Kornit Digital (NASDAQ:KRNT) Rating Lowered to Sell at Wall Street Zen

Kornit Digital (NASDAQ:KRNT) was downgraded by stock analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a note issued to investors on Saturday.

A number of other research analysts have also weighed in on the stock. Weiss Ratings reissued a “sell (d-)” rating on shares of Kornit Digital in a research report on Friday, December 26th. Needham & Company LLC reaffirmed a “buy” rating and issued a $20.00 target price on shares of Kornit Digital in a research report on Wednesday. Barclays cut their price target on shares of Kornit Digital from $22.00 to $18.00 and set an “equal weight” rating for the company in a research note on Thursday, November 6th. Cantor Fitzgerald reduced their target price on shares of Kornit Digital from $28.50 to $26.00 and set an “overweight” rating on the stock in a research note on Thursday, November 6th. Finally, Morgan Stanley reissued a “positive” rating and issued a $17.00 target price on shares of Kornit Digital in a report on Wednesday. Three research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, Kornit Digital presently has a consensus rating of “Hold” and an average target price of $20.25.

Kornit Digital Stock Down 1.7%

KRNT stock opened at $15.97 on Friday. The company has a 50 day moving average of $14.29 and a two-hundred day moving average of $14.40. The company has a market cap of $715.30 million, a price-to-earnings ratio of -51.51 and a beta of 1.87. Kornit Digital has a 12-month low of $11.93 and a 12-month high of $29.12.

Kornit Digital (NASDAQ:KRNT) last announced its quarterly earnings results on Wednesday, February 11th. The industrial products company reported $0.18 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.14 by $0.04. The business had revenue of $58.86 million during the quarter, compared to analyst estimates of $58.16 million. Kornit Digital had a negative return on equity of 1.07% and a negative net margin of 6.49%.The firm’s revenue was down 3.0% on a year-over-year basis. During the same period in the previous year, the company earned $0.18 EPS. On average, research analysts anticipate that Kornit Digital will post -0.2 EPS for the current year.

Kornit Digital declared that its board has authorized a stock repurchase plan on Monday, November 17th that authorizes the company to repurchase $100.00 million in outstanding shares. This repurchase authorization authorizes the industrial products company to buy up to 17.2% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company’s management believes its stock is undervalued.

Hedge Funds Weigh In On Kornit Digital

Institutional investors and hedge funds have recently made changes to their positions in the company. Senvest Management LLC boosted its holdings in shares of Kornit Digital by 4.1% in the fourth quarter. Senvest Management LLC now owns 4,141,355 shares of the industrial products company’s stock valued at $59,553,000 after buying an additional 162,100 shares during the period. Morgan Stanley lifted its position in Kornit Digital by 26.5% in the 4th quarter. Morgan Stanley now owns 3,998,548 shares of the industrial products company’s stock valued at $57,499,000 after acquiring an additional 838,814 shares in the last quarter. Hood River Capital Management LLC boosted its stake in Kornit Digital by 39.1% in the 2nd quarter. Hood River Capital Management LLC now owns 2,182,569 shares of the industrial products company’s stock worth $43,455,000 after purchasing an additional 613,070 shares during the period. Granahan Investment Management LLC increased its holdings in Kornit Digital by 6.9% during the 3rd quarter. Granahan Investment Management LLC now owns 1,955,150 shares of the industrial products company’s stock worth $26,395,000 after purchasing an additional 125,719 shares in the last quarter. Finally, Baillie Gifford & Co. raised its stake in shares of Kornit Digital by 61.7% in the 4th quarter. Baillie Gifford & Co. now owns 1,565,079 shares of the industrial products company’s stock valued at $22,506,000 after purchasing an additional 597,128 shares during the period. Institutional investors and hedge funds own 92.76% of the company’s stock.

About Kornit Digital

Kornit Digital Ltd. (NASDAQ: KRNT) is a global technology company specializing in digital textile printing solutions. Headquartered in Rosh Ha’Ayin, Israel, Kornit develops and manufactures an integrated ecosystem of industrial inkjet printers, proprietary NeoPigment inks and pretreatment systems. Its product portfolio addresses a range of applications including direct-to-garment, direct-to-fabric, digital embellishment and hybrid manufacturing, enabling businesses to produce custom apparel, sportswear, fashion and home textiles on demand.

The company’s flagship offerings include the Avalanche and Atlas series for high-volume production, as well as the Storm and Helix lines designed for mid-to-large scale operations.