The Honest Company, Inc. (HNST) - What Are Brokerages Saying About This Stock?

Key Points

• Analyst sentiment is mixed: Eight firms have a consensus “Hold” rating, with an average 12-month price target of $5.42.
• Q3 results showed improving profitability: Revenue of $84.6 million beat estimates, organic revenue grew 9.2%, and adjusted EBITDA reached $6.3 million; however, reported revenue was down 8.6% year over year.
• Honest raised its 2026 adjusted EBITDA outlook to $25 million–$26 million and authorized a $30 million share repurchase. Full-year revenue guidance of $322 million–$325 million is broadly in line with consensus.

The Honest Company, Inc. (NASDAQ:HNST - Get Free Report) has received a consensus recommendation of "Hold" from the eight research firms that are presently covering the firm, MarketBeat reports. Two investment analysts have rated the stock with a sell rating, three have assigned a hold rating, two have given a buy rating and one has issued a strong buy rating on the company. The average 12 month price target among analysts that have updated their coverage on the stock in the last year is $5.42.

Several equities research analysts have weighed in on HNST shares. Weiss Ratings lowered shares of Honest from a "hold (c-)" rating to a "sell (d+)" rating in a report on Monday, November 2nd. Freedom Capital raised shares of Honest from a "hold" rating to a "strong-buy" rating in a report on Thursday, August 6th. Alliance Global Partners restated a "buy" rating on shares of Honest in a research report on Thursday, August 6th. Telsey Advisory Group upped their price objective on shares of Honest from $4.00 to $5.00 and gave the company a "market perform" rating in a research report on Thursday, August 6th. Finally, B. Riley Financial reaffirmed a "buy" rating and set a $5.50 price objective (up from $5.00) on shares of Honest in a research note on Friday.

Honest Stock Performance

Shares of NASDAQ:HNST opened at $4.67 on Monday. The firm has a market cap of $509.40 million, a PE ratio of 6.77 and a beta of 2.48. Honest has a twelve month low of $2.07 and a twelve month high of $6.01. The business has a fifty day moving average of $5.12 and a 200-day moving average of $3.82.

Honest (NASDAQ:HNST - Get Free Report) last announced its quarterly earnings data on Thursday, November 5th. The company reported $0.03 earnings per share (EPS) for the quarter. The firm had revenue of $84.61 million for the quarter, compared to analysts' expectations of $80.79 million. Honest had a net margin of 23.47% and a return on equity of 5.82%. On average, analysts anticipate that Honest will post 0.05 EPS for the current fiscal year.

Insider Buying and Selling

In other Honest news, insider Dorria Ball sold 6,812 shares of the stock in a transaction dated Thursday, August 20th. The stock was sold at an average price of $4.99, for a total value of $33,991.88. Following the completion of the sale, the insider directly owned 418,584 shares in the company, valued at $2,088,734.16. This represents a 1.60% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Jonathan Mayle sold 6,161 shares of the firm's stock in a transaction dated Thursday, August 20th. The stock was sold at an average price of $4.99, for a total value of $30,743.39. Following the sale, the senior vice president directly owned 363,994 shares in the company, valued at approximately $1,816,330.06. This represents a 1.66% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 180,753 shares of company stock valued at $908,627. 9.40% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the stock. BlackRock Inc. acquired a new position in Honest in the 2nd quarter worth $25,662,000. Knights of Columbus Asset Advisors LLC increased its holdings in Honest by 0.5% during the 3rd quarter. Knights of Columbus Asset Advisors LLC now owns 520,924 shares of the company's stock worth $2,672,000 after purchasing an additional 2,439 shares in the last quarter. Green Alpha Advisors LLC raised its stake in shares of Honest by 30.1% in the 3rd quarter. Green Alpha Advisors LLC now owns 387,992 shares of the company's stock valued at $1,990,000 after purchasing an additional 89,720 shares during the period. Bank of America Corp DE raised its stake in shares of Honest by 28.4% in the 1st quarter. Bank of America Corp DE now owns 223,099 shares of the company's stock valued at $656,000 after purchasing an additional 49,342 shares during the period. Finally, State of Wyoming raised its stake in shares of Honest by 488.4% in the 3rd quarter. State of Wyoming now owns 120,765 shares of the company's stock valued at $620,000 after purchasing an additional 100,241 shares during the period. Institutional investors own 45.54% of the company's stock.

Key Honest News

Here are the key news stories impacting Honest this week:

• Positive Sentiment: Q3 revenue of $84.6 million beat analyst estimates of $80.79 million, while organic revenue grew 9.2%. Gross margin increased 7.7 percentage points to 45.0%, and adjusted EBITDA rose to $6.3 million, with a 7.9% margin. Reported net income was $91.3 million, but underlying adjusted net income was $3.1 million, so the reported figure should not be taken as a measure of recurring profitability. Third-quarter results
• Positive Sentiment: Honest raised its 2026 adjusted EBITDA outlook to $25 million–$26 million and authorized a $30 million share repurchase, signaling improved expectations and a commitment to return capital to shareholders. Outlook and buyback
• Positive Sentiment: B. Riley reaffirmed its Buy rating and raised its price target to $5.50 from $5.00. Analyst rating
• Neutral Sentiment: Full-year 2026 revenue guidance of $322 million–$325 million is broadly in line with the $322.5 million consensus estimate. Company outlook
• Negative Sentiment: Despite organic growth and the quarterly revenue beat, reported Q3 revenue fell 8.6% year over year, a sign that headline sales trends remain a concern. Quarterly results

About Honest

The Honest Company, Inc is a consumer products company that develops and sells personal care, beauty, baby, and household products. Its offerings include diapers, wipes, baby care items, skin care, hair care, personal care products, and household cleaning solutions, with an emphasis on ingredient transparency and products positioned as safer and more sustainable alternatives.

Founded in 2011 by actress and entrepreneur Jessica Alba, Honest sells its products through its website and retail partners.

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