Cricut (NASDAQ:CRCT) Shares Gap Up After Strong Earnings

Cricut, Inc. (NASDAQ:CRCT) shares gapped up before the market opened on Wednesday following a stronger than expected earnings report. The stock had previously closed at $5.07, but opened at $5.39. Cricut shares last traded at $6.08, with a volume of 900,777 shares changing hands.

The company reported $0.11 earnings per share for the quarter, beating the consensus estimate of $0.08 by $0.03. The company had revenue of $162.63 million during the quarter, compared to the consensus estimate of $158.55 million. Cricut had a net margin of 8.47% and a return on equity of 12.36%.

Cricut Cuts Dividend

The firm also recently announced a semi-annual dividend, which will be paid on Monday, July 21st. Investors of record on Monday, July 7th will be given a dividend of $0.10 per share. This represents a yield of 3.3%. The ex-dividend date is Monday, July 7th. Cricut’s dividend payout ratio is currently 68.97%.

Analysts Set New Price Targets

A number of equities research analysts have recently weighed in on CRCT shares. Citigroup restated a “sell” rating and set a $4.00 price target (down previously from $6.00) on shares of Cricut in a research note on Monday, April 14th. Morgan Stanley dropped their price objective on shares of Cricut from $3.90 to $3.80 and set an “underweight” rating on the stock in a report on Thursday, March 6th.

Insider Transactions at Cricut

In related news, CEO Arora Ashish sold 60,000 shares of the stock in a transaction that occurred on Monday, February 24th. The shares were sold at an average price of $5.59, for a total value of $335,400.00. Following the transaction, the chief executive officer now owns 3,391,635 shares in the company, valued at approximately $18,959,239.65. This represents a 1.74 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders sold a total of 185,009 shares of company stock worth $1,040,894 over the last three months. 18.02% of the stock is currently owned by insiders.

Institutional Trading of Cricut

Several institutional investors and hedge funds have recently bought and sold shares of CRCT. Barclays PLC raised its holdings in shares of Cricut by 366.6% during the third quarter. Barclays PLC now owns 76,440 shares of the company’s stock worth $529,000 after purchasing an additional 60,058 shares during the last quarter. JPMorgan Chase & Co. lifted its holdings in shares of Cricut by 296.2% in the 3rd quarter. JPMorgan Chase & Co. now owns 185,098 shares of the company’s stock valued at $1,283,000 after buying an additional 138,385 shares during the period. Teacher Retirement System of Texas purchased a new stake in shares of Cricut in the fourth quarter worth about $1,029,000. SG Americas Securities LLC boosted its stake in shares of Cricut by 26.3% in the fourth quarter. SG Americas Securities LLC now owns 21,518 shares of the company’s stock worth $123,000 after buying an additional 4,484 shares during the last quarter. Finally, American Century Companies Inc. grew its holdings in Cricut by 25.8% during the fourth quarter. American Century Companies Inc. now owns 1,190,019 shares of the company’s stock worth $6,783,000 after acquiring an additional 244,058 shares during the period. 19.60% of the stock is currently owned by institutional investors and hedge funds.

Cricut Stock Up 5.2 %

The company has a market capitalization of $1.36 billion, a PE ratio of 22.91 and a beta of 0.01. The firm has a 50-day moving average of $5.05 and a two-hundred day moving average of $5.52.

About Cricut

Cricut, Inc engages in the design, marketing, and distribution of a creativity platform that enables users to turn ideas into professional-looking handmade goods. It operates through three segments: Connected Machines, Subscriptions, and Accessories and Materials. The company offers connected machines, design apps, and accessories and materials for users to create personalized birthday cards, mugs, T-shirts, and large-scale interior decorations.