Cricut (NASDAQ:CRCT) Shares Gap Up After Earnings Beat

Cricut, Inc. (NASDAQ:CRCT - Get Free Report)'s share price gapped up prior to trading on Wednesday following a stronger than expected earnings report. The stock had previously closed at $5.07, but opened at $5.39. Cricut shares last traded at $6.08, with a volume of 900,777 shares.

The company reported $0.11 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.08 by $0.03. The firm had revenue of $162.63 million during the quarter, compared to the consensus estimate of $158.55 million. Cricut had a return on equity of 12.36% and a net margin of 8.47%.

Analyst Upgrades and Downgrades

Several research firms have commented on CRCT. Morgan Stanley decreased their target price on shares of Cricut from $3.90 to $3.80 and set an "underweight" rating for the company in a research report on Thursday, March 6th. Citigroup reiterated a "sell" rating and issued a $4.00 price objective (down from $6.00) on shares of Cricut in a report on Monday, April 14th.

Insider Activity

In other Cricut news, CEO Arora Ashish sold 5,283 shares of the business's stock in a transaction on Thursday, March 27th. The shares were sold at an average price of $5.25, for a total transaction of $27,735.75. Following the completion of the transaction, the chief executive officer now owns 4,059,329 shares of the company's stock, valued at $21,311,477.25. The trade was a 0.13 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Insiders have sold a total of 185,009 shares of company stock valued at $1,040,894 over the last 90 days. 18.02% of the stock is currently owned by company insiders.

Institutional Trading of Cricut

A number of hedge funds have recently bought and sold shares of CRCT. R Squared Ltd bought a new position in Cricut during the fourth quarter worth about $36,000. MQS Management LLC bought a new stake in shares of Cricut during the first quarter worth $59,000. Copeland Capital Management LLC bought a new position in Cricut in the fourth quarter valued at approximately $63,000. Drive Wealth Management LLC acquired a new position in shares of Cricut in the 4th quarter valued at $64,000. Finally, Olympiad Research LP bought a new position in Cricut during the fourth quarter worth about $67,000. 19.60% of the stock is owned by institutional investors.

Cricut Stock Performance

The company has a market capitalization of $1.27 billion, a price-to-earnings ratio of 21.75 and a beta of 0.01. The company has a 50-day moving average price of $5.02 and a 200-day moving average price of $5.52.

Cricut Company Profile

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.

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