Freshpet (NASDAQ:FRPT) Shares Gap Up After Better-Than-Expected Earnings

Freshpet, Inc. (NASDAQ:FRPT) gapped up before the market opened on Monday following a stronger than expected earnings report. The stock had previously closed at $65.85, but opened at $76.41. Freshpet shares last traded at $70.70, with a volume of 671,428 shares trading hands.

The company reported $0.33 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.12 by $0.21. The company had revenue of $264.69 million for the quarter, compared to the consensus estimate of $269.75 million. Freshpet had a net margin of 1.54% and a return on equity of 3.16%. Freshpet’s revenue for the quarter was up 12.5% on a year-over-year basis. During the same period last year, the firm posted ($0.03) EPS.

Analysts Set New Price Targets

FRPT has been the topic of several analyst reports. Stifel Nicolaus set a $90.00 target price on shares of Freshpet and gave the company a “buy” rating in a report on Thursday, June 12th. UBS Group initiated coverage on shares of Freshpet in a report on Monday, June 16th. They issued a “sell” rating and a $65.00 target price on the stock. Robert W. Baird lowered their target price on shares of Freshpet from $125.00 to $115.00 and set an “outperform” rating on the stock in a report on Tuesday, May 6th. Wells Fargo & Company lowered their target price on shares of Freshpet from $100.00 to $88.00 and set an “overweight” rating on the stock in a report on Wednesday, July 9th. Finally, Benchmark lowered their target price on shares of Freshpet from $140.00 to $120.00 and set a “buy” rating on the stock in a report on Tuesday, May 6th. Two research analysts have rated the stock with a sell rating, five have given a hold rating and eight have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $119.14.

Institutional Trading of Freshpet

Institutional investors have recently added to or reduced their stakes in the stock. Savoir Faire Capital Management L.P. raised its position in Freshpet by 56.5% during the second quarter. Savoir Faire Capital Management L.P. now owns 48,184 shares of the company’s stock worth $3,275,000 after acquiring an additional 17,405 shares during the last quarter. Atria Investments Inc raised its position in Freshpet by 31.0% during the second quarter. Atria Investments Inc now owns 6,641 shares of the company’s stock worth $451,000 after acquiring an additional 1,570 shares during the last quarter. Emerald Advisers LLC raised its position in Freshpet by 2.3% during the second quarter. Emerald Advisers LLC now owns 521,175 shares of the company’s stock worth $35,419,000 after acquiring an additional 11,727 shares during the last quarter. AustralianSuper Pty Ltd acquired a new position in Freshpet during the second quarter worth about $30,225,000. Finally, Teacher Retirement System of Texas raised its position in Freshpet by 4.3% during the second quarter. Teacher Retirement System of Texas now owns 7,028 shares of the company’s stock worth $478,000 after acquiring an additional 288 shares during the last quarter.

Freshpet Trading Up 6.3%

The company has a debt-to-equity ratio of 0.41, a current ratio of 4.91 and a quick ratio of 3.92. The company has a market cap of $3.41 billion, a price-to-earnings ratio of 225.77, a PEG ratio of 1.31 and a beta of 1.77. The business’s 50-day simple moving average is $73.07 and its 200-day simple moving average is $90.81.

Freshpet Company Profile

Freshpet, Inc, together with its subsidiaries, manufactures, distributes, and markets natural fresh meals and treats for dogs and cats in the United States, Canada, and Europe. It sells dog food, cat food, and dog treats under the Freshpet brand name; and Dognation and Dog Joy labels through various classes of retail, including grocery, mass, club, pet specialty, and natural, as well as online.