Lifeway Foods (NASDAQ:LWAY) Stock Price Crosses Above Two Hundred Day Moving Average - Time to Sell?

Key Points

• Lifeway Foods stock recently crossed above its 200-day moving average (200-day = $23.03), trading as high as $24.99 and last at $24.58 on volume ~112,686, signaling a potential bullish technical shift.
• Analyst coverage is mixed but leans positive with an average rating of "Moderate Buy" and a consensus price target of $34.33 (two Buys, one Hold); recent notes include Benchmark reiterating Buy and Wall Street Zen downgrading to Hold.
• Fundamental and governance cautions include a Q1 EPS miss ($0.16 vs. $0.29 estimate) despite a slight revenue beat, and notable insider selling (about 60,000 shares sold last quarter), which may temper investor enthusiasm.

Lifeway Foods, Inc. (NASDAQ:LWAY - Get Free Report)'s stock price crossed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $23.03 and traded as high as $24.99. Lifeway Foods shares last traded at $24.58, with a volume of 112,686 shares traded.

Analyst Upgrades and Downgrades

LWAY has been the subject of several research reports. Benchmark reiterated a "buy" rating on shares of Lifeway Foods in a research note on Wednesday, January 14th. Morgan Stanley set a $35.00 price target on Lifeway Foods in a report on Wednesday, January 14th. Wall Street Zen downgraded Lifeway Foods from a "buy" rating to a "hold" rating in a research report on Saturday, March 21st. Finally, Weiss Ratings reissued a "hold (c)" rating on shares of Lifeway Foods in a report on Friday, March 27th. Two analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $34.33.

Lifeway Foods Trading Down 0.8%

The business's fifty day moving average price is $21.33 and its 200 day moving average price is $23.03. The company has a market capitalization of $372.39 million, a P/E ratio of 27.31 and a beta of 0.23.

Lifeway Foods (NASDAQ:LWAY - Get Free Report) last posted its earnings results on Tuesday, March 17th. The company reported $0.16 earnings per share for the quarter, missing analysts' consensus estimates of $0.29 by ($0.13). Lifeway Foods had a net margin of 6.52% and a return on equity of 17.25%. The business had revenue of $55.36 million during the quarter, compared to the consensus estimate of $55.00 million.

Insider Activity at Lifeway Foods

In related news, major shareholder Ludmila Smolyansky sold 10,000 shares of the business's stock in a transaction on Wednesday, March 18th. The stock was sold at an average price of $18.74, for a total value of $187,400.00. Following the sale, the insider owned 747,823 shares of the company's stock, valued at $14,014,203.02. The trade was a 1.32% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, major shareholder Edward Smolyansky sold 14,353 shares of the company's stock in a transaction on Thursday, March 19th. The shares were sold at an average price of $17.77, for a total value of $255,052.81. Following the completion of the sale, the insider owned 1,101,642 shares in the company, valued at $19,576,178.34. This trade represents a 1.29% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 60,000 shares of company stock worth $1,165,625. Corporate insiders own 18.86% of the company's stock.

Institutional Investors Weigh In On Lifeway Foods

Several institutional investors and hedge funds have recently made changes to their positions in LWAY. Rhumbline Advisers grew its holdings in shares of Lifeway Foods by 8.2% in the 1st quarter. Rhumbline Advisers now owns 6,068 shares of the company's stock worth $148,000 after purchasing an additional 462 shares during the last quarter. Alliancebernstein L.P. lifted its holdings in Lifeway Foods by 5.7% during the 3rd quarter. Alliancebernstein L.P. now owns 9,250 shares of the company's stock valued at $257,000 after purchasing an additional 500 shares during the last quarter. Barclays PLC boosted its position in Lifeway Foods by 9.0% in the fourth quarter. Barclays PLC now owns 8,009 shares of the company's stock valued at $194,000 after buying an additional 659 shares in the last quarter. Pekin Hardy Strauss Inc. grew its stake in Lifeway Foods by 6.3% during the fourth quarter. Pekin Hardy Strauss Inc. now owns 16,750 shares of the company's stock worth $406,000 after buying an additional 1,000 shares during the last quarter. Finally, First Trust Advisors LP grew its stake in Lifeway Foods by 6.8% during the second quarter. First Trust Advisors LP now owns 17,178 shares of the company's stock worth $423,000 after buying an additional 1,091 shares during the last quarter. Institutional investors and hedge funds own 36.39% of the company's stock.

About Lifeway Foods

Lifeway Foods, Inc NASDAQ: LWAY is a Chicago-based food company specializing in probiotic-rich cultured dairy products. Established in 1986 by Michael Smolyansky, the company pioneered the introduction of kefir to the U.S. market. Under the leadership of CEO Julie Smolyansky, who succeeded her father in 2002, Lifeway has grown from a single product operation into a diversified portfolio of fermented foods and beverages aimed at promoting digestive health and wellness.

The company's flagship product is kefir, a cultured milk beverage naturally rich in probiotics, vitamins and minerals.

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