Honest Company Inc (HNST) Shares Decline Despite Market Challenges

The stock of Honest Company Inc (NASDAQ: HNST) has decreased by -2.93 when compared to last closing price of 3.76. Despite this, the company has experienced a -6.89% fall in its stock price over the last five trading sessions. Zacks Investment Research reported 2024-03-27 that Here is how Honest (HNST) and MGM Resorts (MGM) have performed compared to their sector so far this year.

Is It Worth Investing in Honest Company Inc (NASDAQ: HNST) Right Now?

The 36-month beta value for HNST is at 1.83. Analysts have varying views on the stock, with 0 analysts rating it as a “buy,” 0 rating it as “overweight,” 0 as “hold,” and 0 as “sell.”

3 Tiny Stocks Primed to Explode The world's greatest investor — Warren Buffett — has a simple formula for making big money in the markets. He buys up valuable assets when they are very cheap. For stock market investors that means buying up cheap small cap stocks like these with huge upside potential.

We've set up an alert service to help smart investors take full advantage of the small cap stocks primed for big returns.

Click here for full details and to join for free
Sponsored

The public float for HNST is 59.02M, and currently, shorts hold a 2.16% of that float. The average trading volume for HNST on April 03, 2024 was 997.92K shares.

HNST’s Market Performance

HNST’s stock has seen a -6.89% decrease for the week, with a 19.67% rise in the past month and a 14.42% gain in the past quarter. The volatility ratio for the week is 7.24%, and the volatility levels for the past 30 days are at 9.39% for Honest Company Inc The simple moving average for the last 20 days is -10.69% for HNST stock, with a simple moving average of 66.30% for the last 200 days.

Analysts’ Opinion of HNST

Many brokerage firms have already submitted their reports for HNST stocks, with Alliance Global Partners repeating the rating for HNST by listing it as a “Buy.” The predicted price for HNST in the upcoming period, according to Alliance Global Partners is $5.75 based on the research report published on February 06, 2024 of the current year 2024.

Telsey Advisory Group, on the other hand, stated in their research note that they expect to see HNST reach a price target of $2, previously predicting the price at $6. The rating they have provided for HNST stocks is “Market Perform” according to the report published on March 17th, 2023.

Loop Capital gave a rating of “Hold” to HNST, setting the target price at $3 in the report published on June 09th of the previous year.

HNST Trading at 3.73% from the 50-Day Moving Average

After a stumble in the market that brought HNST to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -25.36% of loss for the given period.

Volatility was left at 9.39%, however, over the last 30 days, the volatility rate increased by 7.24%, as shares surge +20.40% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +28.11% upper at present.

During the last 5 trading sessions, HNST fell by -8.16%, which changed the moving average for the period of 200-days by +106.90% in comparison to the 20-day moving average, which settled at $4.12. In addition, Honest Company Inc saw 10.61% in overturn over a single year, with a tendency to cut further gains.

Insider Trading

Reports are indicating that there were more than several insider trading activities at HNST starting from Vernon Carla, who sale 209,160 shares at the price of $4.16 back on Mar 18 ’24. After this action, Vernon Carla now owns 2,924,387 shares of Honest Company Inc, valued at $870,106 using the latest closing price.

Warren Jessica, the Chief Creative Officer of Honest Company Inc, sale 23,324 shares at $3.24 during a trade that took place back on Mar 07 ’24, which means that Warren Jessica is holding 1,905,237 shares at $75,570 based on the most recent closing price.

Stock Fundamentals for HNST

Current profitability levels for the company are sitting at:

  • -0.11 for the present operating margin
  • 0.29 for the gross margin

The net margin for Honest Company Inc stands at -0.11. The total capital return value is set at -0.25. Equity return is now at value -29.12, with -17.75 for asset returns.

Based on Honest Company Inc (HNST), the company’s capital structure generated 0.2 points at debt to capital in total, while cash flow to debt ratio is standing at 0.65. The debt to equity ratio resting at 0.24. The interest coverage ratio of the stock is -136.73.

Currently, EBITDA for the company is -18.59 million with net debt to EBITDA at 0.09. When we switch over and look at the enterprise to sales, we see a ratio of 1.02. The receivables turnover for the company is 7.99for trailing twelve months and the total asset turnover is 1.71. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.78.

Conclusion

In conclusion, Honest Company Inc (HNST) has had a better performance lately. Opinion on the stock among analysts is mixed, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.

Related Posts