Torrid Holdings Inc. (NYSE:CURV) Sees Large Drop in Short Interest

Key Points

• Torrid Holdings Inc. experienced a significant decline in short interest, with a drop of 27.8% from July to August, resulting in 1,740,000 shares sold short, which represents approximately 4.8% of the total company shares.
• The company's stock is currently trading at $1.66 with a market cap of $173.91 million, and it reported a $0.02 EPS for the last quarter, missing analysts' estimates.
• Analysts have mixed ratings for Torrid, with two rating it as a Buy, two as a Sell, and an average price target of $3.69.

Torrid Holdings Inc. (NYSE:CURV - Get Free Report) was the recipient of a significant decline in short interest in August. As of August 15th, there was short interest totaling 1,740,000 shares, adeclineof27.8% from the July 31st total of 2,410,000 shares. Approximately4.8% of the company's shares are sold short. Based on an average daily trading volume, of 661,000 shares, the short-interest ratio is presently 2.6 days. Based on an average daily trading volume, of 661,000 shares, the short-interest ratio is presently 2.6 days. Approximately4.8% of the company's shares are sold short.

Torrid Stock Performance

Shares of Torrid stock traded down $0.12 during trading on Monday, reaching $1.66. The company had a trading volume of 1,683,732 shares, compared to its average volume of 766,373. The company has a market cap of $173.91 million, a price-to-earnings ratio of 41.41, a price-to-earnings-growth ratio of 1.10 and a beta of 1.56. The firm's fifty day moving average is $2.45 and its 200-day moving average is $4.34. Torrid has a fifty-two week low of $1.64 and a fifty-two week high of $7.25.

Torrid (NYSE:CURV - Get Free Report) last issued its earnings results on Thursday, September 4th. The company reported $0.02 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.04 by ($0.02). The company had revenue of $262.81 million during the quarter, compared to analyst estimates of $259.38 million. Torrid had a net margin of 0.30% and a negative return on equity of 1.72%. During the same quarter last year, the company posted $0.08 EPS. Torrid has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. On average, research analysts anticipate that Torrid will post 0.14 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on CURV shares. BTIG Research reaffirmed a "neutral" rating on shares of Torrid in a research report on Friday. Wall Street Zen lowered shares of Torrid from a "hold" rating to a "sell" rating in a report on Saturday. Telsey Advisory Group decreased their price objective on shares of Torrid from $6.00 to $3.00 and set a "market perform" rating for the company in a research report on Thursday, August 28th. The Goldman Sachs Group decreased their price objective on shares of Torrid from $2.25 to $1.75 and set a "sell" rating for the company in a research report on Monday. Finally, Bank of America decreased their price objective on shares of Torrid from $7.00 to $6.00 and set a "buy" rating for the company in a research report on Friday. Two analysts have rated the stock with a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Hold" and an average price target of $3.69.

Insider Buying and Selling at Torrid

In other Torrid news, CEO Lisa M. Harper sold 350,000 shares of Torrid stock in a transaction that occurred on Thursday, June 26th. The shares were sold at an average price of $3.32, for a total transaction of $1,162,000.00. Following the transaction, the chief executive officer directly owned 5,266,453 shares of the company's stock, valued at $17,484,623.96. The trade was a 6.23% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, major shareholder Sycamore Partners Torrid, L.L. sold 15,680,908 shares of the company's stock in a transaction on Thursday, June 26th. The stock was sold at an average price of $3.32, for a total transaction of $52,060,614.56. Following the sale, the insider directly owned 58,295,694 shares of the company's stock, valued at approximately $193,541,704.08. This trade represents a 21.20% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 16,538,741 shares of company stock valued at $54,611,499 over the last ninety days. Corporate insiders own 9.77% of the company's stock.

Institutional Investors Weigh In On Torrid

A number of institutional investors have recently modified their holdings of the stock. Wells Fargo & Company MN grew its position in shares of Torrid by 150.7% during the 4th quarter. Wells Fargo & Company MN now owns 9,447 shares of the company's stock valued at $49,000 after buying an additional 5,678 shares during the last quarter. Barclays PLC grew its position in shares of Torrid by 83.9% during the 4th quarter. Barclays PLC now owns 32,036 shares of the company's stock valued at $168,000 after buying an additional 14,620 shares during the last quarter. Northern Trust Corp grew its position in shares of Torrid by 38.7% during the 4th quarter. Northern Trust Corp now owns 189,580 shares of the company's stock valued at $992,000 after buying an additional 52,891 shares during the last quarter. Bank of America Corp DE grew its position in shares of Torrid by 4,794.2% during the 4th quarter. Bank of America Corp DE now owns 423,597 shares of the company's stock valued at $2,215,000 after buying an additional 414,942 shares during the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in shares of Torrid by 55.9% during the 4th quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 11,189 shares of the company's stock valued at $59,000 after buying an additional 4,013 shares during the last quarter. Institutional investors and hedge funds own 81.82% of the company's stock.

Torrid Company Profile

Torrid Holdings Inc operates in women's plus-size apparel and intimates market in North America. The company designs, develops, and merchandises its products under the Torrid, Torrid Curve, CURV, and Lovesick brand names. It is involved in the sale of tops, bottoms, dresses, denims, activewear, intimates, sleep wear, swim wear, and outerwear products; and non-apparel products comprising accessories, footwear, and beauty products.

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