Westrock Coffee (NASDAQ:WEST) Sets New 1-Year Low - Should You Sell?

Key Points

• Westrock Coffee shares have fallen to a new 52-week low, trading at $5.04 during recent sessions, prompting concerns about whether to sell.
• Despite the drop, the stock has a consensus rating of "Buy" among analysts, with a target price averaging around $10.60.
• Insider trading activity shows Director Joe T. Ford purchased 5,000 shares at an average price of $5.30, indicating confidence in the company's future.

Westrock Coffee Company (NASDAQ:WEST - Get Free Report) shares hit a new 52-week low during trading on Wednesday . The stock traded as low as $5.04 and last traded at $5.05, with a volume of 632649 shares. The stock had previously closed at $5.38.

Analyst Ratings Changes

A number of brokerages have weighed in on WEST. Wall Street Zen raised shares of Westrock Coffee from a "sell" rating to a "hold" rating in a research note on Friday, August 22nd. Telsey Advisory Group reaffirmed an "outperform" rating and set a $10.00 target price on shares of Westrock Coffee in a research note on Tuesday, August 5th. Five research analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, the stock has a consensus rating of "Buy" and a consensus target price of $10.60.

Westrock Coffee Stock Performance

The company has a debt-to-equity ratio of 23.42, a quick ratio of 0.50 and a current ratio of 1.04. The firm has a market cap of $478.29 million, a P/E ratio of -5.37 and a beta of 0.51. The business's 50-day simple moving average is $6.28 and its 200 day simple moving average is $6.40.

Westrock Coffee (NASDAQ:WEST - Get Free Report) last posted its earnings results on Thursday, August 7th. The company reported ($0.12) EPS for the quarter, topping analysts' consensus estimates of ($0.14) by $0.02. The business had revenue of $280.86 million during the quarter, compared to the consensus estimate of $238.34 million. Westrock Coffee had a negative net margin of 9.28% and a negative return on equity of 64.79%. As a group, equities analysts predict that Westrock Coffee Company will post -0.3 earnings per share for the current year.

Insider Buying and Selling at Westrock Coffee

In other news, Director Joe T. Ford bought 5,000 shares of the stock in a transaction that occurred on Tuesday, September 2nd. The shares were bought at an average price of $5.30 per share, for a total transaction of $26,500.00. Following the purchase, the director owned 413,916 shares in the company, valued at $2,193,754.80. This represents a 1.22% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is available through this link. Company insiders own 27.70% of the company's stock.

Institutional Trading of Westrock Coffee

Several hedge funds have recently bought and sold shares of WEST. EverSource Wealth Advisors LLC raised its position in shares of Westrock Coffee by 199.0% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 6,214 shares of the company's stock valued at $36,000 after buying an additional 4,136 shares in the last quarter. BNP Paribas Financial Markets purchased a new stake in shares of Westrock Coffee during the 4th quarter valued at about $37,000. HHM Wealth Advisors LLC raised its position in shares of Westrock Coffee by 130.9% during the 1st quarter. HHM Wealth Advisors LLC now owns 8,080 shares of the company's stock valued at $58,000 after buying an additional 4,580 shares in the last quarter. State of Wyoming purchased a new stake in shares of Westrock Coffee during the 1st quarter valued at about $62,000. Finally, Magnetar Financial LLC purchased a new stake in shares of Westrock Coffee during the 2nd quarter valued at about $65,000. Hedge funds and other institutional investors own 45.08% of the company's stock.

Westrock Coffee Company Profile

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.

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