Compass Diversified (NYSE:CODI) Insider Teri Shaffer Acquires 11,881 Shares

Compass Diversified Holdings (NYSE:CODI) insider Teri Shaffer purchased 11,881 shares of the company’s stock in a transaction on Wednesday, August 12th. The shares were purchased at an average cost of $12.25 per share, with a total value of $145,542.25. Following the transaction, the insider directly owned 13,201 shares in the company, valued at $161,712.25. This trade represents a 900.08% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is available through this hyperlink.

Compass Diversified Price Performance

Shares of Compass Diversified stock opened at $12.70 on Friday. The company’s fifty day simple moving average is $10.48 and its two-hundred day simple moving average is $9.43. Compass Diversified Holdings has a 12-month low of $4.58 and a 12-month high of $13.25. The firm has a market cap of $955.35 million, a PE ratio of -5.85 and a beta of 1.27. The company has a quick ratio of 1.56, a current ratio of 2.26 and a debt-to-equity ratio of 11.90.

Compass Diversified (NYSE:CODI) last posted its earnings results on Monday, August 10th. The financial services provider reported ($0.09) earnings per share (EPS) for the quarter. The business had revenue of $424.04 million during the quarter. Compass Diversified had a negative return on equity of 10.36% and a negative net margin of 5.38%. As a group, equities analysts expect that Compass Diversified Holdings will post 0.22 EPS for the current year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Jacobs Levy Equity Management Inc. raised its position in shares of Compass Diversified by 75.2% in the 4th quarter. Jacobs Levy Equity Management Inc. now owns 1,966,408 shares of the financial services provider’s stock worth $9,439,000 after acquiring an additional 843,965 shares in the last quarter. SG Capital Management LLC purchased a new stake in Compass Diversified in the fourth quarter worth $7,626,000. CenterBook Partners LP bought a new position in Compass Diversified in the fourth quarter worth $6,597,000. Bank of America Corp DE lifted its position in Compass Diversified by 77.4% during the first quarter. Bank of America Corp DE now owns 1,306,527 shares of the financial services provider’s stock valued at $10,269,000 after buying an additional 570,003 shares during the period. Finally, State Street Corp lifted its position in Compass Diversified by 2.3% during the fourth quarter. State Street Corp now owns 1,238,792 shares of the financial services provider’s stock valued at $5,946,000 after buying an additional 27,774 shares during the period. Hedge funds and other institutional investors own 72.73% of the company’s stock.

Analysts Set New Price Targets

A number of equities research analysts have recently weighed in on CODI shares. TD Cowen lifted their price objective on Compass Diversified from $12.50 to $18.00 and gave the stock a “buy” rating in a research report on Tuesday. B. Riley Financial upgraded Compass Diversified from a “neutral” rating to a “buy” rating and upped their target price for the company from $11.00 to $15.00 in a report on Tuesday. Weiss Ratings reiterated a “sell (d-)” rating on shares of Compass Diversified in a report on Friday, July 17th. Wall Street Zen downgraded shares of Compass Diversified from a “hold” rating to a “sell” rating in a research report on Saturday. Finally, UBS Group set a $18.00 price objective on shares of Compass Diversified in a research report on Tuesday. Three analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, Compass Diversified has a consensus rating of “Hold” and an average target price of $16.50.

Key Stories Impacting Compass Diversified

Here are the key news stories impacting Compass Diversified this week:

• Positive Sentiment: Analyst upgrades and higher targets: B. Riley Financial upgraded CODI from “Neutral” to “Buy” and raised its price target from $11 to $15. TD Cowen increased its target from $12.50 to $18 and maintained a “Buy” rating, while UBS also set an $18 target. The higher targets are above recent trading levels and likely improved investor sentiment. B. Riley Financial upgrades Compass Diversified
• Positive Sentiment: Multiple insider purchases: Zachary T. Sawtelle bought 25,000 shares for approximately $299,750 on August 12 and another 7,000 shares for $87,150 on August 13. Stephen Keller purchased 10,000 shares for about $120,100. The transactions materially increased their ownership and may signal that insiders believe CODI is undervalued or expect a business recovery. SEC insider ownership filing
• Positive Sentiment: Turnaround and transaction optimism: Reports have highlighted a $292 million sale and potential management-fee savings, reinforcing the possibility of improved liquidity, lower expenses and stronger portfolio performance. Compass Diversified’s $292 million sale
• Neutral Sentiment: Unusual options activity: Elevated options volume shows increased attention around CODI and could amplify near-term volatility, but it does not establish a clear bullish or bearish direction. Unusual options trading in Compass Diversified
• Negative Sentiment: Losses remain a risk: CODI reported a quarterly loss of $0.09 per share, negative net margin and negative return on equity. Its recovery case therefore depends on successfully improving portfolio-company performance and converting recent strategic developments into sustained earnings.

About Compass Diversified

Compass Diversified Holdings (NYSE:CODI) is a publicly traded private equity company headquartered in Bethesda, Maryland. The firm specializes in acquiring and managing middle-market businesses across a variety of industries, with a focus on driving operational performance and sustainable growth. As an externally managed entity, Compass Diversified leverages a disciplined investment approach to build a portfolio of market-leading companies that benefit from strategic oversight, capital support and shared best practices.

Compass Diversified’s investment activities span five core sectors: branded consumer, consumer services, differentiated industrial products, value-added distribution and business services.