B. Riley Financial Reaffirms “Buy” Rating for Honest (NASDAQ:HNST)

Honest (NASDAQ:HNST)‘s stock had its “buy” rating reiterated by B. Riley Financial in a research note issued to investors on Friday, Benzinga reports. They currently have a $5.50 price objective on the stock, up from their previous price objective of $5.00. B. Riley Financial‘s price objective points to a potential upside of 17.77% from the company’s current price.

A number of other research analysts also recently commented on HNST. Weiss Ratings downgraded Honest from a “hold (c-)” rating to a “sell (d+)” rating in a report on Monday, November 2nd. Morgan Stanley lifted their price objective on Honest from $3.40 to $5.70 and gave the stock an “equal weight” rating in a report on Wednesday, August 12th. Telsey Advisory Group upped their target price on Honest from $4.00 to $5.00 and gave the company a “market perform” rating in a research report on Thursday, August 6th. Northland Securities set a $5.50 target price on Honest in a research note on Thursday, August 6th. Finally, Wall Street Zen upgraded Honest from a “hold” rating to a “buy” rating in a research note on Saturday, August 8th. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, three have issued a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $5.42.

Honest Price Performance

Shares of HNST stock opened at $4.67 on Friday. The company’s fifty day moving average price is $5.12 and its two-hundred day moving average price is $3.82. The firm has a market capitalization of $514.07 million, a P/E ratio of 6.77 and a beta of 2.48. Honest has a 12 month low of $2.07 and a 12 month high of $6.01.

Honest (NASDAQ:HNST) last announced its earnings results on Thursday, November 5th. The company reported $0.03 earnings per share for the quarter. Honest had a return on equity of 5.82% and a net margin of 23.47%. The company had revenue of $84.61 million during the quarter, compared to the consensus estimate of $80.79 million. On average, sell-side analysts anticipate that Honest will post 0.05 EPS for the current year.

Insiders Place Their Bets

In other news, Director Andrea Turner sold 29,899 shares of the company’s stock in a transaction dated Tuesday, August 11th. The shares were sold at an average price of $5.21, for a total value of $155,773.79. Following the sale, the director owned 252,405 shares in the company, valued at approximately $1,315,030.05. This represents a 10.59% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, SVP Jonathan Mayle sold 6,161 shares of the stock in a transaction dated Thursday, August 20th. The stock was sold at an average price of $4.99, for a total transaction of $30,743.39. Following the transaction, the senior vice president directly owned 363,994 shares in the company, valued at $1,816,330.06. The trade was a 1.66% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 294,149 shares of company stock worth $1,503,306. Company insiders own 9.40% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. BlackRock Inc. bought a new stake in shares of Honest in the 2nd quarter valued at approximately $25,662,000. Knights of Columbus Asset Advisors LLC raised its position in shares of Honest by 0.5% during the 3rd quarter. Knights of Columbus Asset Advisors LLC now owns 520,924 shares of the company’s stock valued at $2,672,000 after acquiring an additional 2,439 shares in the last quarter. Green Alpha Advisors LLC lifted its stake in Honest by 30.1% during the third quarter. Green Alpha Advisors LLC now owns 387,992 shares of the company’s stock worth $1,990,000 after purchasing an additional 89,720 shares during the last quarter. Bank of America Corp DE bought a new position in Honest during the second quarter worth $715,000. Finally, State of Wyoming lifted its stake in Honest by 488.4% during the third quarter. State of Wyoming now owns 120,765 shares of the company’s stock worth $620,000 after purchasing an additional 100,241 shares during the last quarter. Institutional investors own 45.54% of the company’s stock.

Trending Headlines about Honest

Here are the key news stories impacting Honest this week:

• Positive Sentiment: Q3 revenue of $84.6 million beat analyst estimates of $80.79 million, while organic revenue grew 9.2%. Gross margin increased 7.7 percentage points to 45.0%, and adjusted EBITDA rose to $6.3 million, with a 7.9% margin. Reported net income was $91.3 million, but underlying adjusted net income was $3.1 million, so the reported figure should not be taken as a measure of recurring profitability. Third-quarter results
• Positive Sentiment: Honest raised its 2026 adjusted EBITDA outlook to $25 million–$26 million and authorized a $30 million share repurchase, signaling improved expectations and a commitment to return capital to shareholders. Outlook and buyback
• Positive Sentiment: B. Riley reaffirmed its Buy rating and raised its price target to $5.50 from $5.00. Analyst rating
• Neutral Sentiment: Full-year 2026 revenue guidance of $322 million–$325 million is broadly in line with the $322.5 million consensus estimate. Company outlook
• Negative Sentiment: Despite organic growth and the quarterly revenue beat, reported Q3 revenue fell 8.6% year over year, a sign that headline sales trends remain a concern. Quarterly results

About Honest

The Honest Company, Inc is a consumer products company that develops and sells personal care, beauty, baby, and household products. Its offerings include diapers, wipes, baby care items, skin care, hair care, personal care products, and household cleaning solutions, with an emphasis on ingredient transparency and products positioned as safer and more sustainable alternatives.

Founded in 2011 by actress and entrepreneur Jessica Alba, Honest sells its products through its website and retail partners.