Symbotic (NASDAQ:SYM) Stock Price Down 1.1% - Time to Sell?

Key Points

• Symbotic Inc. shares experienced a 1.1% decline in price, closing at $47.07, with a notable drop in trading volume by 86% compared to average levels.
• Several brokerages have revised their ratings on Symbotic, with Zacks Research downgrading the stock to a "strong sell" rating and others adjusting their target prices, indicating a market consensus of a "hold" rating.
• The company's quarterly earnings report showed a revenue increase of 25.9% year-over-year, yet it missed earnings expectations, reflecting ongoing challenges in profitability.

Symbotic Inc. (NASDAQ:SYM - Get Free Report)'s share price fell 1.1% during trading on Tuesday . The stock traded as low as $46.40 and last traded at $47.07. 267,204 shares changed hands during trading, a decline of 86% from the average session volume of 1,950,245 shares. The stock had previously closed at $47.60.

Analyst Ratings Changes

Several brokerages have recently commented on SYM. Zacks Research lowered Symbotic from a "hold" rating to a "strong sell" rating in a research report on Friday, August 15th. Arete lowered Symbotic from a "buy" rating to a "neutral" rating and set a $50.00 price target on the stock. in a research report on Friday, July 25th. Arete Research lowered Symbotic from a "strong-buy" rating to a "hold" rating in a research report on Friday, July 25th. Robert W. Baird lowered Symbotic from an "outperform" rating to a "neutral" rating and set a $55.00 price target on the stock. in a research report on Thursday, August 7th. Finally, Deutsche Bank Aktiengesellschaft lowered Symbotic from a "buy" rating to a "hold" rating and set a $51.00 price target on the stock. in a research report on Friday, July 18th. Six equities research analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $43.44.

Symbotic Trading Down 0.3%

The company has a market cap of $28.02 billion, a PE ratio of -677.45 and a beta of 2.05. The stock has a 50 day moving average price of $49.91 and a 200 day moving average price of $33.69.

Symbotic (NASDAQ:SYM - Get Free Report) last announced its quarterly earnings data on Wednesday, August 6th. The company reported ($0.05) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.03 by ($0.08). Symbotic had a negative net margin of 0.38% and a negative return on equity of 2.02%. The company had revenue of $592.12 million for the quarter, compared to analysts' expectations of $533.55 million. During the same quarter in the previous year, the firm posted ($0.02) EPS. The firm's quarterly revenue was up 25.9% compared to the same quarter last year. Equities analysts expect that Symbotic Inc. will post 0.13 EPS for the current fiscal year.

Insiders Place Their Bets

In other Symbotic news, Director Charles Kane sold 25,000 shares of the firm's stock in a transaction that occurred on Tuesday, August 19th. The stock was sold at an average price of $47.62, for a total transaction of $1,190,500.00. Following the completion of the transaction, the director owned 79,507 shares in the company, valued at $3,786,123.34. This trade represents a 23.92% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, major shareholder Millennium Gst Non-Exempt Rbc sold 220,000 shares of the firm's stock in a transaction that occurred on Friday, August 22nd. The shares were sold at an average price of $46.45, for a total value of $10,219,000.00. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 488,632 shares of company stock valued at $24,020,351. 0.60% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of SYM. Amanah Holdings Trust purchased a new position in shares of Symbotic in the 2nd quarter valued at $19,824,000. Canada Pension Plan Investment Board purchased a new position in shares of Symbotic in the 1st quarter valued at about $4,968,000. ARK Investment Management LLC increased its stake in shares of Symbotic by 106.9% in the 1st quarter. ARK Investment Management LLC now owns 393,293 shares of the company's stock valued at $7,948,000 after purchasing an additional 203,226 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in Symbotic by 16.2% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 1,343,902 shares of the company's stock worth $27,155,000 after buying an additional 187,538 shares in the last quarter. Finally, Janus Henderson Group PLC grew its position in shares of Symbotic by 931.7% in the fourth quarter. Janus Henderson Group PLC now owns 179,516 shares of the company's stock valued at $4,256,000 after purchasing an additional 162,116 shares in the last quarter.

About Symbotic

Symbotic Inc, an automation technology company, engages in developing technologies to improve operating efficiencies in modern warehouses. The company automates the processing of pallets and cases in large warehouses or distribution centers for retail companies. Its systems enhance operations at the front end of the supply chain.

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