Honest (NASDAQ:HNST) Stock Keeps “Buy” Rating at B. Riley Financial

Honest (NASDAQ:HNST)‘s stock had its “buy” rating reissued by equities researchers at B. Riley Financial in a report released on Friday, Benzinga reports. They presently have a $5.50 price target on the stock, up from their previous price target of $5.00. B. Riley Financial‘s price objective points to a potential upside of 15.86% from the company’s previous close.

A number of other research firms also recently commented on HNST. Wall Street Zen raised shares of Honest from a “hold” rating to a “buy” rating in a research report on Saturday, August 8th. Northland Securities set a $5.50 price target on shares of Honest in a report on Thursday, August 6th. Alliance Global Partners reaffirmed a “buy” rating on shares of Honest in a research report on Thursday, August 6th. Telsey Advisory Group upped their price target on shares of Honest from $4.00 to $5.00 and gave the stock a “market perform” rating in a research report on Thursday, August 6th. Finally, Freedom Capital upgraded shares of Honest from a “hold” rating to a “strong-buy” rating in a research note on Thursday, August 6th. One analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, three have assigned a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, Honest currently has an average rating of “Hold” and a consensus target price of $5.42.

Honest Trading Up 6.9%

Shares of Honest stock traded up $0.31 during trading on Friday, hitting $4.75. 1,646,796 shares of the stock traded hands, compared to its average volume of 1,910,465. The firm has a market cap of $522.55 million, a P/E ratio of -42.72 and a beta of 2.48. Honest has a 52-week low of $2.07 and a 52-week high of $6.01. The stock’s fifty day simple moving average is $5.14 and its 200 day simple moving average is $3.81.

Honest (NASDAQ:HNST) last released its quarterly earnings data on Thursday, November 5th. The company reported $0.03 earnings per share for the quarter. Honest had a positive return on equity of 4.31% and a negative net margin of 3.56%. The firm had revenue of $84.61 million during the quarter, compared to the consensus estimate of $80.79 million. As a group, equities analysts expect that Honest will post 0.05 EPS for the current year.

Insider Transactions at Honest

In other news, SVP Jonathan Mayle sold 79,000 shares of the business’s stock in a transaction on Monday, August 10th. The stock was sold at an average price of $5.22, for a total value of $412,380.00. Following the completion of the transaction, the senior vice president directly owned 370,155 shares of the company’s stock, valued at approximately $1,932,209.10. The trade was a 17.59% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Carla Vernón sold 117,893 shares of the company’s stock in a transaction on Thursday, August 20th. The stock was sold at an average price of $4.99, for a total value of $588,286.07. Following the sale, the chief executive officer owned 3,828,558 shares of the company’s stock, valued at $19,104,504.42. This trade represents a 2.99% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 294,149 shares of company stock worth $1,503,306. Company insiders own 9.40% of the company’s stock.

Institutional Trading of Honest

Hedge funds have recently modified their holdings of the company. BlackRock Inc. bought a new stake in shares of Honest in the 2nd quarter valued at about $25,662,000. Green Alpha Advisors LLC purchased a new position in shares of Honest in the 2nd quarter worth approximately $1,092,000. Bank of America Corp DE purchased a new position in shares of Honest in the 2nd quarter worth approximately $715,000. State of Wyoming grew its position in shares of Honest by 488.4% in the 3rd quarter. State of Wyoming now owns 120,765 shares of the company’s stock worth $620,000 after buying an additional 100,241 shares during the last quarter. Finally, Deutsche Bank AG bought a new position in shares of Honest during the 2nd quarter worth approximately $328,000. 45.54% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Honest

Here are the key news stories impacting Honest this week:

• Positive Sentiment: Q3 revenue of $84.6 million and earnings per share of $0.03 exceeded analyst expectations of $80.8 million and $0.02, respectively. Organic revenue grew 9.2%, while gross margin rose 770 basis points to 45.0%. The Honest Company Reports Third Quarter 2026 Results
• Positive Sentiment: Honest raised its 2026 adjusted EBITDA outlook to $25 million–$26 million, reflecting confidence in continued profitability and operating progress. Honest raises FY 2026 outlook
• Positive Sentiment: The company authorized a new $30 million share repurchase program, which may signal management confidence and provide support for the shares. Honest announces an equity buyback
• Neutral Sentiment: Full-year 2026 revenue guidance of $322 million–$325 million is broadly in line with the $322.5 million consensus estimate. Q3 earnings call highlights
• Negative Sentiment: Despite organic growth, reported Q3 revenue declined 8.6% year over year, a reminder that the company’s overall sales performance remains uneven. The Honest Company Reports Third Quarter 2026 Results

About Honest

The Honest Company, Inc is a consumer products company that develops and sells personal care, beauty, baby, and household products. Its offerings include diapers, wipes, baby care items, skin care, hair care, personal care products, and household cleaning solutions, with an emphasis on ingredient transparency and products positioned as safer and more sustainable alternatives.

Founded in 2011 by actress and entrepreneur Jessica Alba, Honest sells its products through its website and retail partners.