Symbotic (NASDAQ:SYM) Trading Down 7.4% - What's Next?

Key Points

• Symbotic Inc. shares dropped 7.4% yesterday, trading between $49.10 and $49.98, with a significant volume decline of 39% from the average daily volume.
• Analyst opinions are mixed, with Northland Securities raising their target price to $56.00, while Goldman Sachs has lowered theirs to $18.00, reflecting varied confidence in the company's outlook.
• Symbotic reported a quarterly revenue of $549.65 million, exceeding expectations, but missed EPS estimates with a loss of ($0.04) per share.

Shares of Symbotic Inc. (NASDAQ:SYM - Get Free Report) were down 7.4% during trading on Friday . The stock traded as low as $49.10 and last traded at $49.98. Approximately 1,168,286 shares were traded during mid-day trading, a decline of 39% from the average daily volume of 1,908,255 shares. The stock had previously closed at $53.95.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently commented on SYM shares. Northland Securities upped their target price on shares of Symbotic from $35.00 to $56.00 and gave the company an "outperform" rating in a report on Tuesday, July 8th. The Goldman Sachs Group reduced their price objective on Symbotic from $25.00 to $18.00 and set a "neutral" rating for the company in a research note on Thursday, April 10th. Citigroup restated a "buy" rating on shares of Symbotic in a research note on Monday, July 14th. Arete Research downgraded shares of Symbotic from a "strong-buy" rating to a "hold" rating in a research report on Friday, July 25th. Finally, Deutsche Bank Aktiengesellschaft downgraded shares of Symbotic from a "buy" rating to a "hold" rating and set a $51.00 price objective for the company. in a research report on Friday, July 18th. One equities research analyst has rated the stock with a sell rating, nine have issued a hold rating and seven have assigned a buy rating to the company. According to MarketBeat, Symbotic has a consensus rating of "Hold" and a consensus target price of $39.87.

Symbotic Stock Performance

The stock has a market cap of $29.57 billion, a PE ratio of -1,254.63, a PEG ratio of 54.95 and a beta of 2.03. The business has a 50-day moving average of $39.77 and a 200 day moving average of $29.64.

Symbotic (NASDAQ:SYM - Get Free Report) last released its earnings results on Wednesday, May 7th. The company reported ($0.04) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.05 by ($0.09). Symbotic had a negative net margin of 0.23% and a negative return on equity of 1.26%. The company had revenue of $549.65 million during the quarter, compared to analysts' expectations of $522.36 million. During the same quarter in the previous year, the firm posted ($0.07) earnings per share. Symbotic's revenue for the quarter was up 39.7% compared to the same quarter last year. Equities analysts expect that Symbotic Inc. will post 0.13 EPS for the current fiscal year.

Insider Activity

In other Symbotic news, Director Todd Krasnow sold 5,940 shares of the stock in a transaction on Tuesday, May 13th. The shares were sold at an average price of $26.38, for a total transaction of $156,697.20. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO Carol J. Hibbard sold 4,628 shares of the stock in a transaction on Tuesday, May 6th. The shares were sold at an average price of $22.62, for a total transaction of $104,685.36. Following the transaction, the chief financial officer owned 54,011 shares in the company, valued at $1,221,728.82. This trade represents a 7.89% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 64,136 shares of company stock valued at $2,534,217 over the last ninety days. 0.60% of the stock is owned by company insiders.

Institutional Trading of Symbotic

Several hedge funds have recently made changes to their positions in SYM. Mirae Asset Global Investments Co. Ltd. lifted its stake in Symbotic by 21.3% in the first quarter. Mirae Asset Global Investments Co. Ltd. now owns 17,248 shares of the company's stock valued at $348,000 after buying an additional 3,024 shares during the last quarter. Vanguard Group Inc. lifted its position in Symbotic by 41.3% in the 4th quarter. Vanguard Group Inc. now owns 4,970,292 shares of the company's stock valued at $117,846,000 after purchasing an additional 1,452,627 shares during the last quarter. Freemont Management S.A. bought a new stake in Symbotic in the 1st quarter valued at about $1,479,000. Bank of New York Mellon Corp lifted its position in Symbotic by 35.7% in the 1st quarter. Bank of New York Mellon Corp now owns 60,554 shares of the company's stock valued at $1,224,000 after purchasing an additional 15,947 shares during the last quarter. Finally, ARK Investment Management LLC raised its holdings in shares of Symbotic by 106.9% during the first quarter. ARK Investment Management LLC now owns 393,293 shares of the company's stock valued at $7,948,000 after buying an additional 203,226 shares during 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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