Pattern Group (NASDAQ:PTRN) Shares Down 6.3% - Here's Why

Key Points

• Shares fell 6.3% to $12.78 on Thursday, trading as low as $12.71 on light volume (~216,124 shares vs. a 942,823 average).
• The stock carries a consensus "Moderate Buy" with an average price target of $20.22, though several firms recently trimmed targets (Stifel to $21, Baird to $20, JPMorgan to $17).
• Pattern beat the quarter with EPS of $0.16 (vs. $0.12 est.) and revenue of $723.1M (+40.3% YoY), and its board approved a $100M share buyback (up to ~5.6% of outstanding shares).

Pattern Group Inc. (NASDAQ:PTRN - Get Free Report)'s share price dropped 6.3% during trading on Thursday . The stock traded as low as $12.71 and last traded at $12.7790. Approximately 216,124 shares traded hands during trading, a decline of 77% from the average daily volume of 942,823 shares. The stock had previously closed at $13.64.

Analyst Upgrades and Downgrades

PTRN has been the subject of several research analyst reports. Stifel Nicolaus reduced their target price on Pattern Group from $22.00 to $21.00 and set a "buy" rating for the company in a research note on Friday, March 6th. Robert W. Baird reduced their target price on Pattern Group from $22.00 to $20.00 and set an "outperform" rating for the company in a research note on Friday, March 6th. Needham & Company LLC reiterated a "buy" rating and set a $22.00 target price on shares of Pattern Group in a research note on Thursday, January 15th. JPMorgan Chase & Co. reduced their price objective on Pattern Group from $21.00 to $17.00 and set an "overweight" rating on the stock in a research note on Friday, March 6th. Finally, Weiss Ratings restated a "sell (d)" rating on shares of Pattern Group in a research note on Monday, March 23rd. Ten research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $20.22.

Pattern Group Stock Down 3.0%

The company has a market capitalization of $2.05 billion and a P/E ratio of -6.45. The business has a 50 day simple moving average of $12.05 and a 200-day simple moving average of $13.33.

Pattern Group (NASDAQ:PTRN - Get Free Report) last posted its earnings results on Thursday, March 5th. The company reported $0.16 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.12 by $0.04. The company had revenue of $723.10 million during the quarter, compared to the consensus estimate of $691.35 million. The company's revenue for the quarter was up 40.3% compared to the same quarter last year. Equities analysts forecast that Pattern Group Inc. will post 0.46 EPS for the current fiscal year.

Pattern Group declared that its Board of Directors has approved a share repurchase plan on Thursday, March 5th that allows the company to buyback $100.00 million in outstanding shares. This buyback authorization allows the company to purchase up to 5.6% of its shares through open market purchases. Shares buyback plans are usually a sign that the company's board believes its shares are undervalued.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of PTRN. Knox Lane LP acquired a new position in shares of Pattern Group during the fourth quarter valued at $325,157,000. Norges Bank acquired a new position in Pattern Group during the fourth quarter worth about $25,965,000. Wasatch Advisors LP acquired a new position in Pattern Group during the fourth quarter worth about $23,144,000. Capital World Investors acquired a new position in Pattern Group during the third quarter worth about $23,975,000. Finally, Vanguard Group Inc. acquired a new position in Pattern Group during the third quarter worth about $20,640,000.

Pattern Group Company Profile

At Pattern, we are on a mission to help brands accelerate profitable growth on global ecommerce marketplaces. Today, our proprietary technology and on-demand experts operate across more than 60 marketplaces to increase product sales to consumers in more than 100 countries. Utilizing more than 46 trillion data points and sophisticated machine learning and artificial intelligence (“AI”) models, we strive to optimize and automate key levers of ecommerce growth, including advertising, content creation and management, pricing, forecasting and customer service.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.