PureCycle Technologies (NASDAQ:PCT) Stock Jumps 6.3% - Here's What Happened

Key Points

• PureCycle Technologies shares jumped 6.3% to $5.1650, with about 1.69 million shares traded—64% below the average daily volume.
• Analyst sentiment remains mixed, resulting in an overall “Hold” rating and an average price target of $11.75. Price targets range from $12 to $16, while Weiss Ratings maintains a “sell (e+)” rating.
• The company reported weak quarterly results, including an adjusted loss of $0.80 per share versus the expected $0.29 loss and revenue of $4.51 million below the $6.11 million consensus estimate. Director Fernando Musa nevertheless bought nearly 15,500 shares, and insiders own 18.8% of the stock.

PureCycle Technologies, Inc. (NASDAQ:PCT - Get Free Report) rose 6.3% on Friday. The stock traded as high as $5.08 and last traded at $5.1650. Approximately 1,688,025 shares changed hands during trading, a decline of 64% from the average daily volume of 4,712,249 shares. The stock had previously closed at $4.86.

Analyst Upgrades and Downgrades

PCT has been the subject of several recent research reports. Northland Securities set a $13.00 price objective on PureCycle Technologies in a research note on Friday, June 12th. Cantor Fitzgerald reduced their target price on shares of PureCycle Technologies from $14.00 to $12.00 and set an "overweight" rating on the stock in a report on Friday, August 7th. Alembic Global Advisors set a $16.00 price target on shares of PureCycle Technologies in a research note on Tuesday, June 16th. Finally, Weiss Ratings reiterated a "sell (e+)" rating on shares of PureCycle Technologies in a report on Wednesday, September 2nd. One equities research analyst has rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of "Hold" and an average price target of $11.75.

PureCycle Technologies Stock Up 4.2%

The company has a debt-to-equity ratio of 27.37, a current ratio of 2.60 and a quick ratio of 2.42. The company has a market capitalization of $1.02 billion, a P/E ratio of -3.48 and a beta of 2.57. The stock has a 50-day moving average price of $6.38 and a 200-day moving average price of $7.52.

PureCycle Technologies (NASDAQ:PCT - Get Free Report) last announced its earnings results on Thursday, August 6th. The company reported ($0.80) EPS for the quarter, missing the consensus estimate of ($0.29) by ($0.51). PureCycle Technologies had a negative net margin of 1,618.84% and a negative return on equity of 612.39%. The company had revenue of $4.51 million during the quarter, compared to the consensus estimate of $6.11 million. On average, research analysts predict that PureCycle Technologies, Inc. will post -0.9 EPS for the current fiscal year.

Insider Buying and Selling at PureCycle Technologies

In other news, Director Fernando Musa acquired 15,479 shares of the firm's stock in a transaction dated Friday, September 4th. The stock was bought at an average cost of $6.38 per share, for a total transaction of $98,756.02. Following the completion of the transaction, the director directly owned 175,983 shares in the company, valued at $1,122,771.54. This represents a 9.64% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. 18.80% of the stock is currently owned by company insiders.

Institutional Trading of PureCycle Technologies

A number of large investors have recently bought and sold shares of PCT. Cassaday & Co Wealth Management LLC acquired a new position in shares of PureCycle Technologies in the 1st quarter valued at about $33,000. SHP Wealth Management acquired a new stake in PureCycle Technologies during the fourth quarter worth approximately $43,000. Sigma Planning Corp bought a new stake in PureCycle Technologies in the first quarter worth approximately $53,000. Turtle Creek Wealth Advisors LLC bought a new stake in PureCycle Technologies in the first quarter worth approximately $63,000. Finally, Sequoia Financial Advisors LLC lifted its stake in PureCycle Technologies by 17.6% in the first quarter. Sequoia Financial Advisors LLC now owns 13,451 shares of the company's stock valued at $70,000 after buying an additional 2,016 shares during the period. 63.01% of the stock is currently owned by institutional investors and hedge funds.

About PureCycle Technologies

PureCycle Technologies, Inc is a chemical recycling company that develops and operates technology designed to convert waste polypropylene plastic into recycled polypropylene resin. Unlike conventional mechanical recycling, which can leave behind colors, odors and other contaminants, PureCycle's proprietary purification process is intended to separate impurities from polypropylene and produce a recycled material with properties similar to virgin resin.

The company's products are recycled polypropylene pellets and related materials that can be used in applications such as packaging, consumer products, automotive components and other molded plastic goods.

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