Primo Brands (NYSE:PRMB) Trading Up 7.8% – Here’s What Happened

Primo Brands Corporation (NYSE:PRMB) rose 7.8% during trading on Wednesday . The company traded as high as $17.52 and last traded at $17.36. Approximately 3,136,969 shares were traded during trading, a decline of 39% from the average daily volume of 5,126,414 shares. The stock had previously closed at $16.11.

Analyst Upgrades and Downgrades

PRMB has been the subject of a number of research reports. Royal Bank Of Canada decreased their price target on Primo Brands from $37.00 to $30.00 and set an “outperform” rating for the company in a research note on Tuesday, November 4th. Morgan Stanley reaffirmed an “overweight” rating on shares of Primo Brands in a research note on Monday. Barclays lowered their target price on Primo Brands from $25.00 to $24.00 and set an “overweight” rating on the stock in a report on Wednesday, November 26th. Mizuho cut their price target on shares of Primo Brands from $28.00 to $24.00 and set an “outperform” rating for the company in a report on Thursday. Finally, Bank of America reduced their price objective on shares of Primo Brands from $32.00 to $26.00 and set a “buy” rating for the company in a research report on Wednesday, October 8th. Eight analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, Primo Brands presently has an average rating of “Hold” and an average target price of $26.09.

Primo Brands Trading Up 3.4%

The company has a fifty day simple moving average of $16.58 and a 200-day simple moving average of $22.24. The stock has a market cap of $6.55 billion, a price-to-earnings ratio of -57.09, a P/E/G ratio of 0.58 and a beta of 0.63. The company has a current ratio of 1.02, a quick ratio of 0.86 and a debt-to-equity ratio of 1.59.

Primo Brands (NYSE:PRMB) last issued its quarterly earnings results on Thursday, November 6th. The company reported $0.41 EPS for the quarter, meeting the consensus estimate of $0.41. Primo Brands had a negative net margin of 1.30% and a positive return on equity of 12.52%. The business had revenue of $1.77 billion during the quarter, compared to the consensus estimate of $1.78 billion. The business’s revenue for the quarter was up 35.3% on a year-over-year basis. On average, research analysts forecast that Primo Brands Corporation will post 1.13 earnings per share for the current fiscal year.

Primo Brands Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, December 5th. Stockholders of record on Tuesday, November 25th were given a $0.10 dividend. This represents a $0.40 annualized dividend and a dividend yield of 2.3%. The ex-dividend date of this dividend was Tuesday, November 25th. Primo Brands’s dividend payout ratio (DPR) is -129.03%.

Primo Brands declared that its Board of Directors has authorized a share repurchase plan on Monday, November 10th that allows the company to buyback $50.00 million in outstanding shares. This buyback authorization allows the company to buy up to 0.9% of its stock through open market purchases. Stock buyback plans are usually a sign that the company’s management believes its stock is undervalued.

Insiders Place Their Bets

In related news, Director Steven P. Stanbrook purchased 54,540 shares of Primo Brands stock in a transaction dated Thursday, November 13th. The stock was acquired at an average cost of $16.43 per share, with a total value of $896,092.20. Following the completion of the transaction, the director directly owned 181,601 shares of the company’s stock, valued at $2,983,704.43. This trade represents a 42.92% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Michael John Cramer purchased 5,000 shares of the firm’s stock in a transaction that occurred on Monday, November 10th. The shares were bought at an average price of $15.73 per share, with a total value of $78,650.00. Following the completion of the acquisition, the director owned 17,762 shares of the company’s stock, valued at $279,396.26. This trade represents a 39.18% increase in their position. The SEC filing for this purchase provides additional information. Over the last quarter, insiders have bought 203,469 shares of company stock valued at $3,214,674. 58.40% of the stock is owned by insiders.

Hedge Funds Weigh In On Primo Brands

A number of hedge funds have recently modified their holdings of PRMB. Mitsubishi UFJ Asset Management Co. Ltd. purchased a new position in Primo Brands in the second quarter valued at about $26,000. Caption Management LLC acquired a new stake in shares of Primo Brands during the 3rd quarter valued at about $27,000. EverSource Wealth Advisors LLC grew its stake in shares of Primo Brands by 102.4% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 2,091 shares of the company’s stock valued at $62,000 after buying an additional 1,058 shares in the last quarter. Byrne Asset Management LLC acquired a new position in Primo Brands in the third quarter worth approximately $47,000. Finally, TD Private Client Wealth LLC acquired a new position in Primo Brands in the second quarter worth approximately $71,000. 87.71% of the stock is owned by institutional investors and hedge funds.

About Primo Brands

Primo Brands (NYSE: PRMB) is a consumer packaged beverage company that was established as an independent entity following a corporate spin?off in 2023. The company specializes in the production, marketing and distribution of a broad portfolio of bottled water products, including purified, mineral and sparkling varieties. Through its focus on quality control and innovation, Primo Brands aims to deliver clean, great-tasting water in formats tailored to both at-home consumption and on-the-go lifestyles.

Its product range spans multi-serve and single-serve bottles, aluminum cans and other eco-friendly packaging solutions.