Primo Brands (NYSE:PRMB) Releases Earnings Results

Primo Brands (NYSE:PRMB) announced its quarterly earnings data on Thursday. The company reported $0.26 EPS for the quarter, topping the consensus estimate of $0.20 by $0.06, FiscalAI reports. Primo Brands had a negative net margin of 1.30% and a positive return on equity of 12.52%. The company had revenue of $1.55 billion during the quarter, compared to the consensus estimate of $1.52 billion. During the same quarter last year, the firm posted $0.13 EPS. The company’s quarterly revenue was up 11.2% on a year-over-year basis.

Primo Brands Trading Up 14.4%

Shares of NYSE PRMB traded up $2.83 during midday trading on Thursday, reaching $22.46. 9,736,403 shares of the stock were exchanged, compared to its average volume of 6,306,607. Primo Brands has a twelve month low of $14.36 and a twelve month high of $35.85. The stock has a market capitalization of $8.31 billion, a P/E ratio of -72.40, a PEG ratio of 0.70 and a beta of 0.63. The company has a 50 day simple moving average of $18.12 and a 200 day simple moving average of $19.88. The company has a debt-to-equity ratio of 1.59, a quick ratio of 0.86 and a current ratio of 1.02.

Primo Brands Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, March 23rd. Stockholders of record on Friday, March 6th will be given a $0.12 dividend. This represents a $0.48 dividend on an annualized basis and a dividend yield of 2.1%. This is a boost from Primo Brands’s previous quarterly dividend of $0.10. The ex-dividend date is Friday, March 6th. Primo Brands’s dividend payout ratio (DPR) is currently -129.03%.

Hedge Funds Weigh In On Primo Brands

Several institutional investors have recently bought and sold shares of the company. Caption Management LLC acquired a new stake in Primo Brands in the 3rd quarter valued at about $27,000. EverSource Wealth Advisors LLC grew its holdings in Primo Brands by 102.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 2,091 shares of the company’s stock worth $62,000 after acquiring an additional 1,058 shares in the last quarter. Picton Mahoney Asset Management grew its holdings in Primo Brands by 65.2% during the 4th quarter. Picton Mahoney Asset Management now owns 2,153 shares of the company’s stock worth $35,000 after acquiring an additional 850 shares in the last quarter. Caitong International Asset Management Co. Ltd increased its position in shares of Primo Brands by 21,481.8% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 2,374 shares of the company’s stock valued at $39,000 after purchasing an additional 2,363 shares during the last quarter. Finally, Quarry LP lifted its position in shares of Primo Brands by 516.6% during the 4th quarter. Quarry LP now owns 2,380 shares of the company’s stock worth $39,000 after purchasing an additional 1,994 shares during the last quarter. 87.71% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several equities research analysts have issued reports on PRMB shares. JPMorgan Chase & Co. dropped their target price on Primo Brands from $23.00 to $21.00 and set an “overweight” rating on the stock in a research report on Thursday, December 18th. The Goldman Sachs Group cut their target price on Primo Brands from $21.00 to $18.00 and set a “neutral” rating for the company in a research note on Tuesday, November 25th. Royal Bank Of Canada reissued an “outperform” rating and issued a $26.00 price target on shares of Primo Brands in a report on Tuesday. Morgan Stanley reaffirmed an “overweight” rating on shares of Primo Brands in a research note on Monday, January 5th. Finally, BMO Capital Markets reiterated an “outperform” rating and issued a $35.00 target price on shares of Primo Brands in a research note on Friday, January 23rd. Nine research analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, Primo Brands presently has an average rating of “Moderate Buy” and a consensus target price of $26.50.

Primo Brands announced that its board has initiated a stock buyback program on Monday, November 10th that permits the company to buyback $50.00 million in shares. This buyback authorization permits the company to purchase up to 0.9% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s management believes its shares are undervalued.

Primo Brands Company Profile

Primo Brands (NYSE: PRMB) is a consumer packaged beverage company that was established as an independent entity following a corporate spin‐off in 2023. The company specializes in the production, marketing and distribution of a broad portfolio of bottled water products, including purified, mineral and sparkling varieties. Through its focus on quality control and innovation, Primo Brands aims to deliver clean, great-tasting water in formats tailored to both at-home consumption and on-the-go lifestyles.

Its product range spans multi-serve and single-serve bottles, aluminum cans and other eco-friendly packaging solutions.