Simply Good Foods (NASDAQ:SMPL) Trading Down 5.5% – Should You Sell?

The Simply Good Foods Company (NASDAQ:SMPL)’s stock price dropped 5.5% during mid-day trading on Tuesday . The stock traded as low as $12.57 and last traded at $12.5760. Approximately 263,538 shares were traded during trading, a decline of 90% from the average session volume of 2,563,290 shares. The stock had previously closed at $13.31.

Analyst Upgrades and Downgrades

A number of equities analysts have weighed in on the company. Morgan Stanley decreased their target price on Simply Good Foods from $24.00 to $14.00 and set an “equal weight” rating on the stock in a research note on Friday, April 10th. Deutsche Bank Aktiengesellschaft reiterated a “hold” rating and set a $14.00 price target on shares of Simply Good Foods in a research report on Friday, July 10th. Sanford C. Bernstein cut shares of Simply Good Foods from an “outperform” rating to a “market perform” rating and decreased their price objective for the stock from $17.00 to $12.00 in a research report on Wednesday, June 3rd. UBS Group set a $15.00 target price on shares of Simply Good Foods in a research note on Friday, July 10th. Finally, Jefferies Financial Group set a $17.00 target price on shares of Simply Good Foods in a research report on Tuesday, June 30th. Three investment analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, Simply Good Foods presently has an average rating of “Hold” and a consensus price target of $15.20.

Simply Good Foods Stock Performance

The company has a 50 day simple moving average of $12.25 and a 200-day simple moving average of $14.86. The company has a debt-to-equity ratio of 0.28, a current ratio of 4.80 and a quick ratio of 3.10. The stock has a market cap of $1.05 billion, a P/E ratio of -5.47 and a beta of 0.13.

Simply Good Foods (NASDAQ:SMPL) last announced its quarterly earnings data on Thursday, July 9th. The financial services provider reported $0.42 EPS for the quarter, beating the consensus estimate of $0.35 by $0.07. The firm had revenue of $356.98 million for the quarter, compared to analyst estimates of $332.99 million. Simply Good Foods had a positive return on equity of 9.34% and a negative net margin of 14.28%.The company’s revenue was down 6.3% on a year-over-year basis. During the same period in the prior year, the company earned $0.51 EPS. On average, equities analysts expect that The Simply Good Foods Company will post 1.54 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Simply Good Foods news, Director Clayton C. Daley, Jr. acquired 10,000 shares of the stock in a transaction dated Thursday, May 14th. The stock was purchased at an average cost of $11.78 per share, for a total transaction of $117,800.00. Following the acquisition, the director owned 111,743 shares in the company, valued at $1,316,332.54. The trade was a 9.83% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at this link. Also, Director James M. Kilts acquired 80,000 shares of the business’s stock in a transaction dated Thursday, April 23rd. The stock was acquired at an average cost of $12.39 per share, with a total value of $991,200.00. Following the purchase, the director directly owned 172,854 shares in the company, valued at $2,141,661.06. This represents a 86.16% increase in their position. The disclosure for this purchase is available in the SEC filing. 8.76% of the stock is owned by company insiders.

Institutional Trading of Simply Good Foods

Hedge funds have recently added to or reduced their stakes in the business. Royal Bank of Canada grew its stake in shares of Simply Good Foods by 9.0% during the first quarter. Royal Bank of Canada now owns 71,023 shares of the financial services provider’s stock valued at $2,448,000 after buying an additional 5,893 shares during the last quarter. AQR Capital Management LLC increased its holdings in shares of Simply Good Foods by 3.4% in the first quarter. AQR Capital Management LLC now owns 19,018 shares of the financial services provider’s stock worth $656,000 after buying an additional 617 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in shares of Simply Good Foods by 5.5% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 54,819 shares of the financial services provider’s stock valued at $1,891,000 after acquiring an additional 2,850 shares during the last quarter. Caxton Associates LLP bought a new stake in shares of Simply Good Foods in the 1st quarter valued at about $264,000. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its holdings in Simply Good Foods by 10.7% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 224,229 shares of the financial services provider’s stock valued at $7,734,000 after acquiring an additional 21,696 shares during the period. 88.45% of the stock is owned by institutional investors.

About Simply Good Foods

Simply Good Foods Co (NASDAQ: SMPL) is a North American consumer packaged foods company specializing in better-for-you nutrition products. The company’s portfolio centers on two well-established brands, Atkins and Quest, which offer a range of low-carbohydrate, high-protein bars, powders, shakes, and snacks. Simply Good Foods aims to support consumers’ health and wellness goals by delivering convenient, nutrient-dense options without added sugars or artificial sweeteners.

Under the Atkins brand, the company produces meal replacements, snack bars, and ready-to-drink shakes designed for low-carb dieters.