The stock price of Petco Health and Wellness Co Inc (NASDAQ: WOOF) has plunged by -6.02 when compared to previous closing price of 1.66, but the company has seen a -5.45% decline in its stock price over the last five trading sessions. InvestorPlace reported 2024-04-11 that Generally speaking, undervalued stocks under $5 should be avoided. Yeah, I know that’s not exactly the catchiest tagline to offer.
Is It Worth Investing in Petco Health and Wellness Co Inc (NASDAQ: WOOF) Right Now?
The stock has a 36-month beta value of 1.25. Opinions on the stock are mixed, with 0 analysts rating it as a “buy,” 0 as “overweight,” 0 as “hold,” and 0 as “sell.”
The public float for WOOF is 135.96M, and at present, short sellers hold a 18.58% of that float. On April 23, 2024, the average trading volume of WOOF was 3.72M shares.
WOOF’s Market Performance
WOOF stock saw a decrease of -5.45% in the past week, with a monthly decline of -21.21% and a quarterly a decrease of -42.44%. The volatility ratio for the week is 5.83%, and the volatility levels for the last 30 days are 7.28% for Petco Health and Wellness Co Inc (WOOF). The simple moving average for the last 20 days is -17.15% for WOOF stock, with a simple moving average of -60.80% for the last 200 days.
Analysts’ Opinion of WOOF
Many brokerage firms have already submitted their reports for WOOF stocks, with BofA Securities repeating the rating for WOOF by listing it as a “Underperform.” The predicted price for WOOF in the upcoming period, according to BofA Securities is $1.50 based on the research report published on April 02, 2024 of the current year 2024.
Jefferies, on the other hand, stated in their research note that they expect to see WOOF reach a price target of $3.11. The rating they have provided for WOOF stocks is “Hold” according to the report published on December 19th, 2023.
Robert W. Baird gave a rating of “Neutral” to WOOF, setting the target price at $3 in the report published on November 30th of the previous year.
WOOF Trading at -30.50% from the 50-Day Moving Average
After a stumble in the market that brought WOOF to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -85.50% of loss for the given period.
Volatility was left at 7.28%, however, over the last 30 days, the volatility rate increased by 5.83%, as shares sank -21.61% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -38.82% lower at present.
During the last 5 trading sessions, WOOF fell by -5.45%, which changed the moving average for the period of 200-days by -82.19% in comparison to the 20-day moving average, which settled at $1.8615. In addition, Petco Health and Wellness Co Inc saw -50.63% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at WOOF starting from BRIGGS GARY S, who purchase 30,000 shares at the price of $3.33 back on Dec 01 ’23. After this action, BRIGGS GARY S now owns 70,085 shares of Petco Health and Wellness Co Inc, valued at $99,924 using the latest closing price.
Stock Fundamentals for WOOF
Current profitability levels for the company are sitting at:
- -0.18 for the present operating margin
- 0.38 for the gross margin
The net margin for Petco Health and Wellness Co Inc stands at -0.21. The total capital return value is set at -0.24. Equity return is now at value -71.80, with -19.77 for asset returns.
Based on Petco Health and Wellness Co Inc (WOOF), the company’s capital structure generated 0.62 points at debt to capital in total, while cash flow to debt ratio is standing at 0.11. The debt to equity ratio resting at 1.61. The interest coverage ratio of the stock is -7.66.
Currently, EBITDA for the company is 280.88 million with net debt to EBITDA at 10.53. When we switch over and look at the enterprise to sales, we see a ratio of 0.53. The receivables turnover for the company is 122.97for trailing twelve months and the total asset turnover is 1.07. The liquidity ratio also appears to be rather interesting for investors as it stands at 0.86.
Conclusion
To sum up, Petco Health and Wellness Co Inc (WOOF) has seen a bad performance recently. Analysts have differing views on the stock, with some seeing it as a “buy” and others as 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.
