Frontdoor Inc (FTDR) Shares Rise Despite Market Challenges

Frontdoor Inc (NASDAQ: FTDR)’s stock price has plunge by 1.25relation to previous closing price of 55.41. Nevertheless, the company has seen a -4.80% plunge in its stock price over the last five trading sessions. zacks.com reported 2024-12-20 that FTDR strengthens its portfolio with the acquisition of 2-10 HBW and secures a $1.47 billion credit facility to support growth and strategic initiatives.

Is It Worth Investing in Frontdoor Inc (NASDAQ: FTDR) Right Now?

Frontdoor Inc (NASDAQ: FTDR) has a price-to-earnings ratio of 18.65x that is above its average ratio. Additionally, the 36-month beta value for FTDR is 1.08. There are mixed opinions on the stock, with 3 analysts rating it as a “buy,” 1 rating it as “overweight,” 1 rating it as “hold,” and 0 rating it as “sell.”

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The public float for FTDR is 75.49M and currently, short sellers hold a 3.35% ratio of that float. The average trading volume of FTDR on December 20, 2024 was 587.95K shares.

FTDR’s Market Performance

FTDR’s stock has seen a -4.80% decrease for the week, with a -0.39% drop in the past month and a 18.65% gain in the past quarter. The volatility ratio for the week is 3.01%, and the volatility levels for the past 30 days are at 2.97% for Frontdoor Inc The simple moving average for the past 20 days is -3.39% for FTDR’s stock, with a 31.86% simple moving average for the past 200 days.

Analysts’ Opinion of FTDR

Truist, on the other hand, stated in their research note that they expect to see FTDR reach a price target of $42, previously predicting the price at $40. The rating they have provided for FTDR stocks is “Buy” according to the report published on October 06th, 2023.

JP Morgan gave a rating of “Overweight” to FTDR, setting the target price at $38 in the report published on May 04th of the previous year.

FTDR Trading at 1.81% from the 50-Day Moving Average

After a stumble in the market that brought FTDR to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -7.15% of loss for the given period.

Volatility was left at 2.97%, however, over the last 30 days, the volatility rate increased by 3.01%, as shares sank -2.82% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +14.46% upper at present.

During the last 5 trading sessions, FTDR fell by -5.28%, which changed the moving average for the period of 200-days by +77.71% in comparison to the 20-day moving average, which settled at $58.05. In addition, Frontdoor Inc saw 59.28% 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 FTDR starting from Collins Kathryn M, who sale 25,784 shares at the price of $58.06 back on Dec 10 ’24. After this action, Collins Kathryn M now owns 9,429 shares of Frontdoor Inc, valued at $1,496,916 using the latest closing price.

Iverson Evan, the SVP & Chief Operating Officer of Frontdoor Inc, sale 16,000 shares at $58.84 during a trade that took place back on Dec 11 ’24, which means that Iverson Evan is holding 4,955 shares at $941,494 based on the most recent closing price.

Stock Fundamentals for FTDR

Current profitability levels for the company are sitting at:

  • 0.19 for the present operating margin
  • 0.53 for the gross margin

The net margin for Frontdoor Inc stands at 0.13. The total capital return value is set at 0.39. Equity return is now at value 108.33, with 19.62 for asset returns.

Based on Frontdoor Inc (FTDR), the company’s capital structure generated 0.69 points at debt to capital in total, while cash flow to debt ratio is standing at 0.47. The debt to equity ratio resting at 2.23. The interest coverage ratio of the stock is 8.65.

Currently, EBITDA for the company is 306.0 million with net debt to EBITDA at 0.58. When we switch over and look at the enterprise to sales, we see a ratio of 2.46. The receivables turnover for the company is 22.53for trailing twelve months and the total asset turnover is 1.5. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.42.

Conclusion

In conclusion, Frontdoor Inc (FTDR) has seen mixed performance in recent times. Analysts have a bullish opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.

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