William Blair Investment Management LLC Purchases New Stake in PriceSmart, Inc. $PSMT

Key Points

• William Blair Investment Management acquired 272,127 PriceSmart shares worth approximately $53.2 million, giving it a 0.88% stake. Institutional investors collectively own 80.46% of the company.
• PriceSmart’s latest quarterly revenue rose 12.5% year over year to $1.48 billion, exceeding estimates, though earnings per share of $1.28 missed the $1.32 consensus.
• Analysts maintain a generally positive outlook, with an average “Buy” rating and a $198 price target; however, insiders sold 7,737 shares worth about $1.5 million over the past three months.

William Blair Investment Management LLC acquired a new position in shares of PriceSmart, Inc. (NASDAQ:PSMT - Free Report) in the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm acquired 272,127 shares of the company's stock, valued at approximately $53,157,000. William Blair Investment Management LLC owned 0.88% of PriceSmart at the end of the most recent quarter.

Several other institutional investors and hedge funds also recently bought and sold shares of PSMT. Maryland State Retirement & Pension System increased its holdings in shares of PriceSmart by 2.0% in the 4th quarter. Maryland State Retirement & Pension System now owns 3,699 shares of the company's stock valued at $454,000 after purchasing an additional 73 shares during the period. Parallel Advisors LLC boosted its holdings in shares of PriceSmart by 14.3% during the fourth quarter. Parallel Advisors LLC now owns 590 shares of the company's stock worth $72,000 after purchasing an additional 74 shares during the period. Smartleaf Asset Management LLC grew its position in PriceSmart by 10.9% during the second quarter. Smartleaf Asset Management LLC now owns 946 shares of the company's stock valued at $101,000 after purchasing an additional 93 shares in the last quarter. Hantz Financial Services Inc. grew its position in PriceSmart by 15.1% during the fourth quarter. Hantz Financial Services Inc. now owns 745 shares of the company's stock valued at $91,000 after purchasing an additional 98 shares in the last quarter. Finally, UMB Bank n.a. increased its stake in PriceSmart by 76.0% in the 4th quarter. UMB Bank n.a. now owns 227 shares of the company's stock valued at $28,000 after buying an additional 98 shares during the period. Hedge funds and other institutional investors own 80.46% of the company's stock.

PriceSmart Stock Up 2.0%

Shares of PSMT stock opened at $172.87 on Friday. The stock's 50 day simple moving average is $186.27 and its 200 day simple moving average is $167.19. The company has a debt-to-equity ratio of 0.08, a quick ratio of 0.53 and a current ratio of 1.28. PriceSmart, Inc. has a twelve month low of $105.46 and a twelve month high of $199.84. The company has a market capitalization of $5.33 billion, a price-to-earnings ratio of 33.18 and a beta of 0.76.

PriceSmart (NASDAQ:PSMT - Get Free Report) last posted its earnings results on Wednesday, July 8th. The company reported $1.28 earnings per share for the quarter, missing the consensus estimate of $1.32 by ($0.04). PriceSmart had a return on equity of 12.16% and a net margin of 2.82%.The company had revenue of $1.48 billion during the quarter, compared to analyst estimates of $1.43 billion. During the same quarter last year, the firm posted $1.14 earnings per share. The firm's revenue for the quarter was up 12.5% compared to the same quarter last year.

Insider Transactions at PriceSmart

In related news, Director Sherry S. Bahrambeygui sold 3,499 shares of the firm's stock in a transaction on Monday, August 3rd. The shares were sold at an average price of $197.38, for a total value of $690,632.62. Following the transaction, the director directly owned 32,150 shares in the company, valued at approximately $6,345,767. This trade represents a 9.82% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, Director Beatriz V. Infante sold 800 shares of the firm's stock in a transaction on Monday, July 13th. The shares were sold at an average price of $195.98, for a total transaction of $156,784.00. Following the completion of the transaction, the director owned 11,210 shares in the company, valued at $2,196,935.80. The trade was a 6.66% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 7,737 shares of company stock worth $1,506,176. 17.00% of the stock is owned by insiders.

Analyst Ratings Changes

A number of equities research analysts have issued reports on the stock. Jefferies Financial Group reiterated a "buy" rating and issued a $198.00 target price on shares of PriceSmart in a research report on Wednesday, August 12th. Weiss Ratings lowered PriceSmart from a "buy (b+)" rating to a "buy (b)" rating in a report on Friday, May 29th. Two investment analysts have rated the stock with a Buy rating, According to data from MarketBeat, the company has an average rating of "Buy" and an average price target of $198.00.

About PriceSmart

PriceSmart, Inc NASDAQ: PSMT is a U.S.-based retailer specializing in membership warehouse clubs. Founded in 1993, the company operates under a business model that offers bulk quantities of goods at discounted prices to individuals and businesses that purchase annual memberships. PriceSmart's value proposition centers on low-cost operations, high-volume purchasing, and a no-frills shopping environment designed to pass savings directly to its members.

The company's product assortment covers a broad range of merchandise categories, including groceries and fresh produce, household essentials, electronics, appliances, office supplies, furniture, and health and beauty items.

Want to see what other hedge funds are holding PSMT? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for PriceSmart, Inc. (NASDAQ:PSMT - Free Report).

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