Wall Street Zen Upgrades Driven Brands (NASDAQ:DRVN) to Buy

Key Points

• Wall Street Zen upgraded Driven Brands (NASDAQ: DRVN) from hold to buy, adding to a mixed but generally positive analyst view on the stock.
• The latest earnings report showed EPS of $0.30, beating estimates, while revenue came in at $484.44 million, also ahead of expectations; however, revenue was still down 6.2% year over year.
• Driven Brands stock was down 0.5% at $13.61, and analysts currently see a Moderate Buy consensus with an average price target of $17.18.

Driven Brands (NASDAQ:DRVN - Get Free Report) was upgraded by Wall Street Zen from a "hold" rating to a "buy" rating in a report issued on Saturday.

DRVN has been the topic of a number of other reports. Robert W. Baird set a $18.00 price objective on shares of Driven Brands and gave the company an "outperform" rating in a report on Wednesday, May 20th. Royal Bank Of Canada reduced their target price on shares of Driven Brands from $18.00 to $17.00 and set an "outperform" rating for the company in a report on Thursday, June 11th. The Goldman Sachs Group reaffirmed a "neutral" rating and issued a $14.75 target price on shares of Driven Brands in a research report on Wednesday, May 20th. Piper Sandler lifted their price target on shares of Driven Brands from $11.00 to $13.00 and gave the company a "neutral" rating in a research note on Wednesday, May 20th. Finally, Morgan Stanley cut their price target on shares of Driven Brands from $17.00 to $16.00 and set an "equal weight" rating on the stock in a research report on Wednesday, May 20th. Two analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, Driven Brands has a consensus rating of "Moderate Buy" and an average price target of $17.18.

Driven Brands Stock Down 0.5%

DRVN stock opened at $13.61 on Friday. The company has a debt-to-equity ratio of 2.08, a current ratio of 1.38 and a quick ratio of 1.25. The stock has a market capitalization of $2.25 billion, a P/E ratio of 12.15 and a beta of 0.96. Driven Brands has a fifty-two week low of $9.80 and a fifty-two week high of $19.74. The business has a 50-day moving average of $13.89 and a 200-day moving average of $13.77.

Driven Brands (NASDAQ:DRVN - Get Free Report) last announced its earnings results on Thursday, June 11th. The company reported $0.30 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.24 by $0.06. The business had revenue of $484.44 million for the quarter, compared to analyst estimates of $480.84 million. Driven Brands had a return on equity of 25.70% and a net margin of 9.08%.Driven Brands's revenue for the quarter was down 6.2% compared to the same quarter last year. During the same quarter last year, the firm earned $0.27 EPS. On average, sell-side analysts anticipate that Driven Brands will post 1.08 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Driven Brands

Several hedge funds and other institutional investors have recently made changes to their positions in DRVN. Vanguard Group Inc. grew its stake in Driven Brands by 5.2% in the 4th quarter. Vanguard Group Inc. now owns 5,851,225 shares of the company's stock valued at $86,715,000 after buying an additional 288,759 shares during the last quarter. North Peak Capital Management LLC lifted its position in Driven Brands by 37.3% during the fourth quarter. North Peak Capital Management LLC now owns 3,990,850 shares of the company's stock worth $59,144,000 after acquiring an additional 1,083,896 shares during the last quarter. Goldman Sachs Group Inc. lifted its position in Driven Brands by 14.8% during the fourth quarter. Goldman Sachs Group Inc. now owns 3,826,160 shares of the company's stock worth $56,704,000 after acquiring an additional 491,919 shares during the last quarter. Boston Partners lifted its position in Driven Brands by 1,301.0% during the fourth quarter. Boston Partners now owns 3,426,388 shares of the company's stock worth $50,783,000 after acquiring an additional 3,181,812 shares during the last quarter. Finally, JPMorgan Chase & Co. boosted its holdings in shares of Driven Brands by 2.7% during the fourth quarter. JPMorgan Chase & Co. now owns 3,234,369 shares of the company's stock worth $47,933,000 after acquiring an additional 86,281 shares during the period. 77.08% of the stock is owned by institutional investors.

Driven Brands Company Profile

Driven Brands Holdings Inc NASDAQ: DRVN is a leading North American provider of automotive aftermarket services, operating through a network of franchised and company-owned locations. The company's platform encompasses a diverse portfolio of car care and maintenance brands, including Meineke Car Care Centers, Maaco Collision Repair & Auto Painting, Take 5 Oil Change, and Carstar Collision Repair. Driven Brands delivers a full range of services from routine maintenance and oil changes to collision repair, paint protection, and vehicle customization.

Headquartered in Charlotte, North Carolina, Driven Brands serves both individual consumers and commercial clients across the United States and Canada.

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