Driven Brands (NASDAQ:DRVN) Upgraded at Robert W. Baird

Key Points

• Robert W. Baird upgraded Driven Brands to “strong-buy”, adding to a mixed analyst backdrop that currently averages to a “Moderate Buy” consensus with a $17.86 price target.
• Driven Brands recently reported adjusted EPS of $0.34, topping estimates of $0.24, but revenue of $259.6 million came in well below expectations, highlighting uneven operating performance.
• The company also provided FY 2026 EPS guidance of $1.15 to $1.25 and 2026 revenue guidance of $2.0 billion to $2.1 billion, while the stock traded down 1.8% to $12.99 on Wednesday.

Driven Brands (NASDAQ:DRVN - Get Free Report) was upgraded by investment analysts at Robert W. Baird to a "strong-buy" rating in a note issued to investors on Wednesday,Zacks.com reports.

Several other equities research analysts have also commented on DRVN. BTIG Research reduced their price target on shares of Driven Brands from $21.00 to $17.00 and set a "buy" rating for the company in a report on Wednesday. William Blair lowered shares of Driven Brands from an "outperform" rating to a "hold" rating in a report on Wednesday, April 22nd. Weiss Ratings restated a "sell (d)" rating on shares of Driven Brands in a report on Friday, March 27th. Piper Sandler boosted their price target on shares of Driven Brands from $11.00 to $13.00 and gave the company a "neutral" rating in a report on Wednesday. Finally, Zacks Research upgraded shares of Driven Brands from a "strong sell" rating to a "hold" rating in a report on Thursday, March 19th. Two investment analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $17.86.

Driven Brands Trading Down 1.8%

NASDAQ:DRVN opened at $12.99 on Wednesday. Driven Brands has a one year low of $9.80 and a one year high of $19.74. The company has a debt-to-equity ratio of 2.44, a quick ratio of 0.80 and a current ratio of 0.90. The firm has a market cap of $2.14 billion, a P/E ratio of 15.65 and a beta of 0.97. The firm has a 50-day simple moving average of $12.41 and a 200-day simple moving average of $13.99.

Driven Brands (NASDAQ:DRVN - Get Free Report) last posted its quarterly earnings results on Tuesday, May 19th. The company reported $0.34 EPS for the quarter, beating the consensus estimate of $0.24 by $0.10. Driven Brands had a negative net margin of 9.14% and a positive return on equity of 25.31%. The business had revenue of $259.60 million during the quarter, compared to analyst estimates of $454.91 million. Driven Brands has set its FY 2026 guidance at 1.150-1.250 EPS. Equities analysts anticipate that Driven Brands will post 1.14 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of DRVN. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in Driven Brands by 4.4% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 35,597 shares of the company's stock valued at $610,000 after purchasing an additional 1,493 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in Driven Brands by 22.7% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 139,321 shares of the company's stock valued at $2,388,000 after purchasing an additional 25,806 shares in the last quarter. New York State Common Retirement Fund increased its stake in Driven Brands by 10.0% during the 2nd quarter. New York State Common Retirement Fund now owns 16,511 shares of the company's stock valued at $290,000 after purchasing an additional 1,500 shares in the last quarter. Arrowstreet Capital Limited Partnership boosted its holdings in shares of Driven Brands by 95.4% in the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 255,156 shares of the company's stock valued at $4,481,000 after acquiring an additional 124,556 shares during the last quarter. Finally, EverSource Wealth Advisors LLC boosted its holdings in shares of Driven Brands by 744.6% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 2,103 shares of the company's stock valued at $37,000 after acquiring an additional 1,854 shares during the last quarter. Institutional investors and hedge funds own 77.08% of the company's stock.

Trending Headlines about Driven Brands

Here are the key news stories impacting Driven Brands this week:

• Positive Sentiment: Driven Brands reported adjusted EPS of $0.34, which beat the consensus estimate of $0.24, and management also outlined 2026 revenue guidance of $2.0 billion to $2.1 billion, suggesting expectations for continued growth. Driven Brands Holdings Inc. Reports Fourth Quarter and Fiscal Year 2025 Results
• Positive Sentiment: BTIG reiterated a Buy rating on DRVN, and Canaccord Genuity also maintained a Buy rating, indicating that some analysts still see upside despite the earnings noise. Driven Brands Analysts Slash Their Forecasts Following Q4 Results
• Neutral Sentiment: Management’s call and earnings transcript are being closely parsed by investors for clues on margin recovery, debt reduction, and the company’s ability to deliver on its 2026 plan. Driven Brands (DRVN) Q4 2025 Earnings Transcript
• Negative Sentiment: Revenue came in well below estimates at $259.6 million versus expectations of about $455 million, and the company also reported a small gross loss, reinforcing concerns about execution and underlying profitability. Driven Brands Releases Q4 2025 Earnings: Revenue and EPS Miss, Small Gross Loss
• Negative Sentiment: Several firms trimmed price targets after the report, including Morgan Stanley cutting its target to $16 and BTIG lowering its target to $17, a sign that analysts are becoming more cautious on the stock near term. Benzinga analyst target update

About Driven Brands

Driven Brands Holdings Inc NASDAQ: DRVN is a leading North American provider of automotive aftermarket services, operating through a network of franchised and company-owned locations. The company's platform encompasses a diverse portfolio of car care and maintenance brands, including Meineke Car Care Centers, Maaco Collision Repair & Auto Painting, Take 5 Oil Change, and Carstar Collision Repair. Driven Brands delivers a full range of services from routine maintenance and oil changes to collision repair, paint protection, and vehicle customization.

Headquartered in Charlotte, North Carolina, Driven Brands serves both individual consumers and commercial clients across the United States and Canada.

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