Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

Jessica Alba's The Honest Company Gains As Loop Rates It Buy

Published 07/16/2021, 11:34 AM
Updated 07/16/2021, 11:36 AM
© Reuters.

By Dhirendra Tripathi

Investing.com – The Honest Company (NASDAQ:HNST) stock rose 2% Friday on getting an upgrade to buy from Loop Capital.

Analyst Laura Champine maintained her price target for the stock at $17, which means an upside of 13% even after the latest rise.

Loop sees a buying opportunity for investors with shares of the Jessica Alba-founded company down 20% in the last four weeks.

". . .we think potential destocking pressures in Q2 are more than adequately priced in at the current valuation of approximately 3x 2022 sales. Management has recently maintained that retail demand is strong, and any destocking-related weakness in Q2 should be made up in H2," Champine said in her note, according to StreetInsider.

According to the analyst, inventories at the retailers are down as a constrained supply chain and logistics providers struggle with surging demand.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.