Oatly Group (NASDAQ:OTLY) Shares Down 1.7% - Here's What Happened

Key Points

• Oatly Group shares fell 1.7% on Wednesday, trading as low as $9.35 before closing at $9.49. Volume was well below average, with about 22,273 shares changing hands versus the normal 86,423.
• Analyst sentiment remains mixed: Weiss Ratings reiterated a sell rating, while Morgan Stanley and Barclays have price targets of $12.55 and $14.00, respectively. Overall, the stock carries a consensus rating of Hold and an average target price of $14.64.
• Oatly recently beat quarterly earnings expectations, reporting a smaller-than-expected loss and revenue above estimates. The company also has notable insider selling and elevated leverage, with a debt-to-equity ratio of 43.43 and a current ratio of 0.45.

Oatly Group AB Sponsored ADR (NASDAQ:OTLY - Get Free Report)'s stock price was down 1.7% on Wednesday . The company traded as low as $9.35 and last traded at $9.49. Approximately 22,273 shares traded hands during mid-day trading, a decline of 74% from the average session volume of 86,423 shares. The stock had previously closed at $9.65.

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on the stock. Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Oatly Group in a report on Wednesday, June 24th. Morgan Stanley set a $12.55 price objective on shares of Oatly Group in a report on Thursday, April 30th. Finally, Barclays set a $14.00 price objective on shares of Oatly Group and gave the company an "overweight" rating in a research report on Tuesday, April 14th. Three investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, Oatly Group presently has a consensus rating of "Hold" and an average target price of $14.64.

Oatly Group Stock Performance

The business has a 50-day moving average of $9.50 and a 200 day moving average of $10.66. The company has a debt-to-equity ratio of 43.43, a current ratio of 0.45 and a quick ratio of 0.32. The company has a market cap of $296.37 million, a PE ratio of -1.90 and a beta of 1.85.

Oatly Group (NASDAQ:OTLY - Get Free Report) last announced its earnings results on Thursday, April 30th. The company reported ($0.38) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.90) by $0.52. Oatly Group had a negative return on equity of 432.75% and a negative net margin of 17.06%.The business had revenue of $228.33 million for the quarter, compared to analysts' expectations of $214.61 million. Equities research analysts anticipate that Oatly Group AB Sponsored ADR will post -2.77 EPS for the current fiscal year.

Insider Activity at Oatly Group

In other Oatly Group news, insider Martin Fredrik Lind sold 2,968 shares of the company's stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $8.96, for a total transaction of $26,593.28. Following the completion of the sale, the insider directly owned 18,088 shares of the company's stock, valued at approximately $162,068.48. This represents a 14.10% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, SVP Simon Kenneth James Broadbent sold 7,820 shares of the stock in a transaction that occurred on Tuesday, June 2nd. The stock was sold at an average price of $8.95, for a total transaction of $69,989.00. Following the completion of the transaction, the senior vice president owned 62,845 shares in the company, valued at $562,462.75. The trade was a 11.07% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 12,722 shares of company stock valued at $113,872 over the last 90 days. 1.70% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Oatly Group

A number of institutional investors have recently bought and sold shares of OTLY. Performa Ltd US LLC grew its holdings in Oatly Group by 16.8% during the fourth quarter. Performa Ltd US LLC now owns 10,100 shares of the company's stock valued at $108,000 after purchasing an additional 1,450 shares during the period. Cubist Systematic Strategies LLC purchased a new stake in Oatly Group in the first quarter worth about $133,000. Geode Capital Management LLC bought a new position in shares of Oatly Group in the second quarter worth about $151,000. R Squared Ltd bought a new position in shares of Oatly Group in the fourth quarter worth about $155,000. Finally, Van ECK Associates Corp lifted its position in shares of Oatly Group by 19.0% during the 3rd quarter. Van ECK Associates Corp now owns 11,001 shares of the company's stock valued at $178,000 after buying an additional 1,756 shares in the last quarter. 68.15% of the stock is owned by institutional investors.

About Oatly Group

Oatly Group is a Sweden-based food and beverage company specializing in the development, production and sale of oat-derived dairy alternatives. The company’s product lineup includes oat-based drinks, ice cream, yogurts, spreads and cooking creams, all marketed under the Oatly brand name. By leveraging proprietary processing technology, Oatly extracts the nutritional benefits of oats—such as soluble fiber and plant protein—while delivering taste and texture profiles that closely mimic traditional dairy products.

Founded in 1994 as a spin-off from research at Lund University, Oatly initially focused on exploiting the health and functional benefits of oat beta-glucans.

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