XPEL (NASDAQ:XPEL) Stock Price Expected to Rise, B. Riley Financial Analyst Says

Key Points

• B. Riley Financial raised XPEL’s price target to $65 from $55 and maintained a “buy” rating, implying approximately 35.5% upside from the reported $47.99 share price.
• XPEL reported stronger-than-expected second-quarter results, with revenue up 14.7% year over year to $143.05 million and EPS of $0.68 versus the $0.60 consensus estimate.
• Analyst sentiment remains mixed, with one “buy” rating and three “hold” ratings, while the stock fell 4.6% in Thursday trading; third-quarter revenue guidance of $137 million-$139 million was slightly below consensus.

XPEL (NASDAQ:XPEL - Get Free Report) had its price objective lifted by analysts at B. Riley Financial from $55.00 to $65.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The brokerage currently has a "buy" rating on the stock. B. Riley Financial's price objective would suggest a potential upside of 35.46% from the company's current price.

A number of other brokerages have also commented on XPEL. Freedom Capital lowered XPEL from a "strong-buy" rating to a "hold" rating in a research note on Thursday, May 7th. Weiss Ratings reiterated a "hold (c)" rating on shares of XPEL in a research report on Wednesday, June 24th. Finally, Zacks Research upgraded shares of XPEL from a "strong sell" rating to a "hold" rating in a research report on Monday, April 27th. One research analyst has rated the stock with a Buy rating and three have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $65.00.

XPEL Trading Down 4.6%

NASDAQ:XPEL traded down $2.30 on Thursday, hitting $47.99. The company had a trading volume of 51,844 shares, compared to its average volume of 253,670. XPEL has a 52 week low of $31.50 and a 52 week high of $55.91. The stock has a market capitalization of $1.32 billion, a price-to-earnings ratio of 25.12 and a beta of 1.09. The firm has a 50 day moving average of $45.66 and a two-hundred day moving average of $46.01.

XPEL (NASDAQ:XPEL - Get Free Report) last announced its quarterly earnings results on Wednesday, August 5th. The company reported $0.68 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.60 by $0.08. XPEL had a net margin of 10.82% and a return on equity of 19.14%. The company had revenue of $143.05 million during the quarter, compared to the consensus estimate of $135.09 million. During the same period in the prior year, the business earned $0.59 earnings per share. The company's revenue for the quarter was up 14.7% compared to the same quarter last year. As a group, equities analysts forecast that XPEL will post 1.92 EPS for the current year.

Institutional Investors Weigh In On XPEL

Large investors have recently added to or reduced their stakes in the business. Tudor Investment Corp ET AL increased its stake in shares of XPEL by 94.2% in the 3rd quarter. Tudor Investment Corp ET AL now owns 93,804 shares of the company's stock valued at $3,102,000 after acquiring an additional 45,501 shares in the last quarter. Polar Asset Management Partners Inc. acquired a new stake in XPEL in the first quarter worth $5,400,000. Arrowstreet Capital Limited Partnership grew its holdings in XPEL by 103.5% in the first quarter. Arrowstreet Capital Limited Partnership now owns 122,584 shares of the company's stock worth $5,426,000 after purchasing an additional 62,344 shares during the period. Louisiana State Employees Retirement System bought a new stake in XPEL in the first quarter valued at $496,000. Finally, Pacific Excel Wealth Advisors Inc. acquired a new position in shares of XPEL during the second quarter valued at about $4,057,000. Institutional investors and hedge funds own 75.08% of the company's stock.

Key Headlines Impacting XPEL

Here are the key news stories impacting XPEL this week:

• Positive Sentiment: XPEL reported record second-quarter revenue of $143.1 million, up 14.7% year over year and above the approximately $135 million analyst estimate. Revenue growth reflects continued demand for the company’s protective films and coatings. XPEL Reports Record Revenue of $143.1 million
• Positive Sentiment: Second-quarter earnings were $0.68 per share, beating consensus estimates of $0.60-$0.61 and rising from $0.59 a year earlier. Gross margin also improved to 44.1% from 42.9%, indicating favorable operating execution. XPEL Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: Management is targeting a mid-20% operating-margin run rate by the end of 2028. If achieved, the goal could provide meaningful longer-term earnings and cash-flow upside through scale and margin expansion. XPEL Targets Mid-20% Operating Margin
• Negative Sentiment: Third-quarter revenue guidance of $137 million to $139 million is marginally below the $139.1 million consensus estimate. The modest shortfall may limit near-term upside despite the strong second-quarter beat. XPEL Q3 Revenue Guidance

XPEL Company Profile

XPEL, Inc is a leading manufacturer and distributor of advanced protective films and coatings for automotive, marine, aviation, and architectural applications. The company's core products include paint protection film (PPF), window tinting film, and ceramic coatings designed to shield surfaces from scratches, environmental contaminants, and UV damage. XPEL's flagship PPF, known for its self-healing properties, is engineered to maintain a vehicle's factory finish by resisting swirl marks, stone chips, and acid rain.

Beyond automotive protection, XPEL has expanded its offerings to include protective films for electronics and architectural surfaces, providing solutions that enhance durability and prolong the life of high-value assets.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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