Zacks Research Upgrades Driven Brands (NASDAQ:DRVN) to Hold

Driven Brands (NASDAQ:DRVN) was upgraded by investment analysts at Zacks Research from a “strong sell” rating to a “hold” rating in a note issued to investors on Thursday,Zacks.com reports.

A number of other research analysts have also weighed in on DRVN. BTIG Research reaffirmed a “buy” rating and issued a $21.00 price target on shares of Driven Brands in a research note on Thursday, January 8th. Morgan Stanley reduced their target price on Driven Brands from $20.00 to $17.00 and set an “equal weight” rating for the company in a report on Thursday, January 15th. William Blair upgraded Driven Brands from a “market perform” rating to an “outperform” rating in a research report on Wednesday, December 3rd. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Driven Brands in a research note on Monday, December 29th. Finally, Benchmark reiterated a “buy” rating on shares of Driven Brands in a research report on Wednesday, December 3rd. Five research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $20.00.

Driven Brands Price Performance

Shares of NASDAQ DRVN opened at $10.75 on Thursday. The company has a debt-to-equity ratio of 2.44, a quick ratio of 0.80 and a current ratio of 0.90. The firm has a fifty day moving average of $14.27 and a 200 day moving average of $15.06. The firm has a market cap of $1.77 billion, a PE ratio of -8.67 and a beta of 1.09. Driven Brands has a one year low of $9.80 and a one year high of $19.74.

Driven Brands (NASDAQ:DRVN) last posted its quarterly earnings data on Monday, March 23rd. The company reported $0.30 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.29 by $0.01. The business had revenue of $457.33 million for the quarter, compared to the consensus estimate of $459.50 million. Driven Brands had a negative net margin of 9.14% and a positive return on equity of 25.31%. During the same period last year, the firm posted $0.30 earnings per share. As a group, research analysts predict that Driven Brands will post 0.85 EPS for the current fiscal year.

Insider Buying and Selling

In other Driven Brands news, insider Scott L. O’melia sold 46,875 shares of the firm’s stock in a transaction that occurred on Wednesday, January 21st. The shares were sold at an average price of $16.00, for a total value of $750,000.00. Following the transaction, the insider directly owned 326,944 shares of the company’s stock, valued at $5,231,104. This trade represents a 12.54% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders own 3.50% of the company’s stock.

Institutional Investors Weigh In On Driven Brands

Several hedge funds and other institutional investors have recently made changes to their positions in DRVN. Osaic Holdings Inc. lifted its stake in Driven Brands by 82.1% during the 2nd quarter. Osaic Holdings Inc. now owns 2,087 shares of the company’s stock worth $37,000 after acquiring an additional 941 shares in the last quarter. EverSource Wealth Advisors LLC grew its position in Driven Brands by 744.6% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 2,103 shares of the company’s stock valued at $37,000 after acquiring an additional 1,854 shares in the last quarter. Comerica Bank grew its position in Driven Brands by 328.8% in the 4th quarter. Comerica Bank now owns 2,933 shares of the company’s stock valued at $43,000 after acquiring an additional 2,249 shares in the last quarter. Farther Finance Advisors LLC increased its stake in Driven Brands by 1,113.8% during the third quarter. Farther Finance Advisors LLC now owns 3,338 shares of the company’s stock worth $54,000 after purchasing an additional 3,063 shares during the period. Finally, Larson Financial Group LLC increased its stake in Driven Brands by 1,347.7% during the fourth quarter. Larson Financial Group LLC now owns 3,822 shares of the company’s stock worth $57,000 after purchasing an additional 3,558 shares during the period. Institutional investors and hedge funds own 77.08% of the company’s stock.

More Driven Brands News

Here are the key news stories impacting Driven Brands this week:

• Positive Sentiment: Proposed class-action settlement announced by lead counsel, which may cap some litigation risk and was a likely catalyst for buying interest today. Proposed Settlement Announcement
• Neutral Sentiment: Reported short-interest data appears to show zero reported short shares (likely a data error or reporting lag); days-to-cover reported as 0.0 — this is not meaningful evidence of a large short-squeeze. (Internal reporting entries dated 3/19–3/20.)
• Negative Sentiment: Multiple securities class actions and investor-alerts filed or announced by law firms (Hagens Berman, Rosen, Kessler Topaz, BFA, Bernstein Liebhard, Pomerantz, etc.) alleging pervasive accounting errors and internal control failures covering fiscal years 2023–2025 after the company said its financials can no longer be relied upon. This wave of litigation follows a reported ~39% stock drop tied to the disclosure and creates ongoing legal, financial restatement, and reputational risk. Hagens Berman Notice BFA/BusinessWire Notice

Driven Brands Company Profile

Driven Brands Holdings Inc (NASDAQ: DRVN) is a leading North American provider of automotive aftermarket services, operating through a network of franchised and company-owned locations. The company’s platform encompasses a diverse portfolio of car care and maintenance brands, including Meineke Car Care Centers, Maaco Collision Repair & Auto Painting, Take 5 Oil Change, and Carstar Collision Repair. Driven Brands delivers a full range of services from routine maintenance and oil changes to collision repair, paint protection, and vehicle customization.

Headquartered in Charlotte, North Carolina, Driven Brands serves both individual consumers and commercial clients across the United States and Canada.