Primo Brands (NYSE:PRMB) Board of Directors Declares Share Repurchase Program

Primo Brands (NYSE:PRMB) announced that its board has authorized a stock buyback program on Monday, November 10th, RTT News reports. The company plans to buyback $50.00 million in outstanding shares. This buyback authorization permits the company to repurchase up to 0.9% of its stock through open market purchases. Stock buyback programs are usually an indication that the company’s management believes its stock is undervalued.

Primo Brands Stock Performance

Shares of Primo Brands stock traded up $1.11 during trading hours on Monday, hitting $15.57. 21,347,594 shares of the company’s stock traded hands, compared to its average volume of 5,394,461. The stock has a market capitalization of $5.82 billion, a price-to-earnings ratio of -141.55, a PEG ratio of 0.61 and a beta of 0.72. The company has a fifty day simple moving average of $22.25 and a 200-day simple moving average of $26.80. The company has a debt-to-equity ratio of 1.55, a current ratio of 1.06 and a quick ratio of 0.88. Primo Brands has a 12-month low of $14.36 and a 12-month high of $35.85.

Primo Brands (NYSE:PRMB) last released its earnings results on Thursday, November 6th. The company reported $0.41 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.41. The firm had revenue of $1.77 billion for the quarter, compared to analysts’ expectations of $1.78 billion. Primo Brands had a negative net margin of 1.20% and a positive return on equity of 9.64%. Primo Brands’s revenue was up 35.3% on a year-over-year basis. Equities research analysts anticipate that Primo Brands will post 1.13 EPS for the current fiscal year.

Primo Brands Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, December 5th. Investors of record on Tuesday, November 25th will be given a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a yield of 2.6%. The ex-dividend date is Tuesday, November 25th. Primo Brands’s payout ratio is presently -129.03%.

Analyst Ratings Changes

PRMB has been the topic of a number of research reports. Zacks Research lowered shares of Primo Brands from a “hold” rating to a “strong sell” rating in a report on Tuesday, November 4th. Morgan Stanley decreased their price target on Primo Brands from $38.00 to $35.00 and set an “overweight” rating for the company in a research note on Monday, August 11th. JPMorgan Chase & Co. cut their price objective on Primo Brands from $37.00 to $35.00 and set an “overweight” rating on the stock in a research note on Thursday, October 30th. Jefferies Financial Group started coverage on shares of Primo Brands in a research report on Friday, October 17th. They set a “hold” rating and a $23.00 target price for the company. Finally, The Goldman Sachs Group began coverage on shares of Primo Brands in a research note on Thursday, September 11th. They set a “neutral” rating and a $25.00 target price for the company. Nine investment analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $30.75.

Insiders Place Their Bets

In other Primo Brands news, CEO Robbert Rietbroek purchased 8,285 shares of the stock in a transaction on Wednesday, August 13th. The shares were purchased at an average price of $24.12 per share, with a total value of $199,834.20. Following the acquisition, the chief executive officer directly owned 586,349 shares in the company, valued at approximately $14,142,737.88. The trade was a 1.43% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Michael John Cramer bought 4,000 shares of the stock in a transaction that occurred on Thursday, August 14th. The stock was bought at an average cost of $24.46 per share, for a total transaction of $97,840.00. Following the completion of the purchase, the director directly owned 12,762 shares of the company’s stock, valued at $312,158.52. This represents a 45.65% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders have acquired 24,685 shares of company stock worth $595,770 in the last ninety days. 58.40% of the stock is currently owned by insiders.

About Primo Brands

Primo Brands Corp. is a branded beverage company, which focuses on healthy hydration. It delivers sustainably and domestically sourced diversified offerings across products, formats, channels, price points and consumer occasions, distributed in the United States and Canada. The company provides water filtration units for home and business consumers across North America.