Simply Good Foods (NASDAQ:SMPL) Hits New 12-Month Low - What's Next?

Key Points

• Simply Good Foods reached a new 52-week low of $26.10 during trading on Monday, closing at $26.20 with a volume of 81,730 shares.
• Analysts have recently downgraded the stock, with Citigroup lowering its price target from $43.00 to $40.00 and UBS setting a price objective of $36.00, contributing to a consensus rating of "Moderate Buy".
• CEO Geoff E. Tanner purchased 6,050 shares at an average cost of $33.11, increasing his ownership stake in the company significantly amidst ongoing market fluctuations.

The Simply Good Foods Company (NASDAQ:SMPL - Get Free Report) shares reached a new 52-week low during mid-day trading on Monday . The stock traded as low as $26.10 and last traded at $26.20, with a volume of 81730 shares trading hands. The stock had previously closed at $26.36.

Wall Street Analysts Forecast Growth

SMPL has been the topic of several recent analyst reports. DA Davidson cut their price target on shares of Simply Good Foods from $42.00 to $38.00 and set a "neutral" rating on the stock in a report on Monday, June 9th. Wall Street Zen cut shares of Simply Good Foods from a "buy" rating to a "hold" rating in a report on Saturday, June 21st. Mizuho cut their price target on shares of Simply Good Foods from $47.00 to $43.00 and set an "outperform" rating on the stock in a report on Tuesday, July 15th. Citigroup lowered their target price on shares of Simply Good Foods from $43.00 to $40.00 and set a "buy" rating for the company in a research note on Wednesday, June 18th. Finally, Sanford C. Bernstein set a $45.00 target price on shares of Simply Good Foods and gave the company an "outperform" rating in a research note on Friday, July 11th. Five investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $39.88.

Simply Good Foods Stock Performance

The company has a debt-to-equity ratio of 0.14, a quick ratio of 2.46 and a current ratio of 3.95. The stock's fifty day moving average is $29.54 and its two-hundred day moving average is $32.71. The firm has a market cap of $2.59 billion, a price-to-earnings ratio of 18.04, a PEG ratio of 2.44 and a beta of 0.59.

Simply Good Foods (NASDAQ:SMPL - Get Free Report) last released its quarterly earnings data on Thursday, July 10th. The financial services provider reported $0.51 earnings per share for the quarter, hitting analysts' consensus estimates of $0.51. The business had revenue of $380.96 million 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 for the quarter was up 13.8% compared to the same quarter last year. During the same quarter last year, the company earned $0.50 EPS. On average, analysts expect that The Simply Good Foods Company will post 1.78 earnings per share for the current fiscal year.

Insider Buying and Selling at Simply Good Foods

In other Simply Good Foods news, CEO Geoff E. Tanner acquired 6,050 shares of Simply Good Foods stock in a transaction dated Wednesday, July 23rd. The stock was bought at an average price of $33.11 per share, for a total transaction of $200,315.50. Following the transaction, the chief executive officer owned 98,190 shares in the company, valued at approximately $3,251,070.90. This trade represents a 6.57% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through this hyperlink. Company insiders own 9.35% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the company. EverSource Wealth Advisors LLC lifted its position in Simply Good Foods by 125.4% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 967 shares of the financial services provider's stock worth $31,000 after buying an additional 538 shares in the last quarter. BI Asset Management Fondsmaeglerselskab A S bought a new position in shares of Simply Good Foods in the first quarter valued at approximately $54,000. Caitong International Asset Management Co. Ltd bought a new position in Simply Good Foods during the first quarter worth $55,000. Quarry LP increased its position in Simply Good Foods by 59.7% during the first quarter. Quarry LP now owns 2,009 shares of the financial services provider's stock worth $69,000 after acquiring an additional 751 shares during the period. Finally, State of Wyoming bought a new position in Simply Good Foods during the second quarter worth $87,000. 88.45% of the stock is currently owned by institutional investors and hedge funds.

About Simply Good Foods

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.