Westrock Coffee (NASDAQ:WEST) Posts Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Key Points

• Westrock Coffee reported a quarterly earnings per share of ($0.12), beating the consensus estimate of (0.14) by $0.02. The company also generated revenue of $280.86 million, surpassing analysts' expectations of $238.34 million.
• The stock of Westrock Coffee closed at $6.99 after trading up $0.33 following the earnings report, with a market capitalization of $661.53 million.
• Insider transactions indicate increased confidence in the company, as Director Joe T. Ford purchased 70,000 shares, increasing his holdings by 25.32%.

Westrock Coffee (NASDAQ:WEST - Get Free Report) posted its earnings results on Thursday. The company reported ($0.12) earnings per share for the quarter, topping the consensus estimate of ($0.14) by $0.02, Zacks reports. Westrock Coffee had a negative net margin of 9.28% and a negative return on equity of 64.79%. The business had revenue of $280.86 million for the quarter, compared to analyst estimates of $238.34 million.

Westrock Coffee Trading Down 1.1%

Shares of NASDAQ:WEST traded down $0.07 during mid-day trading on Wednesday, reaching $6.53. The stock had a trading volume of 923,493 shares, compared to its average volume of 305,135. The firm has a market cap of $618.00 million, a PE ratio of -6.95 and a beta of 0.53. The firm has a 50 day simple moving average of $6.50 and a two-hundred day simple moving average of $6.52. The company has a current ratio of 1.04, a quick ratio of 0.57 and a debt-to-equity ratio of 23.42. Westrock Coffee has a twelve month low of $5.28 and a twelve month high of $9.70.

Insider Buying and Selling at Westrock Coffee

In related news, Director Joe T. Ford bought 25,000 shares of the company's stock in a transaction on Thursday, May 15th. The shares were purchased at an average cost of $7.44 per share, for a total transaction of $186,000.00. Following the acquisition, the director owned 371,445 shares of the company's stock, valued at approximately $2,763,550.80. This represents a 7.22% increase in their position. The purchase was disclosed in a filing with the SEC, which can be accessed through this link. 27.70% of the stock is owned by corporate insiders.

Institutional Trading of Westrock Coffee

Hedge funds have recently bought and sold shares of the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its holdings in shares of Westrock Coffee by 10.4% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 21,292 shares of the company's stock valued at $154,000 after purchasing an additional 2,003 shares during the last quarter. AQR Capital Management LLC acquired a new stake in shares of Westrock Coffee in the first quarter valued at approximately $166,000. Finally, Rhumbline Advisers raised its holdings in shares of Westrock Coffee by 8.1% in the second quarter. Rhumbline Advisers now owns 49,510 shares of the company's stock valued at $284,000 after purchasing an additional 3,723 shares during the last quarter. 45.08% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

A number of brokerages have commented on WEST. Telsey Advisory Group reissued an "outperform" rating and set a $10.00 price objective on shares of Westrock Coffee in a report on Tuesday, August 5th. Benchmark reissued a "buy" rating and set a $10.00 price objective on shares of Westrock Coffee in a report on Wednesday, April 16th. Wall Street Zen lowered shares of Westrock Coffee from a "hold" rating to a "sell" rating in a report on Saturday. Finally, Stifel Nicolaus decreased their price objective on shares of Westrock Coffee from $12.00 to $10.00 and set a "buy" rating on the stock in a report on Thursday, April 24th. One equities research analyst has rated the stock with a sell rating and five have issued a buy rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $10.60.

About Westrock Coffee

Westrock Coffee Company, LLC operates as an integrated coffee, tea, flavors, extracts, and ingredients solutions provider in the United States and internationally. It operates through two segments, Beverage Solutions, and Sustainable Sourcing & Traceability (SS&T). The Beverage Solutions segment provides various packaging, including branded and private label coffee in bags, fractional packs, and single serve cups, as well as extract solutions for applications in cold brew and ready-to-drink offerings.