Driven Brands (NASDAQ:DRVN) Shares Gap Up – Here’s Why

Shares of Driven Brands Holdings Inc. (NASDAQ:DRVN) gapped up before the market opened on Tuesday . The stock had previously closed at $12.47, but opened at $12.97. Driven Brands shares last traded at $12.84, with a volume of 142,365 shares traded.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on DRVN. Canaccord Genuity Group increased their price target on shares of Driven Brands from $17.00 to $18.00 and gave the company a “buy” rating in a research note on Thursday, September 10th. Weiss Ratings raised shares of Driven Brands from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Tuesday, August 25th. BTIG Research reiterated a “buy” rating and issued a $17.00 price objective on shares of Driven Brands in a report on Friday, June 12th. Benchmark reiterated a “buy” rating on shares of Driven Brands in a research report on Tuesday, May 26th. Finally, Piper Sandler raised their target price on Driven Brands from $11.00 to $13.00 and gave the stock a “neutral” rating in a research note on Wednesday, May 20th. Two equities research analysts have rated the stock with a Strong Buy rating, six have given a Buy rating, seven have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $16.43.

Driven Brands Price Performance

The company has a quick ratio of 1.33, a current ratio of 1.47 and a debt-to-equity ratio of 1.99. The company has a market cap of $1.99 billion, a price-to-earnings ratio of 11.61, a PEG ratio of 2.16 and a beta of 0.94. The stock’s 50-day simple moving average is $13.60 and its 200 day simple moving average is $13.05.

Driven Brands (NASDAQ:DRVN) last announced its quarterly earnings results on Monday, July 27th. The company reported $0.29 earnings per share for the quarter. Driven Brands had a net margin of 8.61% and a return on equity of 24.13%. On average, equities research analysts anticipate that Driven Brands Holdings Inc. will post 1.12 EPS for the current fiscal year.

Institutional Trading of Driven Brands

Several institutional investors have recently added to or reduced their stakes in DRVN. BlackRock Inc. acquired a new position in Driven Brands during the second quarter worth $67,107,000. Bamco Inc. NY purchased a new position in shares of Driven Brands during the second quarter worth $62,766,000. North Peak Capital Management LLC grew its stake in shares of Driven Brands by 37.3% in the fourth quarter. North Peak Capital Management LLC now owns 3,990,850 shares of the company’s stock valued at $59,144,000 after buying an additional 1,083,896 shares in the last quarter. Rubric Capital Management LP acquired a new stake in shares of Driven Brands in the first quarter valued at $37,830,000. Finally, Jupiter Topco LLC purchased a new stake in shares of Driven Brands in the 2nd quarter valued at $35,214,000. Institutional investors and hedge funds own 77.08% of the company’s stock.

About Driven Brands

Driven Brands Holdings Inc is an automotive services company that operates and franchises a network of businesses serving vehicle owners and commercial customers. Its services include routine vehicle maintenance, oil changes, automotive repair, collision repair, paint and glass services, and car washing.

The company’s portfolio includes brands such as Take 5 Oil Change, Meineke Car Care Centers, MAACO, CARSTAR, and Fix Auto. Through these brands, Driven Brands provides services ranging from preventative maintenance and mechanical repairs to bodywork, paint repair, windshield replacement, and vehicle appearance care.