Honest (NASDAQ:HNST) Trading Down 4% - What's Next?

The Honest Company, Inc. (NASDAQ:HNST - Get Free Report)'s stock price fell 4% on Wednesday . The company traded as low as $4.70 and last traded at $4.72. 862,669 shares traded hands during mid-day trading, a decline of 65% from the average session volume of 2,462,795 shares. The stock had previously closed at $4.91.

Analysts Set New Price Targets

Separately, Telsey Advisory Group reaffirmed a "market perform" rating and issued a $7.00 price target on shares of Honest in a report on Thursday, May 8th. Two investment analysts have rated the stock with a hold rating, three have given a buy rating and one has issued a strong buy rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $7.70.

Honest Stock Performance

The firm has a market capitalization of $530.25 million, a PE ratio of -240.50 and a beta of 2.35. The firm's 50 day moving average price is $4.93 and its 200-day moving average price is $5.33.

Honest (NASDAQ:HNST - Get Free Report) last issued its quarterly earnings data on Wednesday, May 7th. The company reported $0.03 EPS for the quarter, beating the consensus estimate of $0.02 by $0.01. Honest had a negative return on equity of 0.95% and a negative net margin of 0.38%. The company had revenue of $97.25 million for the quarter, compared to analyst estimates of $92.46 million. On average, equities research analysts expect that The Honest Company, Inc. will post -0.07 earnings per share for the current fiscal year.

Insider Buying and Selling at Honest

In related news, SVP Jonathan Mayle sold 4,788 shares of Honest stock in a transaction dated Wednesday, May 21st. The stock was sold at an average price of $5.32, for a total value of $25,472.16. Following the sale, the senior vice president directly owned 302,952 shares in the company, valued at approximately $1,611,704.64. The trade was a 1.56% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, CFO David Loretta sold 34,389 shares of the company's stock in a transaction dated Wednesday, May 21st. The shares were sold at an average price of $5.32, for a total transaction of $182,949.48. Following the sale, the chief financial officer directly owned 883,153 shares of the company's stock, valued at approximately $4,698,373.96. This represents a 3.75% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 165,726 shares of company stock valued at $881,662. Corporate insiders own 8.90% of the company's stock.

Hedge Funds Weigh In On Honest

Several hedge funds have recently added to or reduced their stakes in the stock. Bank of New York Mellon Corp grew its position in Honest by 45.2% during the fourth quarter. Bank of New York Mellon Corp now owns 377,724 shares of the company's stock worth $2,618,000 after buying an additional 117,612 shares during the period. SBI Securities Co. Ltd. purchased a new stake in shares of Honest during the 4th quarter valued at $26,000. Charles Schwab Investment Management Inc. boosted its holdings in Honest by 54.3% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 348,133 shares of the company's stock valued at $2,413,000 after acquiring an additional 122,566 shares during the last quarter. Victory Capital Management Inc. increased its stake in Honest by 869.9% during the fourth quarter. Victory Capital Management Inc. now owns 1,546,391 shares of the company's stock worth $10,716,000 after acquiring an additional 1,386,961 shares during the last quarter. Finally, Raymond James Financial Inc. purchased a new position in shares of Honest in the 4th quarter worth about $336,000. 45.54% of the stock is currently owned by hedge funds and other institutional investors.

About Honest

The Honest Company, Inc manufactures and sells diapers and wipes, skin and personal care, and household and wellness products. The company also offers baby clothing and nursery bedding products. It sells its products through digital and retail sales channels, such as its website and third-party ecommerce sites, as well as brick and mortar retailers.