Simply Good Foods (NASDAQ:SMPL) Reaches New 52-Week Low - Time to Sell?

Key Points

• Simply Good Foods' stock hit a new 52-week low, trading at $29.99 on Wednesday with a significant trading volume of nearly 1.15 million shares.
• Analysts have revised their price targets on the stock, with the current consensus target set at $39.88 and ratings varying from "buy" to "hold."
• CEO Geoff E. Tanner recently purchased 6,050 shares of the company's stock, increasing his ownership stake by 6.57% amidst ongoing interest from institutional investors.

The Simply Good Foods Company (NASDAQ:SMPL - Get Free Report) shares hit a new 52-week low during mid-day trading on Wednesday . The stock traded as low as $29.99 and last traded at $30.02, with a volume of 1146598 shares traded. The stock had previously closed at $30.66.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on the company. Sanford C. Bernstein set a $45.00 target price on Simply Good Foods and gave the company an "outperform" rating in a research note on Friday, July 11th. Wall Street Zen cut Simply Good Foods from a "buy" rating to a "hold" rating in a research note on Saturday, June 21st. Mizuho cut their target price on Simply Good Foods from $47.00 to $43.00 and set an "outperform" rating on the stock in a research note on Tuesday, July 15th. Stifel Nicolaus cut their target price on Simply Good Foods from $40.00 to $38.00 and set a "buy" rating on the stock in a research note on Friday, June 27th. Finally, UBS Group set a $36.00 target price on Simply Good Foods and gave the company a "neutral" rating in a research note on Tuesday, July 1st. Four research analysts have rated the stock with a hold rating and five have issued a buy rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $39.88.

Simply Good Foods Trading Down 1.9%

The business's 50 day moving average is $32.33 and its two-hundred day moving average is $34.72. The company has a quick ratio of 2.46, a current ratio of 3.95 and a debt-to-equity ratio of 0.14. The firm has a market capitalization of $2.96 billion, a P/E ratio of 20.59, a PEG ratio of 2.89 and a beta of 0.59.

Simply Good Foods (NASDAQ:SMPL - Get Free Report) last issued its quarterly earnings data on Thursday, July 10th. The financial services provider reported $0.51 earnings per share for the quarter, beating analysts' consensus estimates of $0.50 by $0.01. The business had revenue of $380,956 billion for the quarter, compared to analysts' expectations of $381.68 million. Simply Good Foods had a net margin of 9.97% and a return on equity of 10.29%. The company's revenue was up 13.8% on a year-over-year basis. During the same period in the previous year, the business earned $0.50 earnings per share. Analysts expect that The Simply Good Foods Company will post 1.78 EPS for the current year.

Insider Transactions at Simply Good Foods

In other news, CEO Geoff E. Tanner bought 6,050 shares of the stock in a transaction that occurred on Wednesday, July 23rd. The shares were purchased at an average cost of $33.11 per share, with a total value of $200,315.50. Following the completion of the acquisition, the chief executive officer directly owned 98,190 shares in the company, valued at approximately $3,251,070.90. The trade was a 6.57% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 9.35% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. BI Asset Management Fondsmaeglerselskab A S purchased a new position in Simply Good Foods in the 1st quarter worth about $54,000. Caitong International Asset Management Co. Ltd purchased a new position in Simply Good Foods in the 1st quarter worth about $55,000. Quarry LP increased its stake in Simply Good Foods by 59.7% in the 1st quarter. Quarry LP now owns 2,009 shares of the financial services provider's stock worth $69,000 after purchasing an additional 751 shares in the last quarter. Russell Investments Group Ltd. increased its stake in Simply Good Foods by 2,055.7% in the 1st quarter. Russell Investments Group Ltd. now owns 3,018 shares of the financial services provider's stock worth $104,000 after purchasing an additional 2,878 shares in the last quarter. Finally, Banque Cantonale Vaudoise purchased a new position in Simply Good Foods in the 1st quarter worth about $105,000. 88.45% of the stock is owned by institutional investors and hedge funds.

Simply Good Foods Company Profile

The Simply Good Foods Company operates as a consumer-packaged food and beverage company in North America and internationally. The company develops, markets, and sells snacks and meal replacements. It offers protein bars, ready-to-drink shakes, sweet and salty snacks, cookies, protein chips, and recipes under the Atkins and Quest brand names.