Cricut, Inc. (NASDAQ:CRCT) Stock Now Rated “Strong Sell” by Wall Street Analysts

Cricut, Inc. (NASDAQ:CRCT) has been given an average rating of “Strong Sell” by the six analysts that are currently covering the firm, MarketBeat Ratings reports. Four equities research analysts have rated the stock with a sell recommendation and two have assigned a hold recommendation to the company. The average 12-month target price among brokers that have covered the stock in the last year is $4.07.

CRCT has been the subject of several research reports. Zacks Research downgraded shares of Cricut from a “strong-buy” rating to a “hold” rating in a research report on Monday, October 5th. Morgan Stanley reiterated an “underweight” rating and set a $3.70 target price on shares of Cricut in a research note on Wednesday, August 5th. The Goldman Sachs Group initiated coverage on shares of Cricut in a research report on Wednesday, August 19th. They issued a “sell” rating and a $4.50 target price for the company. Finally, Weiss Ratings raised Cricut from a “hold (c-)” rating to a “hold (c)” rating in a report on Thursday, August 6th.

Cricut Stock Down 2.5%

Shares of CRCT stock opened at $6.25 on Monday. The company has a market capitalization of $1.31 billion, a P/E ratio of 14.54 and a beta of 0.25. Cricut has a 12-month low of $3.73 and a 12-month high of $6.82. The firm has a 50-day moving average price of $5.98 and a 200 day moving average price of $5.02.

Cricut (NASDAQ:CRCT) last released its earnings results on Tuesday, August 4th. The company reported $0.19 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.06 by $0.13. Cricut had a net margin of 12.71% and a return on equity of 24.57%. The company had revenue of $156.28 million for the quarter, compared to the consensus estimate of $159.95 million. As a group, research analysts expect that Cricut will post 0.32 earnings per share for the current year.

Insider Transactions at Cricut

In related news, CEO Ashish Arora sold 60,000 shares of the firm’s stock in a transaction that occurred on Friday, October 23rd. The shares were sold at an average price of $6.26, for a total value of $375,600.00. Following the completion of the transaction, the chief executive officer directly owned 4,908,740 shares of the company’s stock, valued at approximately $30,728,712.40. This trade represents a 1.21% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Ryan Harmer sold 10,000 shares of the firm’s stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $5.70, for a total transaction of $57,000.00. Following the completion of the transaction, the insider owned 314,428 shares of the company’s stock, valued at $1,792,239.60. This trade represents a 3.08% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 730,000 shares of company stock worth $4,258,800 in the last 90 days. 16.48% of the stock is currently owned by company insiders.

Institutional Trading of Cricut

A number of institutional investors have recently made changes to their positions in the stock. Dimensional Fund Advisors LP increased its stake in shares of Cricut by 30.4% in the first quarter. Dimensional Fund Advisors LP now owns 985,868 shares of the company’s stock worth $3,687,000 after acquiring an additional 229,663 shares during the period. Renaissance Technologies LLC grew its stake in shares of Cricut by 2.7% in the first quarter. Renaissance Technologies LLC now owns 879,143 shares of the company’s stock worth $3,288,000 after acquiring an additional 23,300 shares in the last quarter. Bank of New York Mellon Corp acquired a new position in shares of Cricut in the second quarter worth $2,409,000. Empowered Funds LLC increased its position in shares of Cricut by 18.1% during the first quarter. Empowered Funds LLC now owns 420,595 shares of the company’s stock worth $1,573,000 after acquiring an additional 64,362 shares during the period. Finally, Bank of America Corp DE increased its position in shares of Cricut by 124.4% during the first quarter. Bank of America Corp DE now owns 116,790 shares of the company’s stock worth $437,000 after acquiring an additional 64,737 shares during the period. Hedge funds and other institutional investors own 19.60% of the company’s stock.

Cricut Company Profile

Cricut, Inc develops and sells connected cutting machines and related products for do-it-yourself crafting, personalization and small-scale creative production. Its systems are designed to cut, draw, score and apply materials such as paper, vinyl, fabric, leather and iron-on transfers, enabling users to create customized home décor, apparel, gifts and other projects.

The company’s product portfolio includes Cricut smart cutting machines, heat presses, specialized tools and a broad range of consumable materials.