BellRing Brands Inc. (NYSE:BRBR) Given Consensus Rating of "Moderate Buy" by Brokerages

Key Points

• BellRing Brands Inc. has received a consensus rating of "Moderate Buy" from brokers, with the average one-year price target set at $61.56.
• The company has authorized a share repurchase program of $400 million, indicating management's belief that its shares are undervalued.
• Insiders have shown confidence in the company by purchasing significant amounts of stock, reflecting a 19.69% increase in ownership by a director and an overall increase of 6,616 shares by insiders.

BellRing Brands Inc. (NYSE:BRBR - Get Free Report) has been assigned a consensus rating of "Moderate Buy" from the eighteen ratings firms that are presently covering the stock, Marketbeat Ratings reports. One investment analyst has rated the stock with a sell rating, three have issued a hold rating and fourteen have given a buy rating to the company. The average 1 year price objective among brokerages that have issued ratings on the stock in the last year is $61.5625.

Several equities research analysts have recently issued reports on the stock. Evercore ISI decreased their price objective on shares of BellRing Brands from $82.00 to $64.00 and set an "outperform" rating for the company in a research report on Wednesday, August 6th. Stephens upgraded BellRing Brands from an "equal weight" rating to an "overweight" rating and cut their price target for the company from $68.00 to $50.00 in a research note on Wednesday, August 6th. Barclays cut their price target on BellRing Brands from $75.00 to $50.00 and set an "overweight" rating on the stock in a research note on Thursday, August 7th. Sanford C. Bernstein began coverage on BellRing Brands in a research report on Thursday. They set an "outperform" rating and a $46.00 target price on the stock. Finally, Stifel Nicolaus cut their target price on BellRing Brands from $66.00 to $56.00 and set a "buy" rating on the stock in a research report on Friday.

BellRing Brands Price Performance

BRBR stock opened at $33.05 on Friday. The firm has a market capitalization of $4.16 billion, a P/E ratio of 18.88, a P/E/G ratio of 1.63 and a beta of 0.75. The business's 50-day moving average is $36.93 and its two-hundred day moving average is $52.75. BellRing Brands has a 1 year low of $32.00 and a 1 year high of $80.67.

BellRing Brands (NYSE:BRBR - Get Free Report) last issued its earnings results on Monday, February 28th. The company reported $0.22 earnings per share for the quarter. The firm had revenue of $282.40 million for the quarter. BellRing Brands had a net margin of 10.26% and a negative return on equity of 123.43%. On average, analysts expect that BellRing Brands will post 2.23 EPS for the current year.

BellRing Brands announced that its board has authorized a share repurchase program on Tuesday, September 2nd that authorizes the company to buyback $400.00 million in outstanding shares. This buyback authorization authorizes the company to buy up to 7.7% of its shares through open market purchases. Shares buyback programs are typically an indication that the company's management believes its shares are undervalued.

Insiders Place Their Bets

In related news, insider Craig L. Rosenthal purchased 2,600 shares of the business's stock in a transaction that occurred on Wednesday, August 6th. The shares were purchased at an average cost of $37.29 per share, for a total transaction of $96,954.00. Following the purchase, the insider directly owned 33,475 shares of the company's stock, valued at $1,248,282.75. The trade was a 8.42% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Shawn Conway purchased 1,316 shares of the business's stock in a transaction that occurred on Thursday, August 14th. The shares were bought at an average price of $49,999.99 per share, for a total transaction of $65,799,986.84. Following the completion of the purchase, the director directly owned 8,001 shares in the company, valued at $400,049,919.99. This represents a 19.69% increase in their ownership of the stock. The disclosure for this purchase can be found here. Over the last quarter, insiders have purchased 6,616 shares of company stock valued at $65,995,248. 1.07% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in BRBR. William Blair Investment Management LLC acquired a new position in BellRing Brands during the second quarter worth approximately $124,777,000. Axiom Investors LLC DE increased its holdings in shares of BellRing Brands by 418.1% in the 1st quarter. Axiom Investors LLC DE now owns 2,248,924 shares of the company's stock valued at $167,455,000 after acquiring an additional 1,814,811 shares during the period. Holocene Advisors LP increased its stake in BellRing Brands by 50.7% in the second quarter. Holocene Advisors LP now owns 3,928,395 shares of the company's stock valued at $227,572,000 after purchasing an additional 1,320,849 shares during the period. Junto Capital Management LP acquired a new position in BellRing Brands in the first quarter valued at $97,725,000. Finally, Norges Bank acquired a new position in BellRing Brands in the second quarter valued at $66,057,000. Institutional investors and hedge funds own 94.97% of the company's stock.

About BellRing Brands

BellRing Brands, Inc, together with its subsidiaries, provides various nutrition products in the United States. The company offers ready-to-drink (RTD) protein shakes, other RTD beverages, powders, nutrition bars, and other products primarily under the Premier Protein and Dymatize brands. It distributes its products through club, food, drug, mass, eCommerce, specialty, and convenience channels.

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