Compass Diversified (NYSE:CODI) Trading 17.1% Higher – Time to Buy?

Compass Diversified Holdings (NYSE:CODI) shot up 17.1% during mid-day trading on Monday . The stock traded as high as $7.96 and last traded at $7.8230. 737,005 shares traded hands during mid-day trading, a decline of 44% from the average session volume of 1,309,310 shares. The stock had previously closed at $6.68.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on CODI. Wall Street Zen upgraded shares of Compass Diversified from a “sell” rating to a “hold” rating in a research report on Saturday, March 7th. B. Riley Financial dropped their target price on Compass Diversified from $13.00 to $8.00 and set a “neutral” rating on the stock in a report on Tuesday, March 3rd. Raymond James Financial assumed coverage on shares of Compass Diversified in a research report on Wednesday, March 11th. They issued a “hold” rating for the company. Zacks Research upgraded shares of Compass Diversified from a “strong sell” rating to a “hold” rating in a research report on Monday, March 16th. Finally, Compass Point set a $15.00 price objective on Compass Diversified in a report on Tuesday, January 27th. One analyst has rated the stock with a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company has an average rating of “Hold” and an average target price of $11.50.

Compass Diversified Price Performance

The company has a quick ratio of 1.26, a current ratio of 2.42 and a debt-to-equity ratio of 19.20. The stock has a market capitalization of $583.46 million, a price-to-earnings ratio of -1.98 and a beta of 1.04. The company has a 50 day moving average of $6.57 and a 200 day moving average of $6.37.

Compass Diversified (NYSE:CODI) last released its earnings results on Wednesday, January 14th. The financial services provider reported ($0.98) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.61 by ($1.59). Compass Diversified had a negative net margin of 12.09% and a positive return on equity of 24.48%. As a group, equities research analysts forecast that Compass Diversified Holdings will post 1.96 EPS for the current fiscal year.

Hedge Funds Weigh In On Compass Diversified

Several hedge funds and other institutional investors have recently made changes to their positions in CODI. AQR Capital Management LLC purchased a new stake in shares of Compass Diversified during the 1st quarter valued at about $294,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in Compass Diversified by 4.6% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 39,635 shares of the financial services provider’s stock valued at $740,000 after buying an additional 1,728 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in shares of Compass Diversified by 6.9% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 154,458 shares of the financial services provider’s stock valued at $2,884,000 after acquiring an additional 10,006 shares in the last quarter. Jane Street Group LLC lifted its stake in shares of Compass Diversified by 345.5% in the first quarter. Jane Street Group LLC now owns 193,907 shares of the financial services provider’s stock worth $3,620,000 after acquiring an additional 150,386 shares in the last quarter. Finally, Geode Capital Management LLC grew its stake in Compass Diversified by 5.5% during the 2nd quarter. Geode Capital Management LLC now owns 862,549 shares of the financial services provider’s stock valued at $5,416,000 after purchasing an additional 44,938 shares in the last quarter. Institutional investors and hedge funds own 72.73% of the company’s stock.

Compass Diversified Company Profile

Compass Diversified Holdings (NYSE:CODI) is a publicly traded private equity company headquartered in Bethesda, Maryland. The firm specializes in acquiring and managing middle-market businesses across a variety of industries, with a focus on driving operational performance and sustainable growth. As an externally managed entity, Compass Diversified leverages a disciplined investment approach to build a portfolio of market-leading companies that benefit from strategic oversight, capital support and shared best practices.

Compass Diversified’s investment activities span five core sectors: branded consumer, consumer services, differentiated industrial products, value-added distribution and business services.