Morgan Stanley Issues Pessimistic Forecast for Primo Brands (NYSE:PRMB) Stock Price

Key Points

• Morgan Stanley cut its Primo Brands price target from $29 to $28 but maintained an Overweight rating, implying 17.63% upside from the prior close.
• Analyst views are mixed, though the consensus remains Moderate Buy with a $27.73 price target; ten analysts rate the stock Buy, three Hold, and one Sell.
• Primo Brands slightly beat quarterly estimates, reporting $0.43 EPS versus $0.42 expected and $1.82 billion in revenue versus $1.81 billion expected; revenue rose 3.1% year over year.

Primo Brands (NYSE:PRMB - Get Free Report) had its target price reduced by equities research analysts at Morgan Stanley from $29.00 to $28.00 in a report released on Monday, Benzinga reports. The brokerage presently has an "overweight" rating on the stock. Morgan Stanley's target price would indicate a potential upside of 17.63% from the stock's previous close.

PRMB has been the subject of a number of other reports. Weiss Ratings reissued a "hold (c)" rating on shares of Primo Brands in a research note on Wednesday. Zacks Research lowered shares of Primo Brands from a "hold" rating to a "strong sell" rating in a research note on Friday, October 30th. Royal Bank Of Canada restated an "outperform" rating on shares of Primo Brands in a research note on Wednesday. JPMorgan Chase & Co. cut their price target on Primo Brands from $30.00 to $26.00 and set an "overweight" rating on the stock in a report on Friday, October 30th. Finally, TD boosted their price objective on Primo Brands from $29.00 to $35.00 and gave the stock a "buy" rating in a research report on Thursday, August 6th. Ten equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, Primo Brands currently has a consensus rating of "Moderate Buy" and a consensus price target of $27.73.

Primo Brands Stock Performance

PRMB stock traded up $1.41 during mid-day trading on Monday, reaching $23.80. The company had a trading volume of 2,892,049 shares, compared to its average volume of 4,659,649. The company has a quick ratio of 0.86, a current ratio of 1.05 and a debt-to-equity ratio of 1.71. The stock has a market capitalization of $8.63 billion, a P/E ratio of 42.51, a P/E/G ratio of 2.26 and a beta of 0.73. Primo Brands has a one year low of $14.80 and a one year high of $26.21. The stock's 50-day simple moving average is $20.31 and its two-hundred day simple moving average is $21.46.

Primo Brands (NYSE:PRMB - Get Free Report) last announced its quarterly earnings results on Thursday, November 5th. The company reported $0.43 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.42 by $0.01. The company had revenue of $1.82 billion during the quarter, compared to the consensus estimate of $1.81 billion. Primo Brands had a net margin of 3.06% and a return on equity of 14.64%. The company's revenue for the quarter was up 3.1% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.41 earnings per share. Research analysts anticipate that Primo Brands will post 1.27 EPS for the current year.

Hedge Funds Weigh In On Primo Brands

A number of institutional investors and hedge funds have recently bought and sold shares of PRMB. Russell Investments Group Ltd. boosted its holdings in shares of Primo Brands by 40.8% in the third quarter. Russell Investments Group Ltd. now owns 770,909 shares of the company's stock valued at $14,686,000 after acquiring an additional 223,213 shares in the last quarter. CENTRAL TRUST Co raised its holdings in Primo Brands by 801.9% during the third quarter. CENTRAL TRUST Co now owns 6,945 shares of the company's stock worth $132,000 after purchasing an additional 6,175 shares in the last quarter. Maryland State Retirement & Pension System raised its holdings in Primo Brands by 13.1% during the third quarter. Maryland State Retirement & Pension System now owns 14,118 shares of the company's stock worth $269,000 after purchasing an additional 1,640 shares in the last quarter. Machina Capital S.A.S. raised its holdings in Primo Brands by 53.9% during the third quarter. Machina Capital S.A.S. now owns 19,415 shares of the company's stock worth $370,000 after purchasing an additional 6,800 shares in the last quarter. Finally, Knights of Columbus Asset Advisors LLC lifted its position in Primo Brands by 15.1% in the third quarter. Knights of Columbus Asset Advisors LLC now owns 201,571 shares of the company's stock worth $3,840,000 after purchasing an additional 26,436 shares during the period. Institutional investors own 87.71% of the company's stock.

About Primo Brands

Primo Brands is a North American beverage company focused on bottled water and water-related products and services. Its offerings include spring, purified and mineral water, water dispensers and filtration products, as well as water delivery for homes and businesses.

The company's portfolio includes brands such as Poland Spring, Deer Park, Pure Life, Ice Mountain, Ozarka, Arrowhead and Primo. Its products are sold through retail channels and delivered directly to consumers and businesses.

Primo Brands was formed in 2024 through the combination of Primo Water Corporation and BlueTriton Brands.

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