UBS Group Issues Pessimistic Forecast for Portillo's (NASDAQ:PTLO) Stock Price

Key Points

• Analysts at UBS Group have cut their price target for Portillo's from $9.00 to $7.50, maintaining a "neutral" rating on the stock.
• Insider trading activity includes CEO Michael Osanloo purchasing 11,320 shares and General Counsel Kelly M. Kaiser buying 27,000 shares, indicating increased confidence from company executives.
• Despite recent price target adjustments and fluctuating stock performance, Portillo's maintains a consensus rating of "Moderate Buy" with a current market cap of $461.90 million.

Portillo's (NASDAQ:PTLO - Free Report) had its target price cut by UBS Group from $9.00 to $7.50 in a research report report published on Monday morning, MarketBeat reports. They currently have a neutral rating on the stock.

Several other analysts have also issued reports on the stock. Guggenheim cut their price target on shares of Portillo's from $18.00 to $17.00 and set a "buy" rating for the company in a research report on Tuesday, July 8th. Stephens set a $10.00 price target on shares of Portillo's in a report on Wednesday, September 10th. Bank of America cut their price target on shares of Portillo's from $19.00 to $16.00 and set a "buy" rating on the stock in a report on Friday, July 18th. Robert W. Baird lowered their price target on Portillo's from $8.00 to $7.00 and set a "neutral" rating for the company in a research report on Thursday, September 11th. Finally, Wall Street Zen cut shares of Portillo's from a "hold" rating to a "sell" rating in a research note on Saturday, August 9th. Five analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $12.19.

Portillo's Stock Up 0.7%

PTLO traded up $0.05 during mid-day trading on Monday, reaching $6.40. 1,177,926 shares of the stock were exchanged, compared to its average volume of 2,309,933. The company has a debt-to-equity ratio of 0.49, a quick ratio of 0.23 and a current ratio of 0.29. The company has a 50 day moving average price of $8.25 and a two-hundred day moving average price of $10.61. Portillo's has a 1 year low of $6.00 and a 1 year high of $15.78. The stock has a market capitalization of $481.86 million, a PE ratio of 14.23, a price-to-earnings-growth ratio of 4.75 and a beta of 1.78.

Portillo's (NASDAQ:PTLO - Get Free Report) last issued its quarterly earnings results on Tuesday, August 5th. The company reported $0.12 EPS for the quarter, meeting analysts' consensus estimates of $0.12. Portillo's had a return on equity of 6.25% and a net margin of 4.19%.The company had revenue of $188.46 million during the quarter, compared to the consensus estimate of $197.04 million. During the same period last year, the business posted $0.10 earnings per share. Portillo's's revenue was up 3.6% on a year-over-year basis. Portillo's has set its FY 2025 guidance at EPS. As a group, research analysts anticipate that Portillo's will post 0.35 EPS for the current year.

Insider Activity

In other Portillo's news, CEO Michael Osanloo purchased 11,320 shares of the business's stock in a transaction dated Friday, August 8th. The shares were bought at an average price of $7.42 per share, for a total transaction of $83,994.40. Following the completion of the acquisition, the chief executive officer owned 63,317 shares in the company, valued at approximately $469,812.14. This trade represents a 21.77% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Michelle Greig Hook bought 40,000 shares of the stock in a transaction that occurred on Thursday, August 7th. The shares were purchased at an average cost of $7.67 per share, with a total value of $306,800.00. Following the purchase, the chief financial officer directly owned 173,405 shares of the company's stock, valued at $1,330,016.35. The trade was a 29.98% increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last 90 days, insiders purchased 210,570 shares of company stock worth $1,614,474. Insiders own 6.14% of the company's stock.

Institutional Investors Weigh In On Portillo's

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Squarepoint Ops LLC grew its position in Portillo's by 11.5% during the 2nd quarter. Squarepoint Ops LLC now owns 119,384 shares of the company's stock valued at $1,393,000 after purchasing an additional 12,303 shares during the last quarter. Tower Research Capital LLC TRC raised its position in shares of Portillo's by 336.4% during the second quarter. Tower Research Capital LLC TRC now owns 8,135 shares of the company's stock valued at $95,000 after buying an additional 6,271 shares during the last quarter. Corient Private Wealth LLC bought a new stake in shares of Portillo's during the second quarter valued at approximately $391,000. Zuckerman Investment Group LLC increased its position in Portillo's by 1.6% in the second quarter. Zuckerman Investment Group LLC now owns 1,873,724 shares of the company's stock worth $21,866,000 after purchasing an additional 30,031 shares during the last quarter. Finally, Orbis Allan Gray Ltd boosted its stake in Portillo's by 6.4% during the second quarter. Orbis Allan Gray Ltd now owns 6,358,093 shares of the company's stock worth $74,199,000 after buying an additional 384,455 shares during the period. 98.34% of the stock is currently owned by institutional investors.

Portillo's Company Profile

Portillo's Inc owns and operates fast casual restaurants in the United States. The company offers Chicago-style hot dogs and sausages, Italian beef sandwiches, char-grilled burgers, chopped salads, crinkle-cut French fries, homemade chocolate cakes, and chocolate cake shake. It offers its products through its website, application, and certain third-party platforms.