Oatly Group (NASDAQ:OTLY) Trading Up 9% - Still a Buy?

Key Points

• Oatly shares rose 9% to approximately $15.80, with trading volume below the stock’s average. The gain lifted the stock well above its 50-day and 200-day moving averages.
• Analyst sentiment remains mixed: three analysts rate Oatly a Buy, one rates it Hold and one rates it Sell. The average rating is Hold, with a $14.14 price target—below the current share price.
• Oatly met quarterly EPS expectations at a loss of $0.99 but exceeded revenue estimates, reporting $240.1 million versus $219.5 million expected. Despite institutional ownership of 68.15%, the company continues to post negative margins and analysts expect a full-year loss.

Oatly Group AB Sponsored ADR (NASDAQ:OTLY - Get Free Report) shares traded up 9% during trading on Monday . The company traded as high as $15.50 and last traded at $15.8020. 64,075 shares were traded during mid-day trading, a decline of 35% from the average daily volume of 97,895 shares. The stock had previously closed at $14.50.

Analyst Upgrades and Downgrades

A number of equities analysts have commented on OTLY shares. Barclays reaffirmed an "overweight" rating and set a $12.00 price objective (down from $14.00) on shares of Oatly Group in a research report on Tuesday, July 21st. Morgan Stanley set a $12.55 target price on Oatly Group in a report on Thursday, April 30th. Finally, Weiss Ratings reissued a "sell (e+)" rating on shares of Oatly Group in a research report on Wednesday, June 24th. Three analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company presently has an average rating of "Hold" and an average target price of $14.14.

Oatly Group Price Performance

The business has a fifty day moving average price of $11.39 and a 200 day moving average price of $10.99. The company has a market cap of $507.56 million, a price-to-earnings ratio of -3.85 and a beta of 1.81. The company has a debt-to-equity ratio of 43.43, a quick ratio of 0.30 and a current ratio of 0.43.

Oatly Group (NASDAQ:OTLY - Get Free Report) last issued its quarterly earnings data on Wednesday, July 22nd. The company reported ($0.99) EPS for the quarter, meeting the consensus estimate of ($0.99). Oatly Group had a negative net margin of 13.81% and a negative return on equity of 2,479.86%. The business had revenue of $240.09 million during the quarter, compared to the consensus estimate of $219.47 million. As a group, research analysts anticipate that Oatly Group AB Sponsored ADR will post -2.71 earnings per share for the current year.

Insiders Place Their Bets

In other Oatly Group news, insider Martin Fredrik Lind sold 2,968 shares of the company's stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $8.96, for a total value of $26,593.28. Following the completion of the transaction, the insider owned 18,088 shares of the company's stock, valued at $162,068.48. This represents a 14.10% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 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 company's stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $8.95, for a total value of $69,989.00. Following the completion of the transaction, the senior vice president directly owned 62,845 shares of the company's stock, valued at approximately $562,462.75. The trade was a 11.07% decrease in their position. 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 sold a total of 12,722 shares of company stock valued at $113,872 over the last quarter. 1.70% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the company. Cubist Systematic Strategies LLC bought a new position in Oatly Group in the 1st quarter valued at approximately $133,000. Geode Capital Management LLC acquired a new position in Oatly Group in the 2nd quarter valued at approximately $151,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in Oatly Group by 9.5% in the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 18,130 shares of the company's stock valued at $215,000 after acquiring an additional 1,568 shares during the period. Van ECK Associates Corp raised its stake in shares of Oatly Group by 19.0% during the third quarter. Van ECK Associates Corp now owns 11,001 shares of the company's stock valued at $178,000 after acquiring an additional 1,756 shares during the last quarter. Finally, UBS Group AG raised its stake in shares of Oatly Group by 1.5% during the third quarter. UBS Group AG now owns 646,591 shares of the company's stock valued at $10,475,000 after acquiring an additional 9,620 shares during the last quarter. Institutional investors and hedge funds own 68.15% of the company's stock.

Oatly Group Company Profile

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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