Compass Diversified (NYSE:CODI) Trading Up 17.1% – What’s Next?

Compass Diversified Holdings (NYSE:CODI)’s stock price was up 17.1% during mid-day trading on Monday . The stock traded as high as $7.96 and last traded at $7.8230. Approximately 737,005 shares traded hands during mid-day trading, a decline of 44% from the average daily volume of 1,309,310 shares. The stock had previously closed at $6.68.

Wall Street Analyst Weigh In

A number of equities research analysts recently weighed in on the stock. Raymond James Financial began coverage on shares of Compass Diversified in a research note on Wednesday, March 11th. They set a “hold” rating on the stock. Weiss Ratings reissued a “sell (d)” rating on shares of Compass Diversified in a research note on Friday, December 26th. Compass Point set a $15.00 price target on shares of Compass Diversified in a research note on Tuesday, January 27th. B. Riley Financial decreased their price objective on shares of Compass Diversified from $13.00 to $8.00 and set a “neutral” rating for the company in a report on Tuesday, March 3rd. Finally, Wall Street Zen raised Compass Diversified from a “sell” rating to a “hold” rating in a report on Saturday, March 7th. One equities research analyst has rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $11.50.

Compass Diversified Price Performance

The company has a debt-to-equity ratio of 19.20, a quick ratio of 1.26 and a current ratio of 2.42. The company’s 50 day moving average price is $6.66 and its 200-day moving average price is $6.38. The company has a market cap of $591.09 million, a price-to-earnings ratio of -2.03 and a beta of 1.04.

Compass Diversified (NYSE:CODI) last issued its earnings results on Wednesday, January 14th. The financial services provider reported ($0.98) earnings per share for the quarter, missing analysts’ consensus estimates of $0.61 by ($1.59). Compass Diversified had a positive return on equity of 24.48% and a negative net margin of 12.09%. On average, equities research analysts forecast that Compass Diversified Holdings will post 1.96 earnings per share for the current fiscal year.

Institutional Trading of Compass Diversified

Several hedge funds and other institutional investors have recently modified their holdings of CODI. SG Capital Management LLC purchased a new stake in Compass Diversified in the 4th quarter worth about $7,626,000. CenterBook Partners LP acquired a new position in shares of Compass Diversified during the 4th quarter worth about $6,597,000. Mangrove Partners IM LLC boosted its stake in Compass Diversified by 48.7% during the 3rd quarter. Mangrove Partners IM LLC now owns 3,684,800 shares of the financial services provider’s stock valued at $24,393,000 after purchasing an additional 1,206,524 shares during the period. Western Standard LLC acquired a new stake in Compass Diversified in the 4th quarter valued at approximately $5,592,000. Finally, Healthcare of Ontario Pension Plan Trust Fund bought a new position in Compass Diversified in the 4th quarter worth approximately $4,099,000. Institutional investors and hedge funds own 72.73% of the company’s stock.

About Compass Diversified

Compass Diversified Holdings (NYSE:CODI) is a publicly traded private equity company headquartered in Bethesda, Maryland. The firm specializes in acquiring and managing middle-market businesses across a variety of industries, with a focus on driving operational performance and sustainable growth. As an externally managed entity, Compass Diversified leverages a disciplined investment approach to build a portfolio of market-leading companies that benefit from strategic oversight, capital support and shared best practices.

Compass Diversified’s investment activities span five core sectors: branded consumer, consumer services, differentiated industrial products, value-added distribution and business services.