Honest (NASDAQ:HNST) Trading Down 5.7% – Here’s Why

The Honest Company, Inc. (NASDAQ:HNST)’s stock price dropped 5.7% during mid-day trading on Tuesday . The company traded as low as $6.26 and last traded at $6.21. Approximately 535,942 shares traded hands during mid-day trading, a decline of 75% from the average daily volume of 2,140,947 shares. The stock had previously closed at $6.58.

Wall Street Analyst Weigh In

Several equities analysts have issued reports on HNST shares. Loop Capital lowered Honest from a “buy” rating to a “hold” rating and set a $7.00 price target on the stock. in a research note on Tuesday, December 17th. Alliance Global Partners boosted their target price on shares of Honest from $5.75 to $8.00 and gave the company a “buy” rating in a research report on Wednesday, November 13th. Northland Securities raised their price target on shares of Honest from $7.50 to $9.50 and gave the stock an “outperform” rating in a report on Wednesday, December 4th. Telsey Advisory Group upped their price objective on shares of Honest from $6.00 to $7.00 and gave the company a “market perform” rating in a report on Friday, January 10th. Finally, B. Riley boosted their price objective on Honest from $6.50 to $7.00 and gave the company a “buy” rating in a report on Wednesday, November 13th. Three equities research analysts have rated the stock with a hold rating, four have given a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $6.93.

Honest Stock Down 7.8 %

The stock has a 50-day moving average of $7.08 and a 200 day moving average of $4.95. The company has a market capitalization of $612.32 million, a PE ratio of -151.48 and a beta of 2.45.

Insider Transactions at Honest

In other Honest news, Director Jessica Warren sold 465,000 shares of the stock in a transaction on Tuesday, December 10th. The stock was sold at an average price of $7.55, for a total transaction of $3,510,750.00. Following the completion of the transaction, the director now directly owns 1,170,058 shares of the company’s stock, valued at approximately $8,833,937.90. This represents a 28.44 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, General Counsel Brendan Sheehey sold 92,138 shares of the business’s stock in a transaction dated Wednesday, November 27th. The shares were sold at an average price of $8.13, for a total value of $749,081.94. Following the completion of the sale, the general counsel now owns 516,816 shares in the company, valued at $4,201,714.08. This represents a 15.13 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 799,818 shares of company stock worth $5,975,421 in the last ninety days. Company insiders own 8.60% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in HNST. Zacks Investment Management purchased a new position in shares of Honest during the 3rd quarter valued at $37,000. Creative Planning bought a new position in Honest in the 3rd quarter worth about $39,000. Wealth Enhancement Advisory Services LLC purchased a new stake in shares of Honest in the 3rd quarter valued at about $40,000. Castleview Partners LLC bought a new stake in shares of Honest during the 3rd quarter valued at about $71,000. Finally, US Bancorp DE purchased a new stake in Honest in the third quarter valued at approximately $78,000. Hedge funds and other institutional investors own 45.54% of the company’s stock.

Honest Company Profile

The Honest Company, Inc manufactures and sells diapers and wipes, skin and personal care, and household and wellness products. The company also offers baby clothing and nursery bedding products. It sells its products through digital and retail sales channels, such as its website and third-party ecommerce sites, as well as brick and mortar retailers.