of $25.07. The company has a quick ratio of 1.62, a current ratio of 4.22 and a debt-to-equity ratio of 1.51. The company has a market capitalization of $1.81 billion, a P/E ratio of 49.90, a P/E/G ratio of 1.48 and a beta of 1.66. The stock’s fifty day moving average is $22.18 and its two-hundred day moving average is $22.01.

Compass Diversified (NYSE:CODI) last announced its quarterly earnings data on Wednesday, October 30th. The financial services provider reported $0.64 EPS for the quarter, topping analysts’ consensus estimates of $0.54 by $0.10. Compass Diversified had a return on equity of 12.25% and a net margin of 6.24%. The firm had revenue of $582.62 million for the quarter, compared to the consensus estimate of $571.68 million. During the same quarter last year, the business posted $0.34 earnings per share. The firm’s revenue was up 11.8% compared to the same quarter last year.

Compass Diversified Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, October 24th. Stockholders of record on Thursday, October 17th were paid a $0.25 dividend. The ex-dividend date of this dividend was Thursday, October 17th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 4.18%. Compass Diversified’s payout ratio is presently 208.33%.

Insider Activity

In related news, insider Patrick A. Maciariello bought 5,000 shares of the stock in a transaction that occurred on Friday, September 20th. The stock was purchased at an average cost of $21.87 per share, with a total value of $109,350.00. Following the purchase, the insider now directly owns 228,518 shares of the company’s stock, valued at $4,997,688.66. This trade represents a 2.24 % increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through this link. Also, major shareholder Cgi Magyar Holdings Llc sold 135,274 shares of the business’s stock in a transaction on Monday, November 11th. The stock was sold at an average price of $23.05, for a total value of $3,118,065.70. Following the transaction, the insider now directly owns 7,456,197 shares of the company’s stock, valued at $171,865,340.85. The trade was a 1.78 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 1.76% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Essex Financial Services Inc. boosted its position in shares of Compass Diversified by 45.0% during the 2nd quarter. Essex Financial Services Inc. now owns 1,094,839 shares of the financial services provider’s stock worth $23,966,000 after acquiring an additional 339,698 shares in the last quarter. FMR LLC boosted its position in shares of Compass Diversified by 115.0% during the 3rd quarter. FMR LLC now owns 283,777 shares of the financial services provider’s stock worth $6,280,000 after acquiring an additional 151,783 shares in the last quarter. Swedbank AB acquired a new position in shares of Compass Diversified during the 3rd quarter worth about $3,306,000. Allspring Global Investments Holdings LLC boosted its position in shares of Compass Diversified by 3.4% during the 3rd quarter. Allspring Global Investments Holdings LLC now owns 4,257,759 shares of the financial services provider’s stock worth $94,224,000 after acquiring an additional 140,384 shares in the last quarter. Finally, Sanctuary Advisors LLC acquired a new position in shares of Compass Diversified during the 2nd quarter worth about $2,283,000. 72.73% of the stock is owned by institutional investors and hedge funds.

Compass Diversified Company Profile

Compass Diversified is a private equity firm specializing in add on acquisitions, buyouts, industry consolidation, recapitalization, late stage and middle market investments. It seeks to invest in niche industrial or branded consumer companies, manufacturing, distribution, consumer products, business services sector, healthcare, safety & security, electronic components, food and foodservice.