Reeds (OTCMKTS:REED) Shares Up 7.8% – Should You Buy?

Shares of Reeds, Inc. (OTCMKTS:REED) traded up 7.8% on Monday . The company traded as high as $4.43 and last traded at $4.42. 97,174 shares were traded during mid-day trading, an increase of 206% from the average session volume of 31,724 shares. The stock had previously closed at $4.10.

Analyst Ratings Changes

Separately, Alliance Global Partners upgraded shares of Reeds to a “strong-buy” rating in a report on Monday, December 22nd. One equities research analyst has rated the stock with a Strong Buy rating and one has assigned a Buy rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Strong Buy” and an average target price of $10.50.

Reeds Stock Performance

The company has a 50 day moving average of $2.39 and a 200 day moving average of $4.47. The stock has a market capitalization of $39.54 million, a price-to-earnings ratio of -0.60 and a beta of 0.67.

Hedge Funds Weigh In On Reeds

A hedge fund recently bought a new stake in Reeds stock. Armistice Capital LLC bought a new stake in Reeds, Inc. (OTCMKTS:REED) during the 4th quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor bought 620,000 shares of the company’s stock, valued at approximately $1,302,000. Armistice Capital LLC owned about 6.93% of Reeds at the end of the most recent reporting period. 51.48% of the stock is currently owned by hedge funds and other institutional investors.

About Reeds

Reed’s, Inc is a U.S.-based beverage company specializing in the development, production and distribution of craft soft drinks, mixers and functional beverages that feature real ginger and other natural ingredients. The company’s flagship Reed’s Ginger Brew line includes Original, Extra and Stronger formulations, each brewed using fresh ginger root to deliver a balance of spicy flavor and perceived health benefits. Reed’s also markets a portfolio of craft sodas under the Virgil’s brand, offering varieties such as Root Beer, Craft Cola and Vanilla Cream Soda without artificial sweeteners or preservatives.

Founded in 1989 by Christopher J.