BellRing Brands (NYSE:BRBR) Sets New 1-Year Low on Disappointing Earnings

Shares of BellRing Brands Inc. (NYSE:BRBR) hit a new 52-week low during trading on Tuesday after the company announced weaker than expected quarterly earnings. The stock traded as low as $25.40 and last traded at $25.5890, with a volume of 6107867 shares traded. The stock had previously closed at $26.96.

The company reported $0.51 earnings per share for the quarter, missing the consensus estimate of $0.54 by ($0.03). The firm had revenue of $648.20 million during the quarter, compared to analysts’ expectations of $633.21 million. BellRing Brands had a negative return on equity of 95.87% and a net margin of 9.33%.BellRing Brands’s revenue for the quarter was up 16.6% on a year-over-year basis. During the same period in the previous year, the company earned $0.51 earnings per share. BellRing Brands has set its FY 2026 guidance at EPS.

BellRing Brands declared that its Board of Directors has initiated a stock buyback program on Tuesday, September 2nd that allows the company to repurchase $400.00 million in shares. This repurchase authorization allows the company to repurchase up to 7.7% of its stock through open market purchases. Stock repurchase programs are often an indication that the company’s board of directors believes its shares are undervalued.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on the stock. Jefferies Financial Group reissued a “buy” rating and set a $48.00 price objective on shares of BellRing Brands in a research note on Wednesday. Bank of America reissued a “neutral” rating and issued a $28.00 target price (down from $50.00) on shares of BellRing Brands in a research note on Wednesday. Weiss Ratings reaffirmed a “hold (c)” rating on shares of BellRing Brands in a research report on Wednesday, October 8th. Truist Financial cut their price objective on shares of BellRing Brands from $60.00 to $40.00 and set a “hold” rating on the stock in a research report on Wednesday, August 6th. Finally, Mizuho reduced their price objective on shares of BellRing Brands from $75.00 to $45.00 and set an “outperform” rating for the company in a research note on Monday, August 18th. Eleven research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $44.53.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the stock. Maseco LLP purchased a new stake in BellRing Brands in the second quarter worth approximately $25,000. Farther Finance Advisors LLC raised its stake in BellRing Brands by 132.6% during the 3rd quarter. Farther Finance Advisors LLC now owns 735 shares of the company’s stock valued at $27,000 after buying an additional 419 shares during the last quarter. Danske Bank A S bought a new position in shares of BellRing Brands during the 3rd quarter valued at $29,000. TCTC Holdings LLC boosted its stake in shares of BellRing Brands by 87.6% in the 1st quarter. TCTC Holdings LLC now owns 407 shares of the company’s stock worth $30,000 after buying an additional 190 shares during the last quarter. Finally, Pilgrim Partners Asia Pte Ltd bought a new stake in shares of BellRing Brands in the third quarter worth $35,000. 94.97% of the stock is owned by hedge funds and other institutional investors.

BellRing Brands Stock Up 11.5%

The company has a market cap of $3.69 billion, a P/E ratio of 17.43, a price-to-earnings-growth ratio of 1.53 and a beta of 0.70. The company has a fifty day moving average of $33.02 and a 200 day moving average of $46.65.

About BellRing Brands

BellRing Brands, Inc, together with its subsidiaries, provides various nutrition products in the United States. The company offers ready-to-drink (RTD) protein shakes, other RTD beverages, powders, nutrition bars, and other products primarily under the Premier Protein and Dymatize brands. It distributes its products through club, food, drug, mass, eCommerce, specialty, and convenience channels.