PureCycle Technologies (NASDAQ:PCT) Trading Down 4% – Here’s Why

PureCycle Technologies, Inc. (NASDAQ:PCT)’s stock price was down 4% during mid-day trading on Tuesday . The company traded as low as $5.65 and last traded at $5.5750. Approximately 469,429 shares changed hands during mid-day trading, a decline of 89% from the average daily volume of 4,407,823 shares. The stock had previously closed at $5.81.

Analysts Set New Price Targets

Several equities research analysts recently weighed in on PCT shares. Weiss Ratings restated a “sell (d-)” rating on shares of PureCycle Technologies in a report on Thursday, January 22nd. Cantor Fitzgerald lowered their price target on PureCycle Technologies from $16.00 to $14.00 and set an “overweight” rating on the stock in a research report on Friday, February 27th. Finally, TD Cowen reaffirmed a “hold” rating and issued a $9.00 target price (down from $16.00) on shares of PureCycle Technologies in a report on Monday, November 24th. One investment analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $13.00.

PureCycle Technologies Stock Down 10.6%

The business has a fifty day simple moving average of $8.99 and a two-hundred day simple moving average of $10.45. The company has a market capitalization of $938.04 million, a price-to-earnings ratio of -4.29 and a beta of 2.07. The company has a quick ratio of 2.15, a current ratio of 2.26 and a debt-to-equity ratio of 7.62.

PureCycle Technologies (NASDAQ:PCT) last issued its quarterly earnings data on Thursday, February 26th. The company reported ($0.42) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.25) by ($0.17). PureCycle Technologies had a negative net margin of 2,185.10% and a negative return on equity of 204.74%. The company had revenue of $2.70 million for the quarter, compared to the consensus estimate of $6.37 million. Equities analysts expect that PureCycle Technologies, Inc. will post -1.01 EPS for the current year.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the company. Appian Way Asset Management LP grew its position in PureCycle Technologies by 1.4% during the 3rd quarter. Appian Way Asset Management LP now owns 4,315,655 shares of the company’s stock worth $56,751,000 after acquiring an additional 59,676 shares during the last quarter. Geode Capital Management LLC boosted its position in PureCycle Technologies by 2.2% in the 2nd quarter. Geode Capital Management LLC now owns 3,391,126 shares of the company’s stock valued at $46,465,000 after buying an additional 71,401 shares during the last quarter. Gladstone Institutional Advisory LLC increased its stake in shares of PureCycle Technologies by 1.4% in the 3rd quarter. Gladstone Institutional Advisory LLC now owns 3,243,160 shares of the company’s stock valued at $42,648,000 after buying an additional 44,817 shares during the period. Simplify Asset Management Inc. increased its stake in shares of PureCycle Technologies by 227.4% in the 4th quarter. Simplify Asset Management Inc. now owns 1,933,564 shares of the company’s stock valued at $16,609,000 after buying an additional 1,342,955 shares during the period. Finally, Royal Bank of Canada raised its position in shares of PureCycle Technologies by 41.8% during the fourth quarter. Royal Bank of Canada now owns 1,671,756 shares of the company’s stock worth $14,361,000 after acquiring an additional 492,975 shares during the last quarter. Institutional investors own 63.01% of the company’s stock.

PureCycle Technologies Company Profile

PureCycle Technologies, Inc operates as a recycling technology company focused on restoring waste polypropylene to a “virgin-like” state through a proprietary purification process licensed from Procter & Gamble. The company develops, owns and operates recycling facilities that convert used polypropylene feedstock—such as packaging and industrial plastics—into ultra‐pure recycled resin. This resin, known as Qualified Recycled Polymer (QRP), is designed to meet stringent quality specifications for applications in packaging, consumer goods and industrial products.

Headquartered in Orlando, Florida, PureCycle was established with technology development efforts dating back to licensing agreements in the mid-2010s and later spun off as a publicly traded entity in 2021.