Driven Brands (NASDAQ:DRVN) Cut to Hold at Canaccord Genuity Group

Key Points

• Canaccord Genuity downgraded Driven Brands from Buy to Hold, setting a $12 price target—about 5.1% above the prior close.
• Analyst views are mixed, but the consensus rating is Hold with a $15.73 target price; ratings range from Strong Buy to Sell.
• Driven Brands shares fell 10.3% in Tuesday midday trading to $11.41.

Driven Brands (NASDAQ:DRVN - Get Free Report) was downgraded by equities research analysts at Canaccord Genuity Group from a "buy" rating to a "hold" rating in a research report issued to clients and investors on Tuesday, Briefing.com reports. They presently have a $12.00 target price on the stock. Canaccord Genuity Group's price objective points to a potential upside of 5.12% from the company's previous close.

Several other equities analysts also recently commented on the stock. Royal Bank Of Canada decreased their price target on shares of Driven Brands from $17.00 to $16.00 and set an "outperform" rating on the stock in a research note on Friday, August 7th. UBS Group restated a "buy" rating on shares of Driven Brands in a research report on Thursday, September 10th. Bank of America began coverage on shares of Driven Brands in a research report on Thursday, September 10th. They set an "underperform" rating and a $12.00 price target on the stock. Barclays initiated coverage on shares of Driven Brands in a research report on Tuesday, September 22nd. They set an "equal weight" rating and a $14.00 price objective on the stock. Finally, Weiss Ratings lowered shares of Driven Brands from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Monday, September 28th. Two research analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating, eight have issued a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, Driven Brands has an average rating of "Hold" and a consensus target price of $15.73.

Driven Brands Trading Down 10.3%

Shares of NASDAQ DRVN traded down $1.30 during midday trading on Tuesday, reaching $11.41. 2,002,583 shares of the stock were exchanged, compared to its average volume of 1,372,615. Driven Brands has a 12 month low of $9.80 and a 12 month high of $17.30. The company has a debt-to-equity ratio of 1.99, a current ratio of 1.47 and a quick ratio of 1.33. The company has a market capitalization of $1.88 billion, a price-to-earnings ratio of 10.75, a P/E/G ratio of 2.02 and a beta of 0.96. The business has a 50-day simple moving average of $12.19 and a two-hundred day simple moving average of $13.29.

Driven Brands (NASDAQ:DRVN - Get Free Report) last released its earnings results on Monday, July 27th. The company reported $0.29 earnings per share (EPS) for the quarter. Driven Brands had a return on equity of 24.13% and a net margin of 8.61%. As a group, equities research analysts expect that Driven Brands will post 1.13 EPS for the current year.

Institutional Investors Weigh In On Driven Brands

Several hedge funds have recently bought and sold shares of the stock. Bfsg LLC raised its stake in shares of Driven Brands by 22.2% during the third quarter. Bfsg LLC now owns 10,094 shares of the company's stock valued at $119,000 after acquiring an additional 1,835 shares during the last quarter. Rockefeller Capital Management L.P. raised its holdings in Driven Brands by 3,373.1% in the fourth quarter. Rockefeller Capital Management L.P. now owns 10,975 shares of the company's stock worth $163,000 after purchasing an additional 10,659 shares in the last quarter. Pictet Asset Management Holding SA purchased a new position in Driven Brands during the 1st quarter valued at about $159,000. Vise Technologies Inc. purchased a new stake in shares of Driven Brands in the 2nd quarter worth approximately $248,000. Finally, Engineers Gate Manager LP purchased a new position in shares of Driven Brands in the 2nd quarter worth about $310,000. 77.08% of the stock is currently owned by institutional investors.

Driven Brands Company Profile

Driven Brands Holdings Inc is an automotive services company that provides vehicle maintenance, repair, collision services and related products through a portfolio of franchised and company-operated brands. Its businesses serve both individual vehicle owners and commercial customers across a range of automotive aftermarket needs.

The company's brands include Take 5 Oil Change, Meineke Car Care Centers, Maaco, 1-800-Radiator & A/C and Auto Glass Now. These brands provide services such as oil changes, routine maintenance, mechanical repair, paint and collision repair, replacement parts distribution and windshield repair and replacement.

Driven Brands was founded in 1972 and is headquartered in Charlotte, North Carolina.

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