Zacks Investment Research upgraded shares of Hostess Brands (NASDAQ:TWNK) from a hold rating to a buy rating in a research note released on Saturday morning, Zacks.com reports. The firm currently has $16.00 target price on the stock.
According to Zacks, “Hostess Brands, Inc. is involved in developing, manufacturing, marketing, selling and distributing sweet goods primarily in the United States. The company produces new and classic treats which includes Ding Dongs, Ho Hos, Donettes, Fruit Pies as well as Twinkies and CupCakes. Hostess Brands, Inc. is based in Kansas City, Missouri. “
TWNK has been the subject of a number of other research reports. BidaskClub downgraded shares of Hostess Brands from a buy rating to a hold rating in a report on Tuesday, September 10th. Morgan Stanley increased their price objective on shares of Hostess Brands from $13.00 to $14.00 and gave the company an equal weight rating in a report on Wednesday, July 17th. SunTrust Banks reiterated a hold rating and issued a $17.00 price objective on shares of Hostess Brands in a report on Thursday, August 8th. DA Davidson began coverage on shares of Hostess Brands in a report on Wednesday, June 19th. They issued a buy rating and a $16.00 price objective for the company. Finally, UBS Group upgraded shares of Hostess Brands from a neutral rating to a buy rating and increased their price objective for the company from $14.00 to $17.00 in a report on Monday, June 24th. Five analysts have rated the stock with a hold rating and six have issued a buy rating to the company’s stock. The stock has an average rating of Buy and an average price target of $14.90.
Hostess Brands (NASDAQ:TWNK) last released its quarterly earnings results on Wednesday, August 7th. The company reported $0.17 earnings per share for the quarter, topping the consensus estimate of $0.15 by $0.02. Hostess Brands had a net margin of 5.89% and a return on equity of 3.82%. The firm had revenue of $241.10 million during the quarter, compared to the consensus estimate of $225.98 million. During the same quarter in the prior year, the firm earned $0.14 EPS. The company’s revenue for the quarter was up 11.7% on a year-over-year basis. As a group, sell-side analysts expect that Hostess Brands will post 0.62 earnings per share for the current year.
In other news, insider Cdm Hostess Class C, Llc sold 962,472 shares of the firm’s stock in a transaction that occurred on Thursday, August 15th. The shares were sold at an average price of $14.00, for a total transaction of $13,474,608.00. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director C. Dean Metropoulos sold 455,400 shares of the firm’s stock in a transaction that occurred on Thursday, August 15th. The stock was sold at an average price of $14.00, for a total transaction of $6,375,600.00. The disclosure for this sale can be found here. 23.60% of the stock is owned by company insiders.
Several hedge funds and other institutional investors have recently made changes to their positions in TWNK. Dimensional Fund Advisors LP increased its holdings in shares of Hostess Brands by 12.0% during the 4th quarter. Dimensional Fund Advisors LP now owns 6,402,025 shares of the company’s stock worth $70,037,000 after buying an additional 686,428 shares during the last quarter. BNP Paribas Arbitrage SA increased its holdings in shares of Hostess Brands by 235.1% during the 1st quarter. BNP Paribas Arbitrage SA now owns 22,777 shares of the company’s stock worth $285,000 after buying an additional 15,979 shares during the last quarter. SG Americas Securities LLC acquired a new stake in shares of Hostess Brands during the 1st quarter worth approximately $266,000. New York State Common Retirement Fund increased its holdings in shares of Hostess Brands by 4.7% during the 1st quarter. New York State Common Retirement Fund now owns 148,866 shares of the company’s stock worth $1,861,000 after buying an additional 6,640 shares during the last quarter. Finally, US Bancorp DE increased its holdings in shares of Hostess Brands by 55.0% during the 1st quarter. US Bancorp DE now owns 67,309 shares of the company’s stock worth $842,000 after buying an additional 23,886 shares during the last quarter. Institutional investors and hedge funds own 94.30% of the company’s stock.
About Hostess Brands
Hostess Brands, Inc, a packaged food company, develops, manufactures, markets, sells, and distributes fresh sweet baked goods in the United States. It primarily offer a range of snack cakes, donuts, sweet rolls, breakfast pastries, snack pies, and related products. The company operates in two segments, Sweet Baked Goods and In-Store Bakery.
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