Compass Diversified (NYSE:CODI) Insider Zachary Sawtelle Buys 25,000 Shares of Stock

Compass Diversified Holdings (NYSE:CODI) insider Zachary Sawtelle purchased 25,000 shares of the firm’s stock in a transaction on Wednesday, August 12th. The stock was bought at an average price of $11.99 per share, for a total transaction of $299,750.00. Following the completion of the transaction, the insider directly owned 56,588 shares in the company, valued at approximately $678,490.12. The trade was a 79.14% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink.

Compass Diversified Stock Performance

NYSE:CODI opened at $12.28 on Friday. The firm’s 50-day moving average is $10.44 and its 200-day moving average is $9.41. The company has a market cap of $923.57 million, a price-to-earnings ratio of -5.66 and a beta of 1.27. The company has a debt-to-equity ratio of 34.60, a quick ratio of 1.56 and a current ratio of 2.67. Compass Diversified Holdings has a 52-week low of $4.58 and a 52-week high of $13.24.

Compass Diversified (NYSE:CODI) last released its earnings results on Monday, August 10th. The financial services provider reported ($0.09) earnings per share for the quarter. Compass Diversified had a negative net margin of 5.38% and a negative return on equity of 9.53%. The company had revenue of $424.04 million during the quarter. Equities research analysts anticipate that Compass Diversified Holdings will post 0.22 earnings per share for the current year.

Institutional Investors Weigh In On Compass Diversified

Several large investors have recently modified their holdings of the stock. Western Standard LLC bought a new position in shares of Compass Diversified in the fourth quarter valued at approximately $5,592,000. Sei Investments Co. boosted its holdings in shares of Compass Diversified by 69.6% in the 1st quarter. Sei Investments Co. now owns 286,033 shares of the financial services provider’s stock worth $2,248,000 after acquiring an additional 117,423 shares in the last quarter. Oak Family Advisors LLC bought a new stake in Compass Diversified during the 1st quarter worth approximately $1,372,000. North Star Investment Management Corp. grew its position in Compass Diversified by 20,678.0% during the 1st quarter. North Star Investment Management Corp. now owns 61,295 shares of the financial services provider’s stock worth $482,000 after acquiring an additional 61,000 shares during the last quarter. Finally, CenterBook Partners LP acquired a new stake in Compass Diversified during the 4th quarter valued at $6,597,000. 72.73% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

Several analysts have recently weighed in on the company. Weiss Ratings reissued a “sell (d-)” rating on shares of Compass Diversified in a report on Friday, July 17th. B. Riley Financial upgraded Compass Diversified from a “neutral” rating to a “buy” rating and upped their target price for the company from $11.00 to $15.00 in a research note on Tuesday. TD Cowen raised their target price on Compass Diversified from $12.50 to $18.00 and gave the stock a “buy” rating in a research report on Tuesday. Finally, UBS Group set a $18.00 price target on shares of Compass Diversified in a research note on Tuesday. Three equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Hold” and an average target price of $16.50.

Trending Headlines about Compass Diversified

Here are the key news stories impacting Compass Diversified this week:

• Positive Sentiment: Analyst upgrade: B. Riley Financial upgraded Compass Diversified to “Buy,” providing a fresh bullish catalyst and contributing to the stock reaching a new 12-month high. B. Riley Financial Upgrades Compass Diversified to Buy
• Positive Sentiment: Cluster of insider purchases: Zachary T. Sawtelle bought 25,000 shares for approximately $299,750 on August 12 and another 7,000 shares for $87,150 on August 13. Stephen Keller also purchased 10,000 shares for about $120,100. The purchases increased their respective holdings by roughly 79%, 12%, and 24%, suggesting management insiders view the stock as attractively valued or have confidence in the company’s prospects. SEC insider ownership filing
• Positive Sentiment: Cost-reduction opportunity: A renegotiated management-fee agreement is expected to reduce costs, strengthening the investment case for value-focused and contrarian investors despite past problems at one portfolio company. A Small-Cap Comeback Story
• Neutral Sentiment: Elevated options activity: Unusually high options trading indicates increased investor interest and potentially higher near-term volatility, but it does not establish a clear bullish or bearish direction. Compass Diversified Target of Unusually High Options Trading
• Negative Sentiment: Execution and earnings risks remain: Compass Diversified has faced a fraud scandal involving an investment, while its latest reported quarter included a loss per share and negative net margin. These issues could limit upside if the turnaround falters.

Compass Diversified Company Profile

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.