The Honest Company, Inc. (NASDAQ:HNST) Sees Significant Growth in Short Interest

The Honest Company, Inc. (NASDAQ:HNST) saw a significant growth in short interest in the month of December. As of December 31st, there was short interest totalling 3,540,000 shares, a growth of 37.2% from the December 15th total of 2,580,000 shares. Based on an average daily volume of 3,330,000 shares, the short-interest ratio is presently 1.1 days. Approximately 4.9% of the shares of the company are sold short.

Honest Price Performance

Shares of HNST opened at $6.31 on Thursday. The stock has a 50 day moving average price of $6.91 and a two-hundred day moving average price of $4.85. Honest has a 52 week low of $2.40 and a 52 week high of $8.97.

Insider Activity

In other Honest news, Director Jessica Warren sold 465,000 shares of the firm’s stock in a transaction dated Tuesday, December 10th. The shares were sold at an average price of $7.55, for a total value of $3,510,750.00. Following the completion of the transaction, the director now directly owns 1,170,058 shares in the company, valued at $8,833,937.90. This trade represents a 28.44 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, General Counsel Brendan Sheehey sold 107,653 shares of the company’s stock in a transaction on Monday, November 18th. The shares were sold at an average price of $7.01, for a total value of $754,647.53. Following the transaction, the general counsel now directly owns 517,861 shares in the company, valued at $3,630,205.61. The trade was a 17.21 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 799,818 shares of company stock valued at $5,975,421. Company insiders own 8.60% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. Zacks Investment Management purchased a new position in Honest in the 3rd quarter worth approximately $37,000. Creative Planning purchased a new position in shares of Honest during the third quarter valued at approximately $39,000. Wealth Enhancement Advisory Services LLC bought a new stake in Honest in the third quarter worth $40,000. Castleview Partners LLC bought a new stake in Honest during the 3rd quarter valued at about $71,000. Finally, US Bancorp DE purchased a new position in Honest in the 3rd quarter worth approximately $78,000. 45.54% of the stock is owned by institutional investors.

Analyst Ratings Changes

A number of brokerages recently weighed in on HNST. Alliance Global Partners raised their price objective on Honest from $5.75 to $8.00 and gave the company a “buy” rating in a research note on Wednesday, November 13th. Loop Capital downgraded Honest from a “buy” rating to a “hold” rating and set a $7.00 price objective on the stock. in a report on Tuesday, December 17th. Northland Securities increased their target price on shares of Honest from $7.50 to $9.50 and gave the stock an “outperform” rating in a research report on Wednesday, December 4th. Telsey Advisory Group increased their target price on Honest from $6.00 to $7.00 and gave the stock a “market perform” rating in a report on Friday, January 10th. Finally, B. Riley boosted their price objective on shares of Honest from $6.50 to $7.00 and gave the stock a “buy” rating in a research report on Wednesday, November 13th. Three equities research analysts have rated the stock with a hold rating, four have issued a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $6.93.

About Honest

The Honest Company, Inc manufactures and sells diapers and wipes, skin and personal care, and household and wellness products. The company also offers baby clothing and nursery bedding products. It sells its products through digital and retail sales channels, such as its website and third-party ecommerce sites, as well as brick and mortar retailers.