The Simply Good Foods Company (NASDAQ:SMPL) saw a downside of -0.45% to close Friday at $35.03 after subtracting -$0.16 on the day. The 5-day average trading volume is 400,800 shares of the company’s common stock. It has gained $37.19 in the past week and touched a new high 1 time within the past 5 days. An average of 493,395 shares of the company has been traded in the last 20 days, and the 50-day average volume stands at 594,350.
SMPL’s 1-month performance is -6.11% or -$2.82 on its low of $34.97 reached on 08/17/23. The company’s shares have touched a 52-week low of $29.21 and high of $40.15, with the stock’s rally to the 52-week high happening on 03/31/23. YTD, SMPL has lost -7.89% or -$3.00 and has reached a new high 7 times. However, the current price is down -12.76% from the 52-week high price.
Insider Transactions
SMPL stock investors last saw insider trading activity on Jul 24.Ratzan Brian K. (Director) most recently sold 300,000 shares at $37.78 per share on Jul 24. This transaction cost the insider $11,334,360. Chief Customer Officer, Short Jill M., sold 5,410 shares at a price of $37.34 on Jul 06. Then, on May 15, Director Ratzan Brian K. sold 15,133 shares at a price of $40.00 per share. This transaction amounted to $605,320.
Valuation Metrics
SMPL stock has a beta of 0.76. Moving on to other valuation ratios, the trailing price-to-sales (P/S) ratio is 2.93 while the price-to-book (PB) in the most recent quarter is 2.28, with the price to cash flow ratio at 24.60.
The Simply Good Foods Company’s quick ratio for the period ended May 30 was 3.40, with the current ratio over the same period at 4.90. As well, the company’s long term debt to equity for the quarter ending May 30 was 0.21, while the total debt to equity was 0.21. In terms of profitability, the gross margin trailing 12 months is 36.30%. The trailing 12-month EBITDA margin is 19.62% while for the period ending May 30, The Simply Good Foods Company’s operating margin was 16.10%. The firm’s gross profit as reported stood at $445.56 million against revenue of $1.17 billion.
Earnings Surprise
For the quarterly period ending May 30 this year, Net income and sales went up compared to those figures reported in the previous quarter. Net income shrunk -9.6% to $35.43 million, while revenue of $25.64 million was 27.63% off the previous quarter. Analysts expected SMPL to announce $0.41 per share in earnings in its latest quarter, but it posted $0.44, representing a 7.30% surprise. EBITDA for the quarter stood at more than $61.83 million. SMPL stock balance sheet for the quarter ending May 30 shows that total liabilities totaled 549.18 million, with total debt at $367.43 million. Shareholders hold equity totaling $99.55 million.
Let’s look briefly at The Simply Good Foods Company (SMPL) price momentum from a technical analysis perspective. The 9-day relative strength index as at close on 18 August was 26.39% to suggest the stock is trending oversold, with historical volatility in this time period at 22.52%.
The stock’s 5-day moving average is $35.93, reflecting a -5.12% or -$1.89 change from its current price. SMPL is currently trading -7.16% above its 20-day SMA, -10.27% above its 100-day SMA. However, the stock’s current price level is away from the SMA50 by -2.48% and SMA200 by-8.54%.
Stochastic %K and %D was 2.78% and 4.31% and the average true range (ATR) pointed at 0.83. The RSI (14) points at 34.19%, while the 14-day stochastic is at 1.37% with the period’s ATR at 0.84. The stock’s 9-day MACD Oscillator is pointing at -0.97 and -1.78 on the 14-day charts.
Analyst Ratings
Analysts offering their rating for SMPL stock have a consensus rating for the stock as Buy. Currently, 0 brokerage advisors rate SMPL as a “sell,”, while 2 advise that investors “Hold.” 0 analysts have rated the stock as underweight. 1 rates the stock as overweight while 9 have offered a “buy” rating.
What is SMPL’s price target for the next 12 months?
Analysts have a consensus price target ranging from a low of $37.00 and a high of $49.00, with their median price target at $43.00. Looking at these predictions, the average price target given by analysts is for The Simply Good Foods Company (SMPL) stock is $42.82.
