Torrid (NYSE:CURV) Downgraded by Wall Street Zen to "Sell"

Key Points

• Torrid has been downgraded by Wall Street Zen from a "hold" to a "sell" rating, indicating a negative outlook on the stock's performance.
• Recent reports indicate a significant decrease in Torrid's stock price by 23.8%, with the current trading price at $1.81 and a consensus target price of $4.25.
• In its latest earnings report, Torrid missed analysts' estimates by posting $0.02 earnings per share, compared to the expected $0.04.

Torrid (NYSE:CURV - Get Free Report) was downgraded by Wall Street Zen from a "hold" rating to a "sell" rating in a report released on Saturday.

Other equities analysts have also issued reports about the company. Telsey Advisory Group cut their target price on Torrid from $6.00 to $3.00 and set a "market perform" rating on the stock in a report on Thursday, August 28th. BTIG Research restated a "neutral" rating on shares of Torrid in a report on Friday. Finally, Bank of America cut their target price on Torrid from $7.00 to $6.00 and set a "buy" rating on the stock in a report on Friday. Two research 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. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and an average price target of $4.25.

Torrid Trading Down 23.8%

NYSE CURV opened at $1.81 on Friday. Torrid has a 1-year low of $1.76 and a 1-year high of $7.25. The company has a market capitalization of $190.40 million, a PE ratio of 45.34, a price-to-earnings-growth ratio of 1.48 and a beta of 1.56. The firm's fifty day simple moving average is $2.48 and its 200-day simple moving average is $4.40.

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

Insider Transactions at Torrid

In other news, major shareholder Fund 1 Investments, Llc sold 257,833 shares of Torrid stock in a transaction dated Wednesday, July 2nd. The stock was sold at an average price of $2.73, for a total value of $703,884.09. Following the transaction, the insider directly owned 10,064,856 shares in the company, valued at approximately $27,477,056.88. The trade was a 2.50% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Lisa M. Harper sold 350,000 shares of Torrid stock in a transaction dated Thursday, June 26th. The stock was sold at an average price of $3.32, for a total value of $1,162,000.00. Following the completion of the transaction, the chief executive officer owned 5,266,453 shares in the company, valued at $17,484,623.96. The trade was a 6.23% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 16,538,741 shares of company stock worth $54,611,499. Company insiders own 5.85% of the company's stock.

Hedge Funds Weigh In On Torrid

Institutional investors have recently made changes to their positions in the business. Wells Fargo & Company MN increased its stake in shares of Torrid by 150.7% in the fourth quarter. Wells Fargo & Company MN now owns 9,447 shares of the company's stock worth $49,000 after purchasing an additional 5,678 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in shares of Torrid by 55.9% in the fourth quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 11,189 shares of the company's stock worth $59,000 after purchasing an additional 4,013 shares during the period. Deutsche Bank AG bought a new position in Torrid during the first quarter valued at about $68,000. Two Sigma Advisers LP bought a new position in Torrid during the fourth quarter valued at about $80,000. Finally, Kapitalo Investimentos Ltda bought a new position in Torrid during the first quarter valued at about $95,000. 81.82% of the stock is currently owned by institutional investors.

About Torrid

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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