Primo Brands (NYSE:PRMB) Posts Earnings Results, Misses Estimates By $0.05 EPS

Key Points

• Primo Brands reported $0.36 earnings per share (EPS), missing estimates by $0.05, while achieving total revenue of $1.73 billion, below the expected $1.83 billion.
• The stock price of Primo Brands fell 1.3% to $23.68 following the earnings announcement, with analysts adjusting the target price to an average of $37.90.
• Primo Brands declared a quarterly dividend of $0.10 per share, representing a yield of 1.7%, with the ex-dividend date set for August 21st.

Primo Brands (NYSE:PRMB - Get Free Report) released its earnings results on Thursday. The company reported $0.36 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.41 by ($0.05), Briefing.com reports. The company had revenue of $1.73 billion for the quarter, compared to analyst estimates of $1.83 billion. Primo Brands had a positive return on equity of 9.50% and a negative net margin of 1.20%. Primo Brands's quarterly revenue was up 31.6% on a year-over-year basis. Primo Brands updated its FY 2025 guidance to EPS.

Primo Brands Stock Down 1.3%

PRMB stock traded down $0.32 during midday trading on Friday, hitting $23.68. The stock had a trading volume of 10,649,791 shares, compared to its average volume of 6,218,017. The firm has a market cap of $8.91 billion, a price-to-earnings ratio of -215.27, a price-to-earnings-growth ratio of 0.45 and a beta of 0.73. The business has a 50-day moving average of $29.11 and a two-hundred day moving average of $31.59. Primo Brands has a 52-week low of $21.36 and a 52-week high of $35.85. The company has a debt-to-equity ratio of 1.49, a current ratio of 1.07 and a quick ratio of 0.87.

Primo Brands Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 4th. Investors of record on Thursday, August 21st will be paid a $0.10 dividend. This represents a $0.40 annualized dividend and a yield of 1.7%. The ex-dividend date of this dividend is Thursday, August 21st. Primo Brands's dividend payout ratio is presently -500.00%.

Analysts Set New Price Targets

Several equities analysts have commented on the company. TD Securities dropped their target price on Primo Brands from $48.00 to $35.00 and set a "buy" rating for the company in a research report on Friday. Royal Bank Of Canada lowered their price objective on Primo Brands from $40.00 to $37.00 and set an "outperform" rating for the company in a research report on Friday. Mizuho started coverage on Primo Brands in a research report on Monday, May 12th. They set an "outperform" rating and a $43.00 price objective for the company. Bank of America lowered their target price on Primo Brands from $42.00 to $39.00 and set a "buy" rating for the company in a report on Friday, July 11th. Finally, Barclays cut their target price on Primo Brands from $40.00 to $38.00 and set an "overweight" rating on the stock in a research report on Monday, June 16th. One research analyst has rated the stock with a hold rating and nine have issued a buy rating to the company's stock. According to MarketBeat.com, Primo Brands has an average rating of "Moderate Buy" and a consensus target price of $37.90.

Insiders Place Their Bets

In related news, Director Tony W. Lee sold 50,657,562 shares of the company's stock in a transaction on Monday, May 12th. The stock was sold at an average price of $31.67, for a total value of $1,604,324,988.54. Following the sale, the director directly owned 116,210,806 shares of the company's stock, valued at $3,680,396,226.02. This represents a 30.36% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 58.40% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

An institutional investor recently bought a new position in Primo Brands stock. Caxton Associates LLP acquired a new stake in shares of Primo Brands Corporation (NYSE:PRMB - Free Report) in the first quarter, according to the company in its most recent disclosure with the SEC. The firm acquired 7,495 shares of the company's stock, valued at approximately $266,000. 87.71% of the stock is owned by hedge funds and other institutional investors.

Primo Brands Company Profile

Primo Brands Corp. is a branded beverage company, which focuses on healthy hydration. It delivers sustainably and domestically sourced diversified offerings across products, formats, channels, price points and consumer occasions, distributed in the United States and Canada. The company provides water filtration units for home and business consumers across North America.

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