Driven Brands (NASDAQ:DRVN) Shares Up 8.5% – What’s Next?

Shares of Driven Brands Holdings Inc. (NASDAQ:DRVN) shot up 8.5% on Tuesday . The stock traded as high as $15.93 and last traded at $15.4630. 240,889 shares traded hands during mid-day trading, a decline of 70% from the average session volume of 799,555 shares. The stock had previously closed at $14.25.

Analysts Set New Price Targets

Several research firms have weighed in on DRVN. Wall Street Zen cut Driven Brands from a “buy” rating to a “hold” rating in a research report on Saturday, August 9th. BTIG Research cut their price objective on Driven Brands from $22.00 to $21.00 and set a “buy” rating on the stock in a research report on Tuesday. Canaccord Genuity Group reissued a “buy” rating and issued a $24.00 price objective on shares of Driven Brands in a research report on Thursday, September 18th. JPMorgan Chase & Co. raised Driven Brands from a “neutral” rating to an “overweight” rating and boosted their price objective for the stock from $17.00 to $23.00 in a research report on Wednesday, August 6th. Finally, Piper Sandler cut their price objective on Driven Brands from $22.00 to $19.00 and set an “overweight” rating on the stock in a research report on Friday, October 24th. Six research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $21.33.

Driven Brands Price Performance

The firm has a market capitalization of $2.53 billion, a P/E ratio of -9.09, a price-to-earnings-growth ratio of 0.86 and a beta of 1.05. The company has a debt-to-equity ratio of 2.82, a quick ratio of 1.01 and a current ratio of 1.11. The business has a 50 day simple moving average of $16.55 and a two-hundred day simple moving average of $17.07.

Driven Brands (NASDAQ:DRVN) last announced its earnings results on Wednesday, March 12th. The company reported $0.30 earnings per share for the quarter. The business had revenue of $564.12 million for the quarter. Driven Brands had a positive return on equity of 21.17% and a negative net margin of 12.32%. On average, sell-side analysts expect that Driven Brands Holdings Inc. will post 0.85 EPS for the current fiscal year.

Insider Activity

In other news, Director Jonathan G. Fitzpatrick sold 110,000 shares of the company’s stock in a transaction dated Monday, September 15th. The stock was sold at an average price of $18.05, for a total value of $1,985,500.00. Following the completion of the transaction, the director directly owned 2,279,453 shares in the company, valued at approximately $41,144,126.65. This represents a 4.60% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 2.30% of the company’s stock.

Hedge Funds Weigh In On Driven Brands

Hedge funds and other institutional investors have recently modified their holdings of the company. Principal Financial Group Inc. purchased a new position in shares of Driven Brands in the 1st quarter worth about $2,850,000. Northern Trust Corp raised its position in Driven Brands by 5.4% during the 1st quarter. Northern Trust Corp now owns 609,645 shares of the company’s stock valued at $10,449,000 after purchasing an additional 31,430 shares during the last quarter. Informed Momentum Co LLC bought a new position in Driven Brands during the 1st quarter valued at approximately $3,444,000. Russell Investments Group Ltd. raised its position in Driven Brands by 11.7% during the 1st quarter. Russell Investments Group Ltd. now owns 191,435 shares of the company’s stock valued at $3,281,000 after purchasing an additional 20,044 shares during the last quarter. Finally, Covey Capital Advisors LLC bought a new position in Driven Brands during the 1st quarter valued at approximately $647,000. 77.08% of the stock is currently owned by hedge funds and other institutional investors.

About Driven Brands

Driven Brands Holdings Inc, together with its subsidiaries, provides automotive services to retail and commercial customers in the United States, Canada, and internationally. It offers various services, such as paint, collision, glass, repair, car wash, oil change, and maintenance services. The company also distributes automotive parts, including radiators, air conditioning components, and exhaust products to automotive repair shops, auto parts stores, body shops, and other auto repair outlets; windshields and glass accessories through a network of distribution centers; and consumable products, such as oil filters and wiper blades, as well as training services to repair and maintenance, and paint and collision shops.