Cricut, Inc. (NASDAQ:CRCT) Stock Has Consensus Target Price of $4.07 According to Analysts

Key Points

• Analyst sentiment is bearish: Six brokerages give Cricut a consensus “Strong Sell” rating, with four sells and two holds. The average 12-month price target is $4.07, below the reported $6.45 share price.
• Insiders have been selling shares: Company insiders sold 610,000 shares worth approximately $3.5 million over the past three months, though insiders still own 16.48% of Cricut.
• Recent results exceeded profit expectations: Cricut reported quarterly EPS of $0.19 versus the $0.06 consensus estimate, while revenue of $156.28 million fell short of analyst expectations of $159.95 million.

Cricut, Inc. (NASDAQ:CRCT - Get Free Report) has earned an average recommendation of "Strong Sell" from the six brokerages that are covering the stock, Marketbeat Ratings reports. Four analysts have rated the stock with a sell recommendation and two have assigned a hold recommendation to the company. The average 12-month target price among analysts that have covered the stock in the last year is $4.07.

CRCT has been the topic of a number of research analyst reports. Morgan Stanley restated an "underweight" rating and set a $3.70 price objective on shares of Cricut in a report on Wednesday, August 5th. Weiss Ratings raised shares of Cricut from a "hold (c-)" rating to a "hold (c)" rating in a research report on Thursday, August 6th. The Goldman Sachs Group began coverage on shares of Cricut in a research note on Wednesday, August 19th. They issued a "sell" rating and a $4.50 target price for the company. Finally, Zacks Research lowered shares of Cricut from a "strong-buy" rating to a "hold" rating in a research note on Monday, October 5th.

Insider Buying and Selling

In other Cricut news, insider Ryan Harmer sold 10,000 shares of Cricut stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $5.70, for a total value of $57,000.00. Following the sale, the insider directly owned 314,428 shares in the company, valued at approximately $1,792,239.60. The trade was a 3.08% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Ashish Arora sold 60,000 shares of Cricut stock in a transaction dated Monday, October 5th. The shares were sold at an average price of $6.43, for a total value of $385,800.00. Following the completion of the sale, the chief executive officer directly owned 5,088,740 shares in the company, valued at approximately $32,720,598.20. This represents a 1.17% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 610,000 shares of company stock worth $3,504,600. 16.48% of the stock is owned by insiders.

Hedge Funds Weigh In On Cricut

A number of institutional investors have recently added to or reduced their stakes in CRCT. Dimensional Fund Advisors LP lifted its stake in Cricut by 30.4% in the first quarter. Dimensional Fund Advisors LP now owns 985,868 shares of the company's stock valued at $3,687,000 after acquiring an additional 229,663 shares during the last quarter. Renaissance Technologies LLC increased its stake in shares of Cricut by 2.7% during the 1st quarter. Renaissance Technologies LLC now owns 879,143 shares of the company's stock worth $3,288,000 after purchasing an additional 23,300 shares during the last quarter. Bank of New York Mellon Corp bought a new stake in shares of Cricut in the 2nd quarter valued at about $2,409,000. Empowered Funds LLC raised its holdings in shares of Cricut by 18.1% in the 1st quarter. Empowered Funds LLC now owns 420,595 shares of the company's stock valued at $1,573,000 after purchasing an additional 64,362 shares during the period. Finally, Bank of America Corp DE raised its holdings in shares of Cricut by 124.4% in the 1st quarter. Bank of America Corp DE now owns 116,790 shares of the company's stock valued at $437,000 after purchasing an additional 64,737 shares during the period. 19.60% of the stock is currently owned by institutional investors and hedge funds.

Cricut Stock Performance

NASDAQ CRCT opened at $6.45 on Monday. The stock has a market cap of $1.35 billion, a price-to-earnings ratio of 15.00 and a beta of 0.25. The business has a 50 day simple moving average of $5.93 and a 200 day simple moving average of $4.94. Cricut has a 52-week low of $3.73 and a 52-week high of $6.82.

Cricut (NASDAQ:CRCT - Get Free Report) last announced its quarterly earnings results on Tuesday, August 4th. The company reported $0.19 earnings per share for the quarter, beating analysts' consensus estimates of $0.06 by $0.13. The firm had revenue of $156.28 million for the quarter, compared to analyst estimates of $159.95 million. Cricut had a net margin of 12.71% and a return on equity of 24.57%. On average, analysts predict that Cricut will post 0.32 EPS for the current year.

Cricut Company Profile

Cricut, Inc develops and sells digital crafting technology that enables users to design, make and personalize projects. Its ecosystem includes connected cutting, heat-press, engraving and other crafting machines, along with the company's Design Space software, which allows users to create projects, prepare designs and operate compatible devices.

The company also offers a broad selection of consumable materials and accessories, including vinyl, iron-on materials, paper, specialty fabrics, cutting tools, replacement components and related crafting supplies.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.