Telsey Advisory Group Forecasts Weaker Earnings for Honest

The Honest Company, Inc. (NASDAQ:HNST) – Equities researchers at Telsey Advisory Group cut their FY2025 EPS estimates for shares of Honest in a research note issued to investors on Thursday, November 6th. Telsey Advisory Group analyst D. Telsey now forecasts that the company will earn $0.08 per share for the year, down from their previous forecast of $0.12. Telsey Advisory Group currently has a “Market Perform” rating and a $3.00 target price on the stock. The consensus estimate for Honest’s current full-year earnings is ($0.07) per share. Telsey Advisory Group also issued estimates for Honest’s Q4 2025 earnings at $0.02 EPS and FY2026 earnings at $0.08 EPS.

Several other research analysts also recently commented on the company. Weiss Ratings downgraded Honest from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Saturday, October 25th. Lake Street Capital downgraded shares of Honest from a “buy” rating to a “hold” rating and set a $3.00 price target on the stock. in a report on Thursday. Zacks Research raised shares of Honest from a “hold” rating to a “strong-buy” rating in a research note on Monday, October 6th. B. Riley restated a “buy” rating on shares of Honest in a research note on Thursday. Finally, Morgan Stanley decreased their price target on Honest from $5.50 to $4.25 and set an “equal weight” rating on the stock in a report on Friday, August 15th. One equities research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average price target of $5.96.

Honest Stock Performance

NASDAQ HNST opened at $2.33 on Friday. The business’s fifty day moving average is $3.73 and its 200 day moving average is $4.34. Honest has a fifty-two week low of $2.31 and a fifty-two week high of $8.97. The company has a market capitalization of $259.26 million, a PE ratio of 38.83 and a beta of 2.28.

Honest (NASDAQ:HNST) last released its quarterly earnings results on Wednesday, November 5th. The company reported $0.01 earnings per share for the quarter, topping the consensus estimate of ($0.01) by $0.02. Honest had a net margin of 1.85% and a return on equity of 3.92%. The business had revenue of $92.57 million for the quarter, compared to the consensus estimate of $99.43 million. Honest has set its FY 2025 guidance at EPS.

Institutional Investors Weigh In On Honest

A number of hedge funds have recently bought and sold shares of HNST. Wealth Enhancement Advisory Services LLC grew its stake in shares of Honest by 57.9% in the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 17,757 shares of the company’s stock worth $83,000 after buying an additional 6,513 shares in the last quarter. Bank of New York Mellon Corp grew its position in Honest by 138.2% in the first quarter. Bank of New York Mellon Corp now owns 899,726 shares of the company’s stock worth $4,229,000 after acquiring an additional 522,002 shares in the last quarter. Cerity Partners LLC bought a new stake in Honest during the first quarter worth approximately $90,000. Victory Capital Management Inc. raised its position in Honest by 98.8% during the first quarter. Victory Capital Management Inc. now owns 3,073,471 shares of the company’s stock valued at $14,445,000 after purchasing an additional 1,527,080 shares during the period. Finally, Bailard Inc. bought a new stake in shares of Honest in the 1st quarter valued at approximately $78,000. Hedge funds and other institutional investors own 45.54% of the company’s stock.

Insider Activity

In other Honest news, General Counsel Brendan Sheehey sold 12,059 shares of Honest stock in a transaction that occurred on Wednesday, August 20th. The stock was sold at an average price of $3.65, for a total value of $44,015.35. Following the sale, the general counsel owned 568,588 shares of the company’s stock, valued at $2,075,346.20. The trade was a 2.08% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, insider Stephen Winchell sold 10,841 shares of the stock in a transaction that occurred on Wednesday, August 20th. The shares were sold at an average price of $3.65, for a total value of $39,569.65. Following the transaction, the insider owned 410,257 shares of the company’s stock, valued at $1,497,438.05. This represents a 2.57% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 131,890 shares of company stock worth $481,399 over the last 90 days. Corporate insiders own 8.90% of the company’s stock.

Honest Company Profile

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.