Avon Products, Inc. (NYSE:AVP) Sees Significant Increase in Short Interest

Avon Products, Inc. (NYSE:AVP) was the recipient of a significant growth in short interest during the month of August. As of August 31st, there was short interest totalling 15,831,000 shares, a growth of 22.6% from the July 31st total of 12,908,300 shares. Based on an average daily trading volume, of 9,410,000 shares, the days-to-cover ratio is presently 1.7 days. Currently, 3.6% of the shares of the stock are sold short.

Several analysts have weighed in on the stock. DA Davidson cut shares of Avon Products from a “buy” rating to a “neutral” rating and decreased their price objective for the stock from $4.75 to $3.60 in a research note on Thursday, May 23rd. ValuEngine raised shares of Avon Products from a “hold” rating to a “buy” rating in a research note on Thursday. Citigroup cut shares of Avon Products from a “buy” rating to a “neutral” rating and set a $4.01 price objective on the stock. in a research note on Friday, June 21st. Finally, Barclays reaffirmed a “hold” rating and set a $4.00 price objective on shares of Avon Products in a research note on Sunday, August 4th. Three investment analysts have rated the stock with a hold rating, one has issued a buy rating and one has issued a strong buy rating to the stock. The stock currently has an average rating of “Buy” and a consensus target price of $3.72.

Shares of AVP traded down $0.02 during mid-day trading on Friday, hitting $4.57. 4,374,001 shares of the company traded hands, compared to its average volume of 6,459,119. Avon Products has a one year low of $1.30 and a one year high of $4.62. The business has a 50-day moving average of $4.19 and a 200 day moving average of $3.55. The stock has a market capitalization of $2.04 billion, a price-to-earnings ratio of 152.17, a PEG ratio of 2.82 and a beta of 1.74.

Avon Products (NYSE:AVP) last released its quarterly earnings results on Thursday, August 1st. The company reported $0.06 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.04 by $0.02. Avon Products had a negative net margin of 0.30% and a negative return on equity of 10.92%. The business had revenue of $1.17 billion for the quarter, compared to analysts’ expectations of $1.24 billion. During the same period in the prior year, the firm earned ($0.03) earnings per share. Avon Products’s revenue was down 13.4% compared to the same quarter last year. As a group, analysts anticipate that Avon Products will post 0.2 EPS for the current year.

In other Avon Products news, VP Laura Barbrook sold 15,261 shares of the company’s stock in a transaction dated Wednesday, August 14th. The shares were sold at an average price of $4.21, for a total transaction of $64,248.81. Following the sale, the vice president now directly owns 15,261 shares of the company’s stock, valued at $64,248.81. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. 1.95% of the stock is currently owned by corporate insiders.

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. First Trust Advisors LP bought a new stake in shares of Avon Products during the second quarter valued at approximately $5,237,000. Creative Planning bought a new stake in shares of Avon Products during the second quarter valued at approximately $202,000. Moors & Cabot Inc. bought a new stake in shares of Avon Products during the first quarter valued at approximately $32,000. Alpine Associates Management Inc. bought a new stake in shares of Avon Products during the second quarter valued at approximately $18,590,000. Finally, Goelzer Investment Management Inc. bought a new stake in shares of Avon Products during the first quarter valued at approximately $38,000. 70.99% of the stock is currently owned by institutional investors and hedge funds.

About Avon Products

Avon Products, Inc manufactures and markets beauty and related products in Europe, the Middle East, Africa, south Latin America, north Latin America, and the Asia Pacific. The company offers beauty products, including skincare, fragrance, and color cosmetics; and fashion and home products, such as fashion jewelry, watches, apparel, footwear, accessories, gift and decorative products, housewares, entertainment and leisure products, children's products, and nutritional products.

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