CompoSecure (NASDAQ:CMPO) Trading Down 4.8% Following Insider Selling

Key Points

• CompoSecure's stock price declined by 4.8% during trading, reaching a low of $18.67 before ending at $18.51, significantly below its previous close of $19.45.
• Recent analyst reports show mixed ratings, with Wall Street Zen downgrading the stock from "buy" to "hold", while Benchmark maintains a "buy" rating and raised the price target to $17.00.
• The company reported earnings per share of $0.25 for the last quarter, exceeding expectations, but also has a high negative net margin of -24.53% and a negative return on equity of -65.50%.

CompoSecure, Inc. (NASDAQ:CMPO - Get Free Report) shares were down 4.8% during mid-day trading on Friday following insider selling activity. The stock traded as low as $18.67 and last traded at $18.51. Approximately 77,928 shares were traded during trading, a decline of 92% from the average daily volume of 934,854 shares. The stock had previously closed at $19.45.

Specifically, COO Gregoire Maes sold 19,899 shares of CompoSecure stock in a transaction on Wednesday, August 13th. The shares were sold at an average price of $19.26, for a total transaction of $383,254.74. Following the completion of the sale, the chief operating officer owned 779,062 shares of the company's stock, valued at $15,004,734.12. This trade represents a 2.49% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, COO Gregoire Maes sold 97,226 shares of CompoSecure stock in a transaction on Thursday, August 14th. The shares were sold at an average price of $19.36, for a total transaction of $1,882,295.36. Following the sale, the chief operating officer directly owned 779,062 shares of the company's stock, valued at $15,082,640.32. This trade represents a 11.10% decrease in their position. The disclosure for this sale can be found here. In other CompoSecure news, CFO Timothy Walter Fitzsimmons sold 100,000 shares of CompoSecure stock in a transaction on Tuesday, August 12th. The shares were sold at an average price of $18.74, for a total transaction of $1,874,000.00. Following the completion of the sale, the chief financial officer owned 759,789 shares of the company's stock, valued at $14,238,445.86. This trade represents a 11.63% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on CMPO shares. JPMorgan Chase & Co. reissued an "underweight" rating and set a $16.00 target price on shares of CompoSecure in a research note on Wednesday. Wall Street Zen lowered shares of CompoSecure from a "buy" rating to a "hold" rating in a research note on Thursday, May 22nd. Benchmark lifted their target price on shares of CompoSecure from $14.00 to $17.00 and gave the company a "buy" rating in a research note on Friday, August 8th. B. Riley reissued a "buy" rating and set a $23.00 target price (up previously from $17.00) on shares of CompoSecure in a research note on Monday. Finally, Needham & Company LLC reaffirmed a "buy" rating and issued a $15.00 price objective on shares of CompoSecure in a research note on Tuesday, May 13th. Five research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average price target of $17.67.

CompoSecure Stock Performance

The firm's 50 day moving average is $14.99 and its 200-day moving average is $13.34. The firm has a market cap of $1.95 billion, a price-to-earnings ratio of -11.32 and a beta of 0.94.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. GAMMA Investing LLC lifted its position in CompoSecure by 1,524.4% during the 1st quarter. GAMMA Investing LLC now owns 2,794 shares of the company's stock worth $30,000 after acquiring an additional 2,622 shares during the last quarter. Tower Research Capital LLC TRC lifted its position in CompoSecure by 25.8% during the 2nd quarter. Tower Research Capital LLC TRC now owns 3,478 shares of the company's stock worth $49,000 after acquiring an additional 713 shares during the last quarter. MorganRosel Wealth Management LLC acquired a new position in CompoSecure during the 1st quarter worth $43,000. Ameritas Investment Partners Inc. lifted its position in CompoSecure by 80.0% during the 2nd quarter. Ameritas Investment Partners Inc. now owns 4,488 shares of the company's stock worth $63,000 after acquiring an additional 1,995 shares during the last quarter. Finally, AlphaQuest LLC acquired a new position in CompoSecure during the 1st quarter worth $72,000. Institutional investors and hedge funds own 37.56% of the company's stock.

CompoSecure Company Profile

CompoSecure, Inc manufactures and designs metal, composite, and proprietary financial transaction cards in the United States and internationally. Its primary metal form factors include embedded, metal veneer lite, metal veneer, and full metal products. The company also offers Arculus Cold Storage Wallet, a three-factor authentication solution, which supports specific digital assets, including Bitcoin, Ethereum, non-fungible tokens and others.