PriceSmart (NASDAQ:PSMT) Sets New 1-Year High – Time to Buy?

PriceSmart, Inc. (NASDAQ:PSMT) hit a new 52-week high during mid-day trading on Tuesday . The company traded as high as $166.61 and last traded at $165.90, with a volume of 11452 shares changing hands. The stock had previously closed at $164.65.

Analyst Ratings Changes

Separately, Weiss Ratings raised PriceSmart from a “buy (b)” rating to a “buy (b+)” rating in a report on Wednesday, May 6th. One equities research analyst has rated the stock with a Buy rating, Based on data from MarketBeat, PriceSmart has a consensus rating of “Buy”.

PriceSmart Price Performance

The stock has a fifty day moving average of $156.01 and a 200-day moving average of $143.00. The company has a quick ratio of 0.52, a current ratio of 1.29 and a debt-to-equity ratio of 0.10. The firm has a market capitalization of $5.30 billion, a P/E ratio of 33.83 and a beta of 0.77.

PriceSmart (NASDAQ:PSMT) last released its quarterly earnings results on Wednesday, April 8th. The company reported $1.62 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.57 by $0.05. PriceSmart had a return on equity of 12.23% and a net margin of 2.82%.The business had revenue of $1.50 billion during the quarter, compared to analysts’ expectations of $1.48 billion. During the same period in the previous year, the business posted $1.45 earnings per share. The firm’s revenue for the quarter was up 9.7% compared to the same quarter last year.

Insider Activity at PriceSmart

In related news, EVP Francisco Velasco sold 338 shares of PriceSmart stock in a transaction dated Friday, May 15th. The stock was sold at an average price of $158.56, for a total value of $53,593.28. Following the completion of the transaction, the executive vice president directly owned 75,659 shares of the company’s stock, valued at $11,996,491.04. The trade was a 0.44% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Gordon H. Hanson sold 635 shares of PriceSmart stock in a transaction dated Thursday, April 30th. The shares were sold at an average price of $157.60, for a total value of $100,076.00. Following the completion of the transaction, the director directly owned 8,149 shares of the company’s stock, valued at $1,284,282.40. This represents a 7.23% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 3,232 shares of company stock valued at $504,198 over the last ninety days. 17.00% of the stock is owned by insiders.

Institutional Trading of PriceSmart

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in PSMT. Progeny 3 Inc. acquired a new stake in PriceSmart in the third quarter worth about $27,825,000. Invesco Ltd. increased its position in PriceSmart by 54.7% in the second quarter. Invesco Ltd. now owns 551,566 shares of the company’s stock worth $57,936,000 after purchasing an additional 194,980 shares during the period. Fisher Asset Management LLC increased its position in PriceSmart by 821.3% in the fourth quarter. Fisher Asset Management LLC now owns 217,000 shares of the company’s stock worth $26,619,000 after purchasing an additional 193,446 shares during the period. Victory Capital Management Inc. increased its position in PriceSmart by 37.0% in the third quarter. Victory Capital Management Inc. now owns 651,499 shares of the company’s stock worth $78,955,000 after purchasing an additional 175,806 shares during the period. Finally, Millennium Management LLC increased its position in PriceSmart by 5,150.6% in the third quarter. Millennium Management LLC now owns 114,936 shares of the company’s stock worth $13,929,000 after purchasing an additional 112,747 shares during the period. 80.46% of the stock is currently owned by institutional investors and hedge funds.

About PriceSmart

PriceSmart, Inc (NASDAQ: PSMT) is a U.S.-based retailer specializing in membership warehouse clubs. Founded in 1993, the company operates under a business model that offers bulk quantities of goods at discounted prices to individuals and businesses that purchase annual memberships. PriceSmart’s value proposition centers on low-cost operations, high-volume purchasing, and a no-frills shopping environment designed to pass savings directly to its members.

The company’s product assortment covers a broad range of merchandise categories, including groceries and fresh produce, household essentials, electronics, appliances, office supplies, furniture, and health and beauty items.