Wall Street Zen Downgrades Torrid (NYSE:CURV) to Sell

Torrid (NYSE:CURV) was downgraded by stock analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a research report issued on Monday.

Several other research analysts have also recently issued reports on the stock. Weiss Ratings restated a “sell (d)” rating on shares of Torrid in a report on Friday. BTIG Research restated a “neutral” rating on shares of Torrid in a report on Friday, September 5th. Bank of America lowered their target price on shares of Torrid from $7.00 to $6.00 and set a “buy” rating for the company in a report on Friday, September 5th. The Goldman Sachs Group decreased their price target on shares of Torrid from $1.75 to $1.50 and set a “sell” rating for the company in a research note on Monday, October 6th. Finally, Morgan Stanley decreased their price target on shares of Torrid from $2.00 to $1.60 and set an “underweight” rating for the company in a research note on Thursday, September 18th. One equities research analyst has rated the stock with a Buy rating, three have issued a Hold rating and four have issued a Sell rating to the stock. Based on data from MarketBeat.com, Torrid has an average rating of “Reduce” and an average target price of $3.03.

Torrid Trading Down 4.4%

Shares of Torrid stock opened at $1.41 on Monday. The company has a fifty day simple moving average of $1.84 and a 200-day simple moving average of $3.43. Torrid has a 12-month low of $1.39 and a 12-month high of $7.19. The stock has a market cap of $139.43 million, a price-to-earnings ratio of 35.16, a PEG ratio of 3.12 and a beta of 1.51.

Torrid (NYSE:CURV) last issued its earnings results on Thursday, September 4th. The company reported $0.02 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.04 by ($0.02). Torrid had a net margin of 0.30% and a negative return on equity of 1.69%. The company had revenue of $262.81 million during the quarter, compared to analyst estimates of $259.38 million. During the same quarter in the previous year, the company posted $0.08 EPS. Torrid has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. On average, analysts forecast that Torrid will post 0.14 earnings per share for the current fiscal year.

Insider Buying and Selling at Torrid

In other news, CFO Paula Dempsey sold 26,000 shares of the firm’s stock in a transaction on Tuesday, September 23rd. The shares were sold at an average price of $1.76, for a total value of $45,760.00. Following the completion of the sale, the chief financial officer owned 145,361 shares in the company, valued at approximately $255,835.36. This trade represents a 15.17% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Ashlee Wheeler sold 16,959 shares of the firm’s stock in a transaction on Tuesday, September 23rd. The stock was sold at an average price of $1.78, for a total transaction of $30,187.02. Following the completion of the sale, the insider owned 107,443 shares of the company’s stock, valued at $191,248.54. This trade represents a 13.63% decrease in their position. The disclosure for this sale can be found here. 9.77% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Torrid

A number of large investors have recently made changes to their positions in CURV. Bank of America Corp DE increased its holdings in shares of Torrid by 191.1% in the 2nd quarter. Bank of America Corp DE now owns 1,917,793 shares of the company’s stock valued at $5,657,000 after purchasing an additional 1,258,934 shares in the last quarter. Fund 1 Investments LLC increased its holdings in shares of Torrid by 12.4% in the 2nd quarter. Fund 1 Investments LLC now owns 10,433,112 shares of the company’s stock valued at $30,778,000 after purchasing an additional 1,150,726 shares in the last quarter. Nomura Holdings Inc. increased its holdings in shares of Torrid by 19.5% in the 1st quarter. Nomura Holdings Inc. now owns 3,254,537 shares of the company’s stock valued at $17,835,000 after purchasing an additional 531,713 shares in the last quarter. Hudson Bay Capital Management LP purchased a new position in shares of Torrid in the 2nd quarter valued at about $1,106,000. Finally, Shay Capital LLC increased its holdings in shares of Torrid by 40.4% in the 2nd quarter. Shay Capital LLC now owns 434,359 shares of the company’s stock valued at $1,281,000 after purchasing an additional 125,000 shares in the last quarter. Hedge funds and other institutional investors own 81.82% of the company’s stock.

About Torrid

Torrid Holdings Inc operates in women’s plus-size apparel and intimates market in North America. The company designs, develops, and merchandises its products under the Torrid, Torrid Curve, CURV, and Lovesick brand names. It is involved in the sale of tops, bottoms, dresses, denims, activewear, intimates, sleep wear, swim wear, and outerwear products; and non-apparel products comprising accessories, footwear, and beauty products.