Frontdoor (NASDAQ:FTDR) Stock Rating Lowered by Weiss Ratings

Key Points

• Frontdoor has been downgraded by Weiss Ratings from a "buy" rating to a "hold" rating, indicating a shift in investor confidence.
• The company recently reported strong quarterly earnings, beating estimates with $1.63 earnings per share and revenue of $617 million, reflecting a 13.8% year-over-year increase.
• Frontdoor's stock currently has a consensus rating of "Moderate Buy" with an average price target of $59.75 according to multiple analysts' assessments.

Frontdoor (NASDAQ:FTDR - Get Free Report) was downgraded by equities researchers at Weiss Ratings from a "buy (b-)" rating to a "hold (c+)" rating in a research note issued to investors on Wednesday,Weiss Ratings reports.

Several other equities research analysts have also recently weighed in on FTDR. Oppenheimer increased their price target on shares of Frontdoor from $56.00 to $63.00 and gave the company an "outperform" rating in a research report on Wednesday, August 6th. The Goldman Sachs Group increased their price target on shares of Frontdoor from $44.00 to $50.00 and gave the company a "sell" rating in a research report on Wednesday, August 6th. Zacks Research raised shares of Frontdoor from a "hold" rating to a "strong-buy" rating in a research report on Wednesday, August 27th. Finally, Truist Financial increased their price target on shares of Frontdoor from $67.00 to $71.00 and gave the company a "buy" rating in a research report on Wednesday, August 6th. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $59.75.

Frontdoor Trading Up 1.1%

Shares of FTDR opened at $65.85 on Wednesday. The stock has a market capitalization of $4.80 billion, a P/E ratio of 19.42 and a beta of 1.33. The company has a quick ratio of 1.49, a current ratio of 1.49 and a debt-to-equity ratio of 4.56. The firm has a fifty day simple moving average of $62.68 and a two-hundred day simple moving average of $55.08. Frontdoor has a twelve month low of $35.61 and a twelve month high of $69.36.

Frontdoor (NASDAQ:FTDR - Get Free Report) last announced its quarterly earnings results on Tuesday, August 5th. The company reported $1.63 earnings per share for the quarter, beating the consensus estimate of $1.44 by $0.19. The business had revenue of $617.00 million during the quarter, compared to analysts' expectations of $602.62 million. Frontdoor had a net margin of 13.07% and a return on equity of 125.21%. The firm's revenue for the quarter was up 13.8% compared to the same quarter last year. During the same quarter in the prior year, the company posted $1.27 EPS. Frontdoor has set its Q3 2025 guidance at EPS. FY 2025 guidance at EPS. On average, research analysts anticipate that Frontdoor will post 3.07 EPS for the current year.

Insider Activity

In related news, SVP Jeffrey Fiarman sold 129,673 shares of the stock in a transaction dated Thursday, August 7th. The shares were sold at an average price of $56.15, for a total value of $7,281,138.95. Following the completion of the transaction, the senior vice president directly owned 34,646 shares in the company, valued at $1,945,372.90. This trade represents a 78.92% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 1.48% of the stock is currently owned by insiders.

Institutional Trading of Frontdoor

A number of institutional investors and hedge funds have recently bought and sold shares of FTDR. Bessemer Group Inc. increased its stake in Frontdoor by 322.1% during the 2nd quarter. Bessemer Group Inc. now owns 515 shares of the company's stock valued at $30,000 after purchasing an additional 393 shares in the last quarter. Caitong International Asset Management Co. Ltd bought a new stake in Frontdoor during the 1st quarter valued at about $42,000. EverSource Wealth Advisors LLC increased its stake in Frontdoor by 164.6% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 799 shares of the company's stock valued at $47,000 after purchasing an additional 497 shares in the last quarter. Elevation Point Wealth Partners LLC bought a new stake in Frontdoor during the 2nd quarter valued at about $72,000. Finally, Huntington National Bank increased its stake in Frontdoor by 56.0% during the 2nd quarter. Huntington National Bank now owns 1,482 shares of the company's stock valued at $87,000 after purchasing an additional 532 shares in the last quarter.

About Frontdoor

Frontdoor, Inc provides home warranties in the United States in the United States. Its customizable home warranties help customers protect and maintain their homes from costly and unplanned breakdowns of essential home systems and appliances. The company's home warranty customers subscribe to an annual service plan agreement that covers the repair or replacement of principal components of approximately 20 home systems and appliances, including electrical, plumbing, water heaters, refrigerators, dishwashers, and ranges/ovens/cooktops, as well as electronics, pools, and spas and pumps; and heating, ventilation, and air conditioning systems.

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