Short Interest in Rocky Mountain Chocolate Factory, Inc. (NASDAQ:RMCF) Expands By 78.5%

Rocky Mountain Chocolate Factory, Inc. (NASDAQ:RMCF) was the recipient of a significant increase in short interest during the month of July. As of July 15th, there was short interest totaling 83,431 shares, an increase of 78.5% from the June 30th total of 46,733 shares. Based on an average daily trading volume, of 78,338 shares, the short-interest ratio is presently 1.1 days. Currently, 1.2% of the company’s shares are sold short.

Insider Transactions at Rocky Mountain Chocolate Factory

In related news, major shareholder Heritage Railways In American sold 50,000 shares of the stock in a transaction that occurred on Monday, May 4th. The shares were sold at an average price of $2.45, for a total value of $122,500.00. Following the sale, the insider directly owned 860,000 shares in the company, valued at $2,107,000. This trade represents a 5.49% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, major shareholder Allen C. Harper sold 50,000 shares of the stock in a transaction that occurred on Monday, May 4th. The shares were sold at an average price of $2.45, for a total transaction of $122,500.00. Following the completion of the sale, the insider owned 860,000 shares in the company, valued at $2,107,000. This represents a 5.49% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 25.18% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Rocky Mountain Chocolate Factory

Institutional investors and hedge funds have recently modified their holdings of the business. Thompson Davis & CO. Inc. bought a new stake in Rocky Mountain Chocolate Factory during the 1st quarter worth approximately $215,000. DRW Securities LLC bought a new position in Rocky Mountain Chocolate Factory in the fourth quarter valued at approximately $235,000. Dimensional Fund Advisors LP lifted its stake in Rocky Mountain Chocolate Factory by 12.6% in the first quarter. Dimensional Fund Advisors LP now owns 94,756 shares of the company’s stock valued at $213,000 after buying an additional 10,572 shares in the last quarter. Finally, American Capital Advisory LLC boosted its holdings in shares of Rocky Mountain Chocolate Factory by 90.6% in the first quarter. American Capital Advisory LLC now owns 134,867 shares of the company’s stock valued at $303,000 after buying an additional 64,108 shares during the period. 50.27% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Separately, Weiss Ratings cut shares of Rocky Mountain Chocolate Factory from a “sell (d-)” rating to a “sell (e+)” rating in a report on Tuesday, July 21st. One research analyst has rated the stock with a Sell rating, Based on data from MarketBeat.com, Rocky Mountain Chocolate Factory currently has an average rating of “Sell”.

Rocky Mountain Chocolate Factory Stock Performance

RMCF stock opened at $0.84 on Friday. The business’s 50-day moving average price is $1.32 and its two-hundred day moving average price is $1.99. The company has a current ratio of 1.13, a quick ratio of 0.65 and a debt-to-equity ratio of 1.59. The firm has a market cap of $7.93 million, a PE ratio of -1.38 and a beta of 0.70. Rocky Mountain Chocolate Factory has a 1-year low of $0.84 and a 1-year high of $2.99.

Rocky Mountain Chocolate Factory (NASDAQ:RMCF) last posted its earnings results on Tuesday, July 14th. The company reported ($0.12) earnings per share (EPS) for the quarter. Rocky Mountain Chocolate Factory had a negative net margin of 19.84% and a negative return on equity of 100.52%. The business had revenue of $6.11 million during the quarter.

Rocky Mountain Chocolate Factory Company Profile

Rocky Mountain Chocolate Factory, Inc is a specialty chocolate confectionery franchisor and manufacturer headquartered in Durango, Colorado. Established in 1981, the company develops, produces and markets a range of premium chocolate products, including truffles, caramels, toffees, fudge, nuts, dipped fruits and caramel apples. It operates company-owned retail stores as well as a franchised network, supplying handcrafted confections and related gift items through more than 300 retail locations across North America and select international markets.

From its origins as a single store in downtown Durango, Rocky Mountain Chocolate Factory introduced its first franchised outlets in the mid-1980s and completed a public offering in 1985.