PureCycle Technologies (NASDAQ:PCT) Shares Down 4.9% – Should You Sell?

PureCycle Technologies, Inc. (NASDAQ:PCT)’s share price was down 4.9% during trading on Wednesday . The company traded as low as $11.69 and last traded at $11.6920. Approximately 2,068,538 shares changed hands during trading, a decline of 55% from the average daily volume of 4,591,542 shares. The stock had previously closed at $12.29.

Analysts Set New Price Targets

A number of equities analysts have recently weighed in on PCT shares. Weiss Ratings reissued a “sell (d-)” rating on shares of PureCycle Technologies in a research report on Thursday, January 22nd. Cantor Fitzgerald lowered their target price on shares of PureCycle Technologies from $16.00 to $14.00 and set an “overweight” rating for the company in a research note on Friday, February 27th. TD Cowen cut their price target on PureCycle Technologies from $7.00 to $6.00 and set a “hold” rating for the company in a report on Friday, May 8th. Finally, Wall Street Zen lowered PureCycle Technologies from a “sell” rating to a “strong sell” rating in a research note on Sunday, May 10th. One analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $12.00.

PureCycle Technologies Stock Performance

The stock has a market cap of $2.14 billion, a price-to-earnings ratio of -8.16 and a beta of 2.31. The company has a current ratio of 1.71, a quick ratio of 1.57 and a debt-to-equity ratio of 47.59. The stock’s 50-day moving average is $7.01 and its 200-day moving average is $8.47.

PureCycle Technologies (NASDAQ:PCT) last posted its earnings results on Wednesday, May 6th. The company reported ($0.21) earnings per share for the quarter, beating the consensus estimate of ($0.26) by $0.05. PureCycle Technologies had a negative net margin of 2,062.36% and a negative return on equity of 393.01%. The business had revenue of $4.13 million for the quarter, compared to analyst estimates of $3.83 million. On average, analysts expect that PureCycle Technologies, Inc. will post -0.99 EPS for the current year.

Institutional Trading of PureCycle Technologies

Several institutional investors have recently added to or reduced their stakes in the stock. Appian Way Asset Management LP increased its position in shares of PureCycle Technologies by 1.4% in the 3rd quarter. Appian Way Asset Management LP now owns 4,315,655 shares of the company’s stock worth $56,751,000 after purchasing an additional 59,676 shares during the last quarter. Geode Capital Management LLC raised its stake in shares of PureCycle Technologies by 0.5% in the 4th quarter. Geode Capital Management LLC now owns 3,365,871 shares of the company’s stock valued at $28,918,000 after purchasing an additional 15,536 shares in the last quarter. Simplify Asset Management Inc. lifted its position in shares of PureCycle Technologies by 227.4% during the fourth quarter. Simplify Asset Management Inc. now owns 1,933,564 shares of the company’s stock worth $16,609,000 after purchasing an additional 1,342,955 shares during the last quarter. Royal Bank of Canada grew its stake in PureCycle Technologies by 41.8% in the fourth quarter. Royal Bank of Canada now owns 1,671,756 shares of the company’s stock worth $14,361,000 after purchasing an additional 492,975 shares in the last quarter. Finally, Rokos Capital Management LLP acquired a new position in PureCycle Technologies in the first quarter worth about $7,526,000. 63.01% of the stock is owned by institutional investors and hedge funds.

About PureCycle Technologies

PureCycle Technologies, Inc operates as a recycling technology company focused on restoring waste polypropylene to a “virgin-like” state through a proprietary purification process licensed from Procter & Gamble. The company develops, owns and operates recycling facilities that convert used polypropylene feedstock—such as packaging and industrial plastics—into ultra‐pure recycled resin. This resin, known as Qualified Recycled Polymer (QRP), is designed to meet stringent quality specifications for applications in packaging, consumer goods and industrial products.

Headquartered in Orlando, Florida, PureCycle was established with technology development efforts dating back to licensing agreements in the mid-2010s and later spun off as a publicly traded entity in 2021.