PriceSmart (NASDAQ:PSMT) Reaches New 12-Month High – Here’s What Happened

PriceSmart, Inc. (NASDAQ:PSMT)’s share price reached a new 52-week high on Monday . The stock traded as high as $158.01 and last traded at $157.42, with a volume of 183668 shares traded. The stock had previously closed at $154.62.

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on the company. Weiss Ratings lowered PriceSmart from a “buy (a-)” rating to a “buy (b+)” rating in a research note on Monday, January 12th. Wall Street Zen lowered PriceSmart from a “buy” rating to a “hold” rating in a report on Sunday, January 11th. One investment analyst has rated the stock with a Buy rating, Based on data from MarketBeat.com, the stock presently has a consensus rating of “Buy”.

PriceSmart Price Performance

The firm’s fifty day moving average price is $142.56 and its 200-day moving average price is $127.18. The stock has a market cap of $4.72 billion, a P/E ratio of 31.24 and a beta of 0.73. The company has a quick ratio of 0.55, a current ratio of 1.33 and a debt-to-equity ratio of 0.11.

PriceSmart (NASDAQ:PSMT) last posted its earnings results on Wednesday, January 7th. The company reported $1.29 earnings per share for the quarter, topping analysts’ consensus estimates of $1.28 by $0.01. PriceSmart had a net margin of 2.79% and a return on equity of 12.20%. The company had revenue of $1.38 billion during the quarter, compared to analyst estimates of $1.36 billion. During the same period in the prior year, the business posted $1.21 earnings per share. PriceSmart’s revenue for the quarter was up 9.9% on a year-over-year basis. Analysts forecast that PriceSmart, Inc. will post 5.28 earnings per share for the current year.

PriceSmart Dividend Announcement

The firm also recently declared a dividend, which will be paid on Monday, August 31st. Investors of record on Monday, August 17th will be paid a $0.70 dividend. The ex-dividend date of this dividend is Monday, August 17th. This represents a yield of 89.0%. PriceSmart’s dividend payout ratio (DPR) is presently 28.57%.

Insider Activity at PriceSmart

In related news, COO John D. Hildebrandt sold 7,421 shares of the stock in a transaction dated Monday, January 12th. The shares were sold at an average price of $136.88, for a total value of $1,015,786.48. Following the completion of the transaction, the chief operating officer directly owned 108,194 shares of the company’s stock, valued at $14,809,594.72. This represents a 6.42% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Leon C. Janks sold 3,000 shares of PriceSmart stock in a transaction that occurred on Monday, January 12th. The shares were sold at an average price of $137.29, for a total value of $411,870.00. Following the sale, the director directly owned 30,734 shares in the company, valued at approximately $4,219,470.86. The trade was a 8.89% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 16,671 shares of company stock worth $2,283,051. 17.00% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Pertento Partners LLP purchased a new stake in shares of PriceSmart in the 2nd quarter worth about $42,224,000. Progeny 3 Inc. purchased a new position in shares of PriceSmart in the 3rd quarter worth about $27,825,000. Invesco Ltd. boosted its stake in PriceSmart by 54.7% in the 2nd quarter. Invesco Ltd. now owns 551,566 shares of the company’s stock worth $57,936,000 after purchasing an additional 194,980 shares in the last quarter. Fisher Asset Management LLC grew its position in PriceSmart by 821.3% during the 4th quarter. Fisher Asset Management LLC now owns 217,000 shares of the company’s stock valued at $26,619,000 after purchasing an additional 193,446 shares during the last quarter. Finally, Boston Trust Walden Corp purchased a new position in PriceSmart in the third quarter worth about $21,915,000. Hedge funds and other institutional investors own 80.46% of the company’s stock.

PriceSmart Company Profile

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.