Primo Brands (NYSE:PRMB) Reaches New 1-Year Low - Should You Sell?

Key Points

• Primo Brands' stock has hit a new 52-week low, trading as low as $21.37 before closing at $21.58.
• Analysts' ratings for Primo Brands vary, with a consensus rating of "Moderate Buy" and an average target price of $35.00, despite some recent target cuts from various firms.
• The company recently announced a quarterly dividend of $0.10 per share, yielding 1.8%, although it has a negative dividend payout ratio of -363.64%.

Primo Brands Corporation (NYSE:PRMB - Get Free Report) hit a new 52-week low during mid-day trading on Monday . The stock traded as low as $21.37 and last traded at $21.58, with a volume of 162408 shares changing hands. The stock had previously closed at $21.52.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on PRMB shares. Royal Bank Of Canada lowered their target price on Primo Brands from $40.00 to $37.00 and set an "outperform" rating for the company in a research note on Friday, August 8th. The Goldman Sachs Group initiated coverage on shares of Primo Brands in a report on Thursday, September 11th. They issued a "neutral" rating and a $25.00 target price on the stock. Zacks Research raised shares of Primo Brands from a "strong sell" rating to a "hold" rating in a report on Monday, October 6th. Barclays cut their price target on Primo Brands from $40.00 to $38.00 and set an "overweight" rating on the stock in a report on Monday, June 16th. Finally, Bank of America cut their price target on Primo Brands from $32.00 to $26.00 and set a "buy" rating on the stock in a report on Wednesday, October 8th. Nine research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $35.00.

Primo Brands Stock Performance

The company has a current ratio of 1.06, a quick ratio of 0.88 and a debt-to-equity ratio of 1.55. The stock has a market capitalization of $8.08 billion, a PE ratio of -196.69, a PEG ratio of 0.57 and a beta of 0.76. The firm's 50-day simple moving average is $23.79 and its two-hundred day simple moving average is $28.68.

Primo Brands (NYSE:PRMB - Get Free Report) last posted its quarterly earnings data on Thursday, August 7th. The company reported $0.36 earnings per share for the quarter, missing the consensus estimate of $0.41 by ($0.05). The firm had revenue of $1.73 billion for the quarter, compared to analysts' expectations of $1.83 billion. Primo Brands had a positive return on equity of 9.64% and a negative net margin of 1.20%.The company's revenue for the quarter was up 31.6% on a year-over-year basis. Primo Brands has set its FY 2025 guidance at EPS. On average, equities research analysts expect that Primo Brands Corporation will post 1.13 earnings per share for the current fiscal year.

Primo Brands Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, September 4th. Shareholders of record on Thursday, August 21st were paid a dividend of $0.10 per share. The ex-dividend date of this dividend was Thursday, August 21st. This represents a $0.40 dividend on an annualized basis and a dividend yield of 1.8%. Primo Brands's dividend payout ratio (DPR) is -363.64%.

Insider Buying and Selling at Primo Brands

In related news, Director Steven P. Stanbrook bought 12,400 shares of the firm's stock in a transaction on Tuesday, August 12th. The stock was bought at an average price of $24.04 per share, with a total value of $298,096.00. Following the purchase, the director directly owned 125,025 shares of the company's stock, valued at approximately $3,005,601. This represents a 11.01% increase in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, Director Michael John Cramer acquired 4,000 shares of Primo Brands stock in a transaction that occurred on Thursday, August 14th. The stock was acquired at an average cost of $24.46 per share, with a total value of $97,840.00. Following the purchase, the director owned 12,762 shares in the company, valued at $312,158.52. The trade was a 45.65% increase in their position. The disclosure for this purchase can be found here. Insiders purchased 24,685 shares of company stock valued at $595,770 in the last quarter. Company insiders own 58.40% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of PRMB. GAMMA Investing LLC raised its holdings in Primo Brands by 34.5% in the 1st quarter. GAMMA Investing LLC now owns 1,942 shares of the company's stock worth $69,000 after acquiring an additional 498 shares during the period. SG Americas Securities LLC acquired a new position in Primo Brands in the first quarter valued at about $1,620,000. Elevation Point Wealth Partners LLC acquired a new position in Primo Brands in the first quarter valued at about $385,000. Wealth Enhancement Advisory Services LLC boosted its position in Primo Brands by 14.0% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 13,465 shares of the company's stock valued at $478,000 after buying an additional 1,656 shares in the last quarter. Finally, Ritholtz Wealth Management acquired a new position in Primo Brands in the first quarter valued at about $608,000. Institutional investors own 87.71% of the company's stock.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.