Frontdoor (NASDAQ:FTDR) Upgraded to Strong-Buy at Zacks Research

Key Points

• Frontdoor was upgraded by Zacks Research from a "hold" to a "strong-buy" rating, reflecting increased confidence in the stock.
• Several analysts have recently adjusted their price targets for Frontdoor, with Oppenheimer raising it to $63 and Goldman Sachs adjusting it to $50 with a "sell" rating.
• In its latest quarterly earnings report, Frontdoor exceeded expectations with $1.63 earnings per share, significantly above the consensus estimate of $1.44.

Zacks Research upgraded shares of Frontdoor (NASDAQ:FTDR - Free Report) from a hold rating to a strong-buy rating in a research report report published on Wednesday, August 27th,Zacks.com reports.

Several other equities research analysts have also recently weighed in on the stock. Truist Financial upped their price objective on shares of Frontdoor from $67.00 to $71.00 and gave the stock a "buy" rating in a research report on Wednesday, August 6th. The Goldman Sachs Group upped their price objective on shares of Frontdoor from $44.00 to $50.00 and gave the stock a "sell" rating in a research report on Wednesday, August 6th. JPMorgan Chase & Co. boosted their target price on Frontdoor from $50.00 to $55.00 and gave the stock a "neutral" rating in a research note on Tuesday, June 3rd. Finally, Oppenheimer boosted their target price on Frontdoor from $56.00 to $63.00 and gave the stock an "outperform" rating in a research note on Wednesday, August 6th. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat.com, Frontdoor presently has an average rating of "Moderate Buy" and an average price target of $59.75.

Frontdoor Stock Performance

Shares of FTDR traded down $1.20 during midday trading on Wednesday, reaching $60.71. 210,430 shares of the stock were exchanged, compared to its average volume of 737,837. Frontdoor has a twelve month low of $35.61 and a twelve month high of $64.91. 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 company has a market cap of $4.42 billion, a P/E ratio of 17.91 and a beta of 1.34. The stock's 50 day simple moving average is $58.66 and its 200 day simple moving average is $51.44.

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

Insider Buying and Selling at Frontdoor

In other news, SVP Jeffrey Fiarman sold 129,673 shares of the business's stock in a transaction dated Thursday, August 7th. The stock was sold at an average price of $56.15, for a total transaction of $7,281,138.95. Following the sale, the senior vice president directly owned 34,646 shares in the company, valued at approximately $1,945,372.90. The trade was a 78.92% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Company insiders own 1.48% of the company's stock.

Institutional Trading of Frontdoor

Several institutional investors have recently added to or reduced their stakes in FTDR. Mariner LLC boosted its holdings in Frontdoor by 4.0% in the fourth quarter. Mariner LLC now owns 7,311 shares of the company's stock valued at $400,000 after acquiring an additional 284 shares during the last quarter. Tudor Investment Corp ET AL boosted its holdings in Frontdoor by 34.6% in the fourth quarter. Tudor Investment Corp ET AL now owns 10,833 shares of the company's stock valued at $592,000 after acquiring an additional 2,782 shares during the last quarter. Northern Trust Corp boosted its holdings in Frontdoor by 10.4% in the fourth quarter. Northern Trust Corp now owns 933,652 shares of the company's stock valued at $51,043,000 after acquiring an additional 88,215 shares during the last quarter. Lido Advisors LLC boosted its holdings in Frontdoor by 22.7% in the fourth quarter. Lido Advisors LLC now owns 6,345 shares of the company's stock valued at $347,000 after acquiring an additional 1,173 shares during the last quarter. Finally, AQR Capital Management LLC boosted its holdings in Frontdoor by 7.7% in the fourth quarter. AQR Capital Management LLC now owns 77,243 shares of the company's stock valued at $4,223,000 after acquiring an additional 5,555 shares during the last quarter.

Frontdoor Company Profile

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.