Compass Diversified (NYSE:CODI) Shares Break Above Fifty Day Moving Average – Here’s What Happened

Compass Diversified Holdings (NYSE:CODI)’s share price passed above its 50-day moving average during trading on Thursday. The stock has a 50-day moving average of $11.05 and traded as high as $11.30. Compass Diversified shares last traded at $11.2830, with a volume of 943,199 shares.

Analyst Upgrades and Downgrades

Several research firms have commented on CODI. B. Riley Financial raised shares of Compass Diversified from a “neutral” rating to a “buy” rating and lifted their price objective for the stock from $11.00 to $15.00 in a research note on Tuesday, August 11th. LADENBURG THALM/SH SH began coverage on shares of Compass Diversified in a research note on Tuesday, October 13th. They issued a “buy” rating and a $17.00 target price on the stock. Wall Street Zen upgraded shares of Compass Diversified from a “sell” rating to a “hold” rating in a report on Saturday, August 29th. Compass Point set a $17.00 price target on shares of Compass Diversified in a research note on Tuesday, October 13th. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of Compass Diversified in a report on Thursday, October 15th. Four investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, Compass Diversified presently has an average rating of “Hold” and an average price target of $17.00.

Compass Diversified Trading Up 4.8%

The company has a market capitalization of $848.89 million, a PE ratio of -5.20 and a beta of 1.30. The company has a debt-to-equity ratio of 11.90, a current ratio of 2.26 and a quick ratio of 1.10. The company’s fifty day moving average is $11.05 and its 200-day moving average is $9.70.

Compass Diversified (NYSE:CODI) last announced its earnings results on Monday, August 10th. The financial services provider reported ($0.09) earnings per share for the quarter. The firm had revenue of $424.04 million during the quarter. Compass Diversified had a negative net margin of 5.38% and a negative return on equity of 10.36%. On average, analysts anticipate that Compass Diversified Holdings will post 0.08 EPS for the current fiscal year.

Insider Transactions at Compass Diversified

In related news, insider Teri Shaffer purchased 11,881 shares of the business’s stock in a transaction that occurred on Wednesday, August 12th. The stock was purchased at an average price of $12.25 per share, with a total value of $145,542.25. Following the completion of the acquisition, the insider 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 purchase was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Zachary T. Sawtelle acquired 7,000 shares of Compass Diversified stock in a transaction that occurred on Thursday, August 13th. The shares were bought at an average price of $12.45 per share, for a total transaction of $87,150.00. Following the transaction, the insider owned 63,588 shares of the company’s stock, valued at $791,670.60. This represents a 12.37% increase in their position. The SEC filing for this purchase provides additional information. Insiders have acquired 140,995 shares of company stock worth $1,715,498 in the last ninety days. Company insiders own 1.60% of the company’s stock.

Institutional Trading of Compass Diversified

Hedge funds and other institutional investors have recently modified their holdings of the stock. Bank of America Corp DE raised its holdings in shares of Compass Diversified by 77.4% during the 1st quarter. Bank of America Corp DE now owns 1,306,527 shares of the financial services provider’s stock worth $10,269,000 after acquiring an additional 570,003 shares during the period. Saba Capital Management L.P. boosted its position in shares of Compass Diversified by 4.9% during the 1st quarter. Saba Capital Management L.P. now owns 429,259 shares of the financial services provider’s stock valued at $3,374,000 after acquiring an additional 20,000 shares during the last quarter. Y Intercept Hong Kong Ltd boosted its position in shares of Compass Diversified by 13.9% during the 1st quarter. Y Intercept Hong Kong Ltd now owns 364,022 shares of the financial services provider’s stock valued at $2,861,000 after acquiring an additional 44,528 shares during the last quarter. Sei Investments Co. grew its holdings in shares of Compass Diversified by 69.6% in the first quarter. Sei Investments Co. now owns 286,033 shares of the financial services provider’s stock valued at $2,248,000 after purchasing an additional 117,423 shares during the period. Finally, Public Employees Retirement System of Ohio purchased a new stake in shares of Compass Diversified in the second quarter valued at about $1,424,000. 72.73% of the stock is owned by institutional investors and hedge funds.

Compass Diversified Company Profile

Compass Diversified is a holding company that acquires and manages controlling interests in middle-market businesses. Rather than operating as a single-product company, it owns a diversified portfolio of subsidiaries across consumer and industrial markets and provides them with capital, strategic guidance and operational support.

The company’s portfolio has included businesses that develop and sell outdoor and recreational equipment, apparel and accessories, home and wellness products, food and beverage items, and specialty industrial products.