The stock price of Driven Brands Holdings Inc (NASDAQ: DRVN) has plunged by -4.17 when compared to previous closing price of 12.00, but the company has seen a -19.75% decline in its stock price over the last five trading sessions. MarketBeat reported 2024-05-07 that The latest ISM manufacturing PMI index suggests that the turning point for the automotive stock sector is imminent. According to the report, a member of the primary metals industry was quoted as saying that “automotive builds continue at averages but not near maximum outputs.
Is It Worth Investing in Driven Brands Holdings Inc (NASDAQ: DRVN) Right Now?
The 36-month beta value for DRVN is also noteworthy at 1.16. There are mixed opinions on the stock, with 0 analysts rating it as a “buy,” 0 rating it as “overweight,” 0 rating it as “hold,” and 0 rating it as “sell.”
The public float for DRVN is 57.93M, and at present, short sellers hold a 8.46% of that float. The average trading volume of DRVN on May 08, 2024 was 1.29M shares.
DRVN’s Market Performance
The stock of Driven Brands Holdings Inc (DRVN) has seen a -19.75% decrease in the past week, with a -23.08% drop in the past month, and a -12.08% fall in the past quarter. The volatility ratio for the week is 11.68%, and the volatility levels for the past 30 days are at 5.49% for DRVN. The simple moving average for the past 20 days is -18.90% for DRVN’s stock, with a -18.09% simple moving average for the past 200 days.
Analysts’ Opinion of DRVN
Many brokerage firms have already submitted their reports for DRVN stocks, with JP Morgan repeating the rating for DRVN by listing it as a “Neutral.” The predicted price for DRVN in the upcoming period, according to JP Morgan is $12.50 based on the research report published on May 03, 2024 of the current year 2024.
JP Morgan, on the other hand, stated in their research note that they expect to see DRVN reach a price target of $18, previously predicting the price at $19. The rating they have provided for DRVN stocks is “Overweight” according to the report published on February 20th, 2024.
Morgan Stanley gave a rating of “Equal-Weight” to DRVN, setting the target price at $14 in the report published on January 16th of the current year.
DRVN Trading at -20.58% from the 50-Day Moving Average
After a stumble in the market that brought DRVN to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -60.12% of loss for the given period.
Volatility was left at 5.49%, however, over the last 30 days, the volatility rate increased by 11.68%, as shares sank -24.54% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -12.55% lower at present.
During the last 5 trading sessions, DRVN fell by -19.75%, which changed the moving average for the period of 200-days by -56.80% in comparison to the 20-day moving average, which settled at $13.99. In addition, Driven Brands Holdings Inc saw -19.35% 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 DRVN starting from Fitzpatrick Jonathan G., who purchase 42,000 shares at the price of $23.76 back on May 30 ’23. After this action, Fitzpatrick Jonathan G. now owns 2,332,363 shares of Driven Brands Holdings Inc, valued at $997,920 using the latest closing price.
Ferrera Gary W, the EVP & Chief Financial Officer of Driven Brands Holdings Inc, purchase 4,000 shares at $24.23 during a trade that took place back on May 25 ’23, which means that Ferrera Gary W is holding 63,101 shares at $96,920 based on the most recent closing price.
Stock Fundamentals for DRVN
Current profitability levels for the company are sitting at:
- -0.3 for the present operating margin
- 0.43 for the gross margin
The net margin for Driven Brands Holdings Inc stands at -0.33. The total capital return value is set at -0.13. Equity return is now at value -57.92, with -11.98 for asset returns.
Based on Driven Brands Holdings Inc (DRVN), the company’s capital structure generated 0.76 points at debt to capital in total, while cash flow to debt ratio is standing at 0.09. The debt to equity ratio resting at 3.24. The interest coverage ratio of the stock is -5.42.
Currently, EBITDA for the company is 493.56 million with net debt to EBITDA at 8.63. When we switch over and look at the enterprise to sales, we see a ratio of 2.58. The receivables turnover for the company is 13.35for trailing twelve months and the total asset turnover is 0.39. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.86.
Conclusion
In summary, Driven Brands Holdings Inc (DRVN) has had a bad performance as of late. Analysts have mixed opinions on the stock, with some viewing 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.
