Chefs’ Warehouse (NASDAQ:CHEF) Sees Strong Trading Volume – What’s Next?

Shares of The Chefs’ Warehouse, Inc. (NASDAQ:CHEF) saw unusually-high trading volume on Thursday . Approximately 1,532,790 shares were traded during mid-day trading, an increase of 222% from the previous session’s volume of 475,429 shares.The stock last traded at $99.22 and had previously closed at $97.71.

Analyst Ratings Changes

Several research firms have weighed in on CHEF. Weiss Ratings lowered Chefs’ Warehouse from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Friday, May 1st. TD Cowen initiated coverage on Chefs’ Warehouse in a research report on Tuesday, July 7th. They set a “buy” rating and a $110.00 target price for the company. Wall Street Zen cut Chefs’ Warehouse from a “buy” rating to a “hold” rating in a research note on Monday, June 29th. BTIG Research increased their price target on shares of Chefs’ Warehouse from $82.00 to $100.00 and gave the company a “buy” rating in a research report on Thursday, June 11th. Finally, Zacks Research lowered shares of Chefs’ Warehouse from a “strong-buy” rating to a “hold” rating in a research note on Monday, June 29th. Four investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $91.86.

Chefs’ Warehouse Stock Performance

The firm has a market cap of $4.10 billion, a P/E ratio of 55.80 and a beta of 1.39. The company has a debt-to-equity ratio of 1.18, a quick ratio of 1.33 and a current ratio of 2.18. The stock’s 50-day moving average is $87.13 and its 200 day moving average is $72.43.

Chefs’ Warehouse (NASDAQ:CHEF) last posted its earnings results on Wednesday, April 29th. The company reported $0.40 earnings per share for the quarter, topping the consensus estimate of $0.23 by $0.17. Chefs’ Warehouse had a return on equity of 15.54% and a net margin of 1.87%.The firm had revenue of $1.06 billion for the quarter, compared to analyst estimates of $1.01 billion. During the same period in the previous year, the company posted $0.25 earnings per share. The company’s revenue for the quarter was up 11.4% on a year-over-year basis. On average, research analysts predict that The Chefs’ Warehouse, Inc. will post 2.31 earnings per share for the current year.

Insider Transactions at Chefs’ Warehouse

In related news, insider Christina Polychroni sold 4,500 shares of the stock in a transaction that occurred on Tuesday, May 19th. The stock was sold at an average price of $79.21, for a total transaction of $356,445.00. Following the completion of the sale, the insider directly owned 24,642 shares of the company’s stock, valued at approximately $1,951,892.82. This represents a 15.44% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Christopher Pappas sold 125,000 shares of the firm’s stock in a transaction that occurred on Tuesday, May 5th. The stock was sold at an average price of $78.00, for a total transaction of $9,750,000.00. Following the sale, the chief executive officer owned 2,189,453 shares in the company, valued at $170,777,334. This trade represents a 5.40% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 11.10% of the company’s stock.

Institutional Investors Weigh In On Chefs’ Warehouse

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Hantz Financial Services Inc. lifted its position in Chefs’ Warehouse by 229.5% in the 4th quarter. Hantz Financial Services Inc. now owns 458 shares of the company’s stock valued at $29,000 after acquiring an additional 319 shares in the last quarter. Global Retirement Partners LLC bought a new position in Chefs’ Warehouse during the 4th quarter worth about $31,000. Caitong International Asset Management Co. Ltd increased its holdings in Chefs’ Warehouse by 515.3% during the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 523 shares of the company’s stock worth $31,000 after purchasing an additional 438 shares in the last quarter. Osaic Holdings Inc. raised its stake in shares of Chefs’ Warehouse by 30.7% in the 2nd quarter. Osaic Holdings Inc. now owns 800 shares of the company’s stock valued at $51,000 after purchasing an additional 188 shares during the period. Finally, Parallel Advisors LLC lifted its holdings in shares of Chefs’ Warehouse by 98.7% in the first quarter. Parallel Advisors LLC now owns 926 shares of the company’s stock valued at $55,000 after purchasing an additional 460 shares in the last quarter. 91.55% of the stock is currently owned by institutional investors and hedge funds.

Chefs’ Warehouse Company Profile

Chefs’ Warehouse, Inc is a specialty food distributor that supplies a broad range of high‐end ingredients and culinary products to professional chefs, restaurants, hotels, and other foodservice operators. Headquartered in Maspeth, New York, the company sources its portfolio from local artisans, boutique producers and leading global suppliers. Its core offerings include fresh and frozen proteins, specialty cuts of meat and seafood, handcrafted cheeses and charcuterie, seasonal produce, value‐added preparations, pantry staples and premium desserts and beverages.

The company operates a network of distribution centers strategically located in major metropolitan markets across North America.