Torrid (NYSE:CURV) Cut to “Sell” at Wall Street Zen

Wall Street Zen lowered shares of Torrid (NYSE:CURV) from a hold rating to a sell rating in a report published on Monday.

A number of other research analysts have also commented on CURV. Telsey Advisory Group dropped their price objective on shares of Torrid from $6.00 to $3.00 and set a “market perform” rating on the stock in a research note on Thursday, August 28th. Morgan Stanley dropped their price objective on shares of Torrid from $2.00 to $1.60 and set an “underweight” rating on the stock in a research note on Thursday, September 18th. BTIG Research restated a “neutral” rating on shares of Torrid in a research note on Friday, September 5th. Bank of America dropped their price objective on shares of Torrid from $7.00 to $6.00 and set a “buy” rating on the stock in a research note on Friday, September 5th. Finally, The Goldman Sachs Group dropped their price objective on shares of Torrid from $2.25 to $1.75 and set a “sell” rating on the stock in a research note on Monday, September 8th. One investment analyst has rated the stock with a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Reduce” and a consensus target price of $3.09.

Torrid Price Performance

Shares of NYSE:CURV opened at $1.87 on Monday. The company’s fifty day moving average price is $2.22 and its 200 day moving average price is $4.02. Torrid has a 12 month low of $1.62 and a 12 month high of $7.19. The firm has a market capitalization of $184.95 million, a P/E ratio of 46.64, a P/E/G ratio of 2.92 and a beta of 1.56.

Torrid (NYSE:CURV) last announced its quarterly earnings results on Thursday, September 4th. The company reported $0.02 EPS for the quarter, missing the consensus estimate of $0.04 by ($0.02). Torrid had a negative return on equity of 1.69% and a net margin of 0.30%.The company had revenue of $262.81 million for the quarter, compared to analyst estimates of $259.38 million. During the same quarter in the prior year, the business earned $0.08 earnings per share. Torrid has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. On average, sell-side analysts anticipate that Torrid will post 0.14 EPS for the current year.

Insider Buying and Selling

In related news, major shareholder Fund 1 Investments, Llc sold 250,000 shares of the business’s stock in a transaction dated Thursday, July 3rd. The shares were sold at an average price of $2.74, for a total transaction of $685,000.00. Following the sale, the insider owned 9,814,856 shares of the company’s stock, valued at approximately $26,892,705.44. The trade was a 2.48% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CFO Paula Dempsey sold 26,000 shares of the business’s stock in a transaction dated Tuesday, September 23rd. The stock was sold at an average price of $1.76, for a total transaction of $45,760.00. Following the sale, the chief financial officer directly owned 145,361 shares in the company, valued at approximately $255,835.36. This represents a 15.17% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 550,792 shares of company stock valued at $1,464,831. Corporate insiders own 5.85% of the company’s stock.

Institutional Trading of Torrid

Several institutional investors and hedge funds have recently modified their holdings of CURV. Bank of America Corp DE lifted its holdings in shares of Torrid by 191.1% in the second quarter. Bank of America Corp DE now owns 1,917,793 shares of the company’s stock valued at $5,657,000 after purchasing an additional 1,258,934 shares in the last quarter. Fund 1 Investments LLC lifted its holdings in shares of Torrid by 12.4% in the second quarter. Fund 1 Investments LLC now owns 10,433,112 shares of the company’s stock valued at $30,778,000 after purchasing an additional 1,150,726 shares in the last quarter. Nomura Holdings Inc. lifted its holdings in shares of Torrid by 19.5% in the first quarter. Nomura Holdings Inc. now owns 3,254,537 shares of the company’s stock valued at $17,835,000 after purchasing an additional 531,713 shares in the last quarter. Hudson Bay Capital Management LP purchased a new stake in shares of Torrid in the second quarter valued at about $1,106,000. Finally, Shay Capital LLC lifted its stake in shares of Torrid by 40.4% during the second quarter. Shay Capital LLC now owns 434,359 shares of the company’s stock valued at $1,281,000 after buying an additional 125,000 shares during the period. Hedge funds and other institutional investors own 81.82% of the company’s stock.

About Torrid

Torrid Holdings Inc operates in women’s plus-size apparel and intimates market in North America. The company designs, develops, and merchandises its products under the Torrid, Torrid Curve, CURV, and Lovesick brand names. It is involved in the sale of tops, bottoms, dresses, denims, activewear, intimates, sleep wear, swim wear, and outerwear products; and non-apparel products comprising accessories, footwear, and beauty products.