Cricut, Inc. (NASDAQ:CRCT) Given Average Rating of “Strong Sell” by Analysts

Shares of Cricut, Inc. (NASDAQ:CRCT) have been given an average recommendation of “Strong Sell” by the five brokerages that are currently covering the company, MarketBeat.com reports. Four research analysts have rated the stock with a sell rating and one has issued a hold rating on the company. The average twelve-month target price among analysts that have covered the stock in the last year is $3.8750.

CRCT has been the topic of a number of analyst reports. Morgan Stanley reissued an “underweight” rating on shares of Cricut in a report on Wednesday. The Goldman Sachs Group reaffirmed a “sell” rating and issued a $3.75 price target on shares of Cricut in a report on Wednesday, May 6th. Finally, Weiss Ratings upgraded Cricut from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Tuesday, July 21st.

Cricut Stock Performance

NASDAQ CRCT traded up $0.85 during trading on Wednesday, hitting $5.79. 633,767 shares of the company’s stock traded hands, compared to its average volume of 541,060. The stock has a market capitalization of $1.22 billion, a price-to-earnings ratio of 16.54 and a beta of 0.19. Cricut has a 12-month low of $3.73 and a 12-month high of $6.93. The business has a 50 day moving average of $4.45 and a 200-day moving average of $4.33.

Cricut (NASDAQ:CRCT) last posted its earnings results on Tuesday, August 4th. The company reported $0.19 earnings per share for the quarter, topping the consensus estimate of $0.06 by $0.13. The firm had revenue of $156.28 million during the quarter, compared to the consensus estimate of $159.95 million. Cricut had a net margin of 10.36% and a return on equity of 21.37%. On average, analysts expect that Cricut will post 0.14 EPS for the current year.

Insiders Place Their Bets

In related news, Director Jason Makler purchased 9,691 shares of the firm’s stock in a transaction dated Tuesday, May 12th. The shares were purchased at an average cost of $4.34 per share, for a total transaction of $42,058.94. Following the completion of the transaction, the director directly owned 29,690 shares in the company, valued at approximately $128,854.60. This represents a 48.46% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available through this hyperlink. Also, CEO Arora Ashish sold 60,000 shares of the stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $3.95, for a total transaction of $237,000.00. Following the completion of the sale, the chief executive officer directly owned 4,461,592 shares in the company, valued at approximately $17,623,288.40. The trade was a 1.33% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 93,633 shares of company stock worth $378,514 in the last quarter. 16.48% of the stock is owned by company insiders.

Institutional Trading of Cricut

Several institutional investors and hedge funds have recently bought and sold shares of the company. Osaic Holdings Inc. boosted its holdings in Cricut by 255.9% in the 2nd quarter. Osaic Holdings Inc. now owns 3,644 shares of the company’s stock valued at $25,000 after purchasing an additional 2,620 shares during the period. Caitong International Asset Management Co. Ltd increased its holdings in shares of Cricut by 57,811.1% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 5,212 shares of the company’s stock worth $26,000 after purchasing an additional 5,203 shares during the period. Royal Bank of Canada increased its holdings in shares of Cricut by 265.0% in the first quarter. Royal Bank of Canada now owns 8,165 shares of the company’s stock worth $30,000 after purchasing an additional 5,928 shares during the period. Guggenheim Capital LLC purchased a new stake in shares of Cricut in the fourth quarter worth $55,000. Finally, Brevan Howard Capital Management LP bought a new stake in Cricut during the third quarter valued at $75,000. 19.60% of the stock is currently owned by hedge funds and other institutional investors.

About Cricut

Cricut, Inc (NASDAQ: CRCT) is a U.S.-based technology company specializing in personal and small-business crafting solutions. The company designs and markets a family of cutting machines that leverage computer-aided design to precisely cut a wide range of materials, including paper, vinyl, fabric and leather. Complementing its hardware offerings, Cricut provides proprietary software and mobile applications that enable users to create custom artwork, import graphics and access a vast library of pre-designed projects and fonts through a subscription service.

Founded as a division of Provo Craft & Novelty in 2005, Cricut emerged as an independent public company in March 2021.