Cricut (NASDAQ:CRCT) Shares Gap Down - Here's What Happened

Shares of Cricut, Inc. (NASDAQ:CRCT - Get Free Report) gapped down before the market opened on Friday . The stock had previously closed at $5.91, but opened at $5.73. Cricut shares last traded at $5.85, with a volume of 74,515 shares.

Wall Street Analysts Forecast Growth

CRCT has been the topic of several research analyst reports. Morgan Stanley decreased their target price on shares of Cricut from $3.90 to $3.80 and set an "underweight" rating on the stock in a research report on Thursday, March 6th. Citigroup reaffirmed a "sell" rating and issued a $4.00 price objective (down previously from $6.00) on shares of Cricut in a research report on Monday, April 14th.

Cricut Trading Down 1.6%

The company has a market capitalization of $1.32 billion, a price-to-earnings ratio of 22.25 and a beta of 0.01. The stock has a 50-day simple moving average of $5.31 and a 200-day simple moving average of $5.51.

Cricut (NASDAQ:CRCT - Get Free Report) last released its earnings results on Tuesday, May 6th. The company reported $0.11 earnings per share for the quarter, topping the consensus estimate of $0.08 by $0.03. Cricut had a net margin of 8.47% and a return on equity of 12.36%. The company had revenue of $162.63 million during the quarter, compared to the consensus estimate of $158.55 million. On average, research analysts forecast that Cricut, Inc. will post 0.28 EPS for the current year.

Cricut Cuts Dividend

The company also recently disclosed a semi-annual dividend, which will be paid on Monday, July 21st. Investors of record on Monday, July 7th will be paid a dividend of $0.10 per share. This represents a yield of 3.3%. The ex-dividend date of this dividend is Monday, July 7th. Cricut's dividend payout ratio (DPR) is presently 64.52%.

Insider Activity

In other news, CEO Arora Ashish sold 60,000 shares of the company's stock in a transaction dated Friday, May 23rd. The shares were sold at an average price of $5.94, for a total transaction of $356,400.00. Following the completion of the transaction, the chief executive officer now owns 3,291,931 shares in the company, valued at approximately $19,554,070.14. This represents a 1.79% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. In the last three months, insiders sold 305,009 shares of company stock valued at $1,820,894. Company insiders own 18.61% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. R Squared Ltd bought a new stake in shares of Cricut during the fourth quarter valued at approximately $36,000. MQS Management LLC acquired a new stake in Cricut in the 1st quarter valued at approximately $59,000. Copeland Capital Management LLC acquired a new stake in Cricut in the 4th quarter valued at approximately $63,000. Olympiad Research LP bought a new stake in Cricut during the 4th quarter valued at $67,000. Finally, Caisse Des Depots ET Consignations acquired a new position in Cricut during the 4th quarter worth $72,000. 19.60% of the stock is owned by institutional investors and hedge funds.

About Cricut

Cricut, Inc engages in the design, marketing, and distribution of a creativity platform that enables users to turn ideas into professional-looking handmade goods. It operates through three segments: Connected Machines, Subscriptions, and Accessories and Materials. The company offers connected machines, design apps, and accessories and materials for users to create personalized birthday cards, mugs, T-shirts, and large-scale interior decorations.