William Blair Predicts Reduced Earnings for BellRing Brands

Key Points

• William Blair has reduced its FY2026 earnings per share estimate for BellRing Brands from $2.36 to $2.24, aligning closely with the current consensus estimate of $2.23.
• Several investment firms, including Evercore ISI and Morgan Stanley, have lowered their target prices for BellRing Brands significantly, indicating a potential decline in investor confidence.
• The company has announced a $400 million stock repurchase program, suggesting that its board may believe the stock is undervalued.

BellRing Brands Inc. (NYSE:BRBR - Free Report) - Investment analysts at William Blair cut their FY2026 earnings per share estimates for BellRing Brands in a research note issued on Monday, October 6th. William Blair analyst J. Andersen now anticipates that the company will post earnings per share of $2.24 for the year, down from their previous estimate of $2.36. The consensus estimate for BellRing Brands' current full-year earnings is $2.23 per share.

BRBR has been the subject of a number of other research reports. Evercore ISI lowered their target price on shares of BellRing Brands from $82.00 to $64.00 and set an "outperform" rating on the stock in a research note on Wednesday, August 6th. Morgan Stanley lowered their price target on BellRing Brands from $78.00 to $58.00 and set an "overweight" rating on the stock in a research report on Wednesday, August 6th. Weiss Ratings reissued a "hold (c)" rating on shares of BellRing Brands in a report on Saturday, September 27th. Barclays decreased their target price on BellRing Brands from $75.00 to $50.00 and set an "overweight" rating on the stock in a research report on Thursday, August 7th. Finally, JPMorgan Chase & Co. assumed coverage on shares of BellRing Brands in a research note on Wednesday, August 20th. They issued an "overweight" rating and a $52.00 price target on the stock. Thirteen investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, BellRing Brands currently has a consensus rating of "Moderate Buy" and an average price target of $64.80.

BellRing Brands Stock Performance

Shares of NYSE BRBR opened at $33.86 on Tuesday. The company has a market capitalization of $4.27 billion, a PE ratio of 19.35, a price-to-earnings-growth ratio of 1.62 and a beta of 0.75. The company's fifty day moving average price is $39.84 and its 200 day moving average price is $56.31. BellRing Brands has a 1 year low of $33.72 and a 1 year high of $80.67.

BellRing Brands (NYSE:BRBR - Get Free Report) last issued its quarterly earnings data on Monday, August 4th. The company reported $0.55 EPS for the quarter, topping analysts' consensus estimates of $0.49 by $0.06. The business had revenue of $547.50 million for the quarter, compared to analysts' expectations of $530.76 million. BellRing Brands had a net margin of 10.26% and a negative return on equity of 123.43%. During the same quarter last year, the company earned $0.54 EPS. The business's revenue was up 6.2% on a year-over-year basis. BellRing Brands has set its FY 2025 guidance at EPS.

Institutional Investors Weigh In On BellRing Brands

Several hedge funds and other institutional investors have recently added to or reduced their stakes in BRBR. TCTC Holdings LLC lifted its stake in shares of BellRing Brands by 87.6% in the 1st quarter. TCTC Holdings LLC now owns 407 shares of the company's stock valued at $30,000 after purchasing an additional 190 shares during the last quarter. Maseco LLP acquired a new position in BellRing Brands in the second quarter valued at about $25,000. First Horizon Advisors Inc. lifted its position in BellRing Brands by 283.3% in the first quarter. First Horizon Advisors Inc. now owns 460 shares of the company's stock valued at $34,000 after buying an additional 340 shares during the last quarter. Smartleaf Asset Management LLC boosted its stake in BellRing Brands by 149.8% during the first quarter. Smartleaf Asset Management LLC now owns 517 shares of the company's stock worth $38,000 after buying an additional 310 shares during the period. Finally, Larson Financial Group LLC increased its position in shares of BellRing Brands by 2,660.0% during the first quarter. Larson Financial Group LLC now owns 690 shares of the company's stock valued at $51,000 after acquiring an additional 665 shares during the last quarter. Institutional investors and hedge funds own 94.97% of the company's stock.

Insider Transactions at BellRing Brands

In other BellRing Brands news, Director Shawn Conway purchased 1,316 shares of the firm's stock in a transaction dated Thursday, August 14th. The shares were purchased at an average cost of $49,999.99 per share, with a total value of $65,799,986.84. Following the completion of the purchase, the director owned 8,001 shares in the company, valued at approximately $400,049,919.99. This represents a 19.69% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through this link. Also, CEO Darcy Horn Davenport sold 1,600 shares of the company's stock in a transaction dated Friday, August 1st. The shares were sold at an average price of $54.18, for a total transaction of $86,688.00. Following the sale, the chief executive officer directly owned 193,978 shares of the company's stock, valued at approximately $10,509,728.04. This represents a 0.82% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders acquired 6,616 shares of company stock valued at $65,995,248 and sold 6,400 shares valued at $358,352. Insiders own 1.07% of the company's stock.

BellRing Brands declared that its Board of Directors has approved a stock repurchase program on Tuesday, September 2nd that authorizes the company to repurchase $400.00 million in outstanding shares. This repurchase authorization authorizes the company to repurchase up to 7.7% of its stock through open market purchases. Stock repurchase programs are often an indication that the company's board believes its stock is undervalued.

BellRing Brands Company Profile

BellRing Brands, Inc, together with its subsidiaries, provides various nutrition products in the United States. The company offers ready-to-drink (RTD) protein shakes, other RTD beverages, powders, nutrition bars, and other products primarily under the Premier Protein and Dymatize brands. It distributes its products through club, food, drug, mass, eCommerce, specialty, and convenience channels.

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