Compass Diversified (NYSE:CODI) Issues Quarterly Earnings Results

Compass Diversified (NYSE:CODI) posted its earnings results on Wednesday. The financial services provider reported $0.06 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.07 by ($0.01), FiscalAI reports. The company had revenue of $422.93 million during the quarter, compared to analysts’ expectations of $410.52 million. Compass Diversified had a negative net margin of 5.38% and a negative return on equity of 10.36%.

Compass Diversified Stock Performance

Shares of NYSE:CODI traded up $0.30 on Wednesday, hitting $12.32. 981,693 shares of the company were exchanged, compared to its average volume of 970,476. The firm has a market capitalization of $927.18 million, a P/E ratio of -5.68 and a beta of 1.29. The company has a current ratio of 2.26, a quick ratio of 1.10 and a debt-to-equity ratio of 11.90. The stock’s 50 day moving average price is $11.05 and its 200 day moving average price is $9.79. Compass Diversified has a 1-year low of $4.58 and a 1-year high of $13.25.

Insider Buying and Selling at Compass Diversified

In other news, insider Zachary T. Sawtelle bought 7,000 shares of the firm’s stock in a transaction that occurred on Thursday, August 13th. The stock was purchased at an average price of $12.45 per share, with a total value of $87,150.00. Following the completion of the acquisition, the insider directly owned 63,588 shares of the company’s stock, valued at $791,670.60. This trade represents a 12.37% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Larry L. Enterline bought 67,114 shares of the firm’s stock in a transaction that occurred on Thursday, August 13th. The shares were purchased at an average cost of $12.42 per share, with a total value of $833,555.88. Following the acquisition, the insider directly owned 100,000 shares of the company’s stock, valued at approximately $1,242,000. This trade represents a 204.08% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last quarter, insiders have bought 140,995 shares of company stock worth $1,715,498. 1.60% of the stock is owned by corporate insiders.

Analyst Ratings Changes

A number of analysts have recently weighed in on CODI shares. Compass Point set a $17.00 price target on shares of Compass Diversified in a report on Tuesday, October 13th. UBS Group set a $18.00 price objective on shares of Compass Diversified in a research note on Tuesday, August 11th. Wall Street Zen upgraded shares of Compass Diversified from a “sell” rating to a “hold” rating in a research note on Saturday, August 29th. B. Riley Financial raised Compass Diversified from a “neutral” rating to a “buy” rating and upped their price target for the stock from $11.00 to $15.00 in a research report on Tuesday, August 11th. Finally, TD Cowen upped their price target on Compass Diversified from $12.50 to $18.00 and gave the stock a “buy” rating in a research report on Tuesday, August 11th. Four analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $17.00.

About Compass Diversified

Compass Diversified is a holding company that acquires and manages controlling interests in middle-market businesses. Rather than operating as a single-product company, it owns a diversified portfolio of subsidiaries across consumer and industrial markets and provides them with capital, strategic guidance and operational support.

The company’s portfolio has included businesses that develop and sell outdoor and recreational equipment, apparel and accessories, home and wellness products, food and beverage items, and specialty industrial products.