Honest (NASDAQ:HNST) Upgraded by Zacks Research to “Hold” Rating

Honest (NASDAQ:HNST) was upgraded by stock analysts at Zacks Research from a “strong sell” rating to a “hold” rating in a research report issued to clients and investors on Thursday,Zacks.com reports.

Other research analysts also recently issued research reports about the company. Telsey Advisory Group reissued a “market perform” rating and set a $3.00 target price on shares of Honest in a research note on Thursday, February 26th. Morgan Stanley set a $3.00 price target on shares of Honest in a report on Wednesday, March 4th. JPMorgan Chase & Co. reiterated an “underweight” rating on shares of Honest in a research report on Friday, January 16th. Weiss Ratings restated a “sell (d+)” rating on shares of Honest in a research report on Thursday, January 22nd. Finally, Wall Street Zen raised shares of Honest from a “sell” rating to a “hold” rating in a research note on Sunday, March 15th. One analyst has rated the stock with a Buy rating, four have issued a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, Honest currently has a consensus rating of “Reduce” and a consensus target price of $3.00.

Honest Stock Performance

Shares of HNST opened at $2.88 on Thursday. Honest has a 52-week low of $2.07 and a 52-week high of $5.55. The firm has a market cap of $323.91 million, a price-to-earnings ratio of -20.57 and a beta of 2.27. The business’s fifty day moving average is $2.54 and its 200-day moving average is $2.93.

Honest (NASDAQ:HNST) last announced its quarterly earnings data on Wednesday, February 25th. The company reported ($0.21) earnings per share for the quarter, missing the consensus estimate of $0.02 by ($0.23). The business had revenue of $88.04 million for the quarter, compared to the consensus estimate of $88.57 million. Honest had a positive return on equity of 4.57% and a negative net margin of 4.22%. As a group, research analysts forecast that Honest will post -0.07 EPS for the current fiscal year.

Honest announced that its Board of Directors has approved a share buyback plan on Friday, February 20th that permits the company to buyback $25.00 million in outstanding shares. This buyback authorization permits the company to repurchase up to 9.9% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s management believes its stock is undervalued.

Insider Buying and Selling

In related news, insider Dorria L. Ball sold 15,099 shares of Honest stock in a transaction that occurred on Thursday, March 5th. The shares were sold at an average price of $2.85, for a total transaction of $43,032.15. Following the sale, the insider directly owned 432,295 shares in the company, valued at $1,232,040.75. This trade represents a 3.37% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, SVP Kunssberg Etienne Von sold 12,179 shares of the business’s stock in a transaction that occurred on Thursday, March 5th. The stock was sold at an average price of $2.85, for a total transaction of $34,710.15. Following the sale, the senior vice president directly owned 308,710 shares in the company, valued at $879,823.50. The trade was a 3.80% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 191,894 shares of company stock valued at $546,898 over the last three months. Insiders own 8.90% of the company’s stock.

Hedge Funds Weigh In On Honest

Several large investors have recently modified their holdings of the business. Amicus Financial Advisors LLC acquired a new position in shares of Honest during the fourth quarter worth $29,000. Alpine Global Management LLC bought a new position in Honest during the 4th quarter worth $86,000. Virtu Financial LLC bought a new position in Honest during the 4th quarter worth $448,000. Invesco Ltd. lifted its holdings in Honest by 45.9% during the 4th quarter. Invesco Ltd. now owns 186,991 shares of the company’s stock worth $482,000 after buying an additional 58,784 shares during the period. Finally, Inspire Investing LLC lifted its holdings in Honest by 47.1% during the 4th quarter. Inspire Investing LLC now owns 181,076 shares of the company’s stock worth $467,000 after buying an additional 57,956 shares during the period. Institutional investors own 45.54% of the company’s stock.

About Honest

The Honest Company, Inc (NASDAQ: HNST) is an American consumer goods firm specializing in eco-friendly and responsibly formulated products for babies, personal care, beauty and home cleaning. The company emphasizes transparency in ingredient sourcing and product safety, positioning itself in the premium segment of mass-market retail and direct-to-consumer channels.

Honest was founded in 2011 by actress Jessica Alba and environmental health advocate Christopher Gavigan with a mission to offer parents household and baby care items free from harsh chemicals and synthetic fragrances.