Vivid Seats (NASDAQ:SEAT) Sets New 12-Month Low - Should You Sell?

Key Points

• Vivid Seats Inc.'s stock hit a new 12-month low, trading at $0.98, with the last price at $22.30, marking a significant decrease from the previous close of $1.32.
• Analysts have issued varied price targets for Vivid Seats, with Benchmark setting a target of $26.00 and Royal Bank of Canada reducing theirs to $40.00, reflecting uncertain investor sentiment.
• The company's recent quarterly earnings revealed $0.28 per share, exceeding expectations, but revenue of $143.57 million fell short of the forecast of $154.31 million.

Vivid Seats Inc. (NASDAQ:SEAT - Get Free Report)'s share price reached a new 52-week low during mid-day trading on Wednesday . The stock traded as low as $0.98 and last traded at $22.30, with a volume of 5729090 shares. The stock had previously closed at $1.32.

Analysts Set New Price Targets

Several research analysts recently commented on SEAT shares. Benchmark raised their price target on shares of Vivid Seats to $26.00 and gave the stock a "buy" rating in a research note on Wednesday. Royal Bank Of Canada cut their target price on shares of Vivid Seats from $80.00 to $40.00 and set a "sector perform" rating on the stock in a research report on Wednesday, May 7th. Craig Hallum set a $2.00 target price on shares of Vivid Seats in a research report on Tuesday. Canaccord Genuity Group reissued a "hold" rating and set a $23.00 target price (down previously from $80.00) on shares of Vivid Seats in a research report on Wednesday. Finally, William Blair downgraded shares of Vivid Seats from an "outperform" rating to a "market perform" rating in a research report on Tuesday, May 6th. One equities research analyst has rated the stock with a sell rating, eight have issued a hold rating and four have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Hold" and an average target price of $67.09.

Vivid Seats Stock Up 34.4%

The company has a debt-to-equity ratio of 1.01, a quick ratio of 0.70 and a current ratio of 0.77. The company's 50 day simple moving average is $1.72 and its two-hundred day simple moving average is $2.70.

Vivid Seats (NASDAQ:SEAT - Get Free Report) last issued its quarterly earnings results on Tuesday, August 5th. The company reported $0.28 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.04) by $0.32. The business had revenue of $143.57 million for the quarter, compared to analysts' expectations of $154.31 million. Vivid Seats had a negative net margin of 0.35% and a negative return on equity of 2.17%. Equities research analysts anticipate that Vivid Seats Inc. will post 0.12 earnings per share for the current fiscal year.

Insider Activity

In related news, General Counsel Emily T. Epstein sold 723 shares of the firm's stock in a transaction that occurred on Monday, May 12th. The shares were sold at an average price of $39.80, for a total value of $28,775.40. Following the sale, the general counsel owned 7,559 shares of the company's stock, valued at $300,848.20. This trade represents a 8.73% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Corporate insiders own 89.16% of the company's stock.

Institutional Trading of Vivid Seats

Several hedge funds have recently added to or reduced their stakes in the company. Price T Rowe Associates Inc. MD increased its stake in Vivid Seats by 17.2% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 29,251 shares of the company's stock valued at $136,000 after purchasing an additional 4,288 shares during the last quarter. MetLife Investment Management LLC increased its stake in Vivid Seats by 21.0% in the first quarter. MetLife Investment Management LLC now owns 45,279 shares of the company's stock valued at $134,000 after purchasing an additional 7,866 shares during the last quarter. American Century Companies Inc. increased its stake in Vivid Seats by 9.6% in the fourth quarter. American Century Companies Inc. now owns 96,396 shares of the company's stock valued at $446,000 after purchasing an additional 8,450 shares during the last quarter. Quinn Opportunity Partners LLC purchased a new position in Vivid Seats in the fourth quarter valued at approximately $46,000. Finally, Equitable Trust Co. increased its stake in Vivid Seats by 6.9% in the second quarter. Equitable Trust Co. now owns 167,060 shares of the company's stock valued at $282,000 after purchasing an additional 10,800 shares during the last quarter. Institutional investors and hedge funds own 39.92% of the company's stock.

About Vivid Seats

Vivid Seats Inc operates an online ticket marketplace in the United States, Canada, and Japan. The company operates in two segments, Marketplace and Resale. The Marketplace segment acts as an intermediary between event ticket buyers and sellers; processes ticket sales on its website and mobile applications through its distribution partners; and sells tickets for sports, concerts, theater events, and other live events.

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