Short Interest in The Honest Company, Inc. (NASDAQ:HNST) Decreases By 17.7%

The Honest Company, Inc. (NASDAQ:HNST) was the recipient of a large drop in short interest in March. As of March 15th, there was short interest totalling 4,730,000 shares, a drop of 17.7% from the February 28th total of 5,750,000 shares. Currently, 5.3% of the company’s shares are short sold. Based on an average daily volume of 2,640,000 shares, the days-to-cover ratio is currently 1.8 days.

Honest Stock Up 1.8 %

Shares of HNST traded up $0.09 during midday trading on Tuesday, reaching $4.79. 867,573 shares of the stock were exchanged, compared to its average volume of 2,048,152. Honest has a twelve month low of $2.40 and a twelve month high of $8.97. The stock’s 50 day simple moving average is $5.60 and its 200 day simple moving average is $5.58. The company has a market cap of $521.13 million, a P/E ratio of -119.88 and a beta of 2.45.

Honest (NASDAQ:HNST) last issued its earnings results on Wednesday, February 26th. The company reported ($0.01) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.02) by $0.01. Honest had a negative return on equity of 3.26% and a negative net margin of 1.13%. The firm had revenue of $99.84 million for the quarter, compared to the consensus estimate of $96.46 million. As a group, analysts predict that Honest will post -0.07 earnings per share for the current year.

Insider Buying and Selling

In related news, insider Stephen Winchell sold 20,000 shares of the firm’s stock in a transaction that occurred on Wednesday, March 12th. The stock was sold at an average price of $4.98, for a total value of $99,600.00. Following the transaction, the insider now directly owns 431,844 shares of the company’s stock, valued at approximately $2,150,583.12. This trade represents a 4.43 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, SVP Jonathan Mayle sold 37,481 shares of the business’s stock in a transaction on Tuesday, March 11th. The stock was sold at an average price of $4.87, for a total transaction of $182,532.47. Following the transaction, the senior vice president now directly owns 307,740 shares of the company’s stock, valued at approximately $1,498,693.80. This represents a 10.86 % decrease in their position. The disclosure for this sale can be found here. 8.60% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Honest

Several large investors have recently modified their holdings of HNST. D. E. Shaw & Co. Inc. boosted its holdings in Honest by 589.7% in the fourth quarter. D. E. Shaw & Co. Inc. now owns 2,397,636 shares of the company’s stock worth $16,616,000 after acquiring an additional 2,049,981 shares in the last quarter. Victory Capital Management Inc. lifted its position in shares of Honest by 869.9% during the fourth quarter. Victory Capital Management Inc. now owns 1,546,391 shares of the company’s stock valued at $10,716,000 after purchasing an additional 1,386,961 shares in the last quarter. Vanguard Group Inc. grew its holdings in shares of Honest by 25.7% in the fourth quarter. Vanguard Group Inc. now owns 5,147,369 shares of the company’s stock valued at $35,671,000 after acquiring an additional 1,052,305 shares in the last quarter. Nuveen Asset Management LLC grew its stake in Honest by 103.5% in the 4th quarter. Nuveen Asset Management LLC now owns 2,046,868 shares of the company’s stock valued at $14,185,000 after purchasing an additional 1,041,040 shares during the period. Finally, Jacobs Levy Equity Management Inc. increased its holdings in Honest by 1,504.9% during the third quarter. Jacobs Levy Equity Management Inc. now owns 851,436 shares of the company’s stock worth $3,040,000 after buying an additional 798,384 shares during the last quarter. 45.54% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of equities analysts have recently issued reports on the stock. Loop Capital cut shares of Honest from a “buy” rating to a “hold” rating and set a $7.00 price objective for the company. in a research note on Tuesday, December 17th. Northland Securities upped their price target on shares of Honest from $7.50 to $9.50 and gave the stock an “outperform” rating in a research report on Wednesday, December 4th. Finally, Telsey Advisory Group reaffirmed a “market perform” rating and set a $7.00 price target on shares of Honest in a research note on Thursday, February 27th. Two research analysts have rated the stock with a hold rating, four have issued a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $7.42.

Honest Company Profile

The Honest Company, Inc manufactures and sells diapers and wipes, skin and personal care, and household and wellness products. The company also offers baby clothing and nursery bedding products. It sells its products through digital and retail sales channels, such as its website and third-party ecommerce sites, as well as brick and mortar retailers.