Freshpet (NASDAQ:FRPT) Stock Price Down 5.2% Following Analyst Downgrade

Key Points

• Freshpet's stock fell by 5.2% following a downgrade by JPMorgan Chase & Co., who lowered their price target from $70.00 to $62.00, maintaining a neutral rating.
• Several analysts are mixed on Freshpet, with eight rating it as a Buy, seven as Hold, and two as Sell, reflecting a consensus target price of $102.80.
• Freshpet reported a quarterly earnings per share (EPS) of $0.33, exceeding consensus estimates, with revenue of $264.69 million, a 12.5% increase from the previous year.

Freshpet, Inc. (NASDAQ:FRPT - Get Free Report) traded down 5.2% during trading on Thursday after JPMorgan Chase & Co. lowered their price target on the stock from $70.00 to $62.00. JPMorgan Chase & Co. currently has a neutral rating on the stock. Freshpet traded as low as $54.56 and last traded at $54.53. 152,541 shares traded hands during trading, a decline of 89% from the average session volume of 1,390,660 shares. The stock had previously closed at $57.51.

Several other analysts have also recently weighed in on FRPT. Weiss Ratings restated a "hold (c-)" rating on shares of Freshpet in a report on Wednesday, October 8th. DA Davidson set a $101.00 price target on Freshpet in a report on Thursday, August 7th. UBS Group reduced their price target on Freshpet from $65.00 to $48.00 and set a "sell" rating on the stock in a report on Monday, September 8th. Truist Financial reduced their price target on Freshpet from $80.00 to $70.00 and set a "hold" rating on the stock in a report on Tuesday, August 5th. Finally, Benchmark restated a "buy" rating and set a $95.00 price target (down from $120.00) on shares of Freshpet in a report on Tuesday, August 5th. Eight investment analysts have rated the stock with a Buy rating, seven have given a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, Freshpet presently has a consensus rating of "Hold" and a consensus target price of $102.80.

Insiders Place Their Bets

In other news, Director Timothy R. Mclevish bought 3,500 shares of the stock in a transaction dated Wednesday, September 10th. The shares were bought at an average cost of $56.00 per share, with a total value of $196,000.00. Following the completion of the transaction, the director directly owned 35,290 shares of the company's stock, valued at $1,976,240. This trade represents a 11.01% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Jacki Sue Kelley bought 814 shares of the stock in a transaction dated Tuesday, September 9th. The shares were purchased at an average cost of $56.50 per share, for a total transaction of $45,991.00. Following the completion of the transaction, the director directly owned 11,907 shares of the company's stock, valued at $672,745.50. This trade represents a 7.34% increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last three months, insiders have acquired 6,008 shares of company stock worth $332,305. Corporate insiders own 4.43% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. increased its position in shares of Freshpet by 12.3% during the 1st quarter. Vanguard Group Inc. now owns 5,223,695 shares of the company's stock valued at $434,455,000 after purchasing an additional 571,139 shares during the last quarter. Wasatch Advisors LP increased its position in shares of Freshpet by 41.0% during the 2nd quarter. Wasatch Advisors LP now owns 3,839,332 shares of the company's stock valued at $260,921,000 after purchasing an additional 1,116,217 shares during the last quarter. Wellington Management Group LLP increased its position in shares of Freshpet by 8.1% during the 1st quarter. Wellington Management Group LLP now owns 2,616,205 shares of the company's stock valued at $217,590,000 after purchasing an additional 196,882 shares during the last quarter. Champlain Investment Partners LLC increased its position in shares of Freshpet by 41.5% during the 2nd quarter. Champlain Investment Partners LLC now owns 2,568,954 shares of the company's stock valued at $174,586,000 after purchasing an additional 753,070 shares during the last quarter. Finally, William Blair Investment Management LLC increased its position in shares of Freshpet by 20.6% during the 2nd quarter. William Blair Investment Management LLC now owns 1,527,068 shares of the company's stock valued at $103,780,000 after purchasing an additional 260,868 shares during the last quarter.

Freshpet Trading Down 4.0%

The stock has a market capitalization of $2.69 billion, a PE ratio of 82.60, a price-to-earnings-growth ratio of 1.22 and a beta of 1.74. The firm has a 50-day moving average price of $54.37 and a 200-day moving average price of $67.79. The company has a current ratio of 4.81, a quick ratio of 3.75 and a debt-to-equity ratio of 0.40.

Freshpet (NASDAQ:FRPT - Get Free Report) last announced its earnings results on Monday, August 4th. The company reported $0.33 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.12 by $0.21. Freshpet had a return on equity of 4.82% and a net margin of 3.23%.The firm had revenue of $264.69 million during the quarter, compared to analyst estimates of $269.75 million. During the same period last year, the firm posted ($0.03) EPS. The business's revenue was up 12.5% compared to the same quarter last year. Freshpet has set its FY 2025 guidance at EPS. As a group, equities analysts forecast that Freshpet, Inc. will post 1.55 EPS for the current fiscal year.

Freshpet Company Profile

Freshpet, Inc, together with its subsidiaries, manufactures, distributes, and markets natural fresh meals and treats for dogs and cats in the United States, Canada, and Europe. It sells dog food, cat food, and dog treats under the Freshpet brand name; and Dognation and Dog Joy labels through various classes of retail, including grocery, mass, club, pet specialty, and natural, as well as online.

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