SpartanNash (SPTN) Shares Down 18% on Disappointing Earnings

SpartanNash Co (NASDAQ:SPTN)’s share price was down 18% on Thursday following a weaker than expected earnings announcement. The company traded as low as $19.25 and last traded at $19.52. Approximately 1,256,600 shares traded hands during trading, an increase of 367% from the average daily volume of 269,140 shares. The stock had previously closed at $23.80.

The company reported $0.50 earnings per share for the quarter, missing analysts’ consensus estimates of $0.57 by ($0.07). The company had revenue of $1.90 billion for the quarter, compared to the consensus estimate of $1.88 billion. SpartanNash had a positive return on equity of 10.44% and a negative net margin of 0.68%. The business’s quarterly revenue was up 2.1% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.60 EPS.

SPTN has been the topic of a number of recent research reports. Pivotal Research reiterated a “sell” rating and set a $15.00 price target on shares of SpartanNash in a report on Friday, May 25th. ValuEngine lowered shares of SpartanNash from a “sell” rating to a “strong sell” rating in a report on Monday, July 30th. BidaskClub lowered shares of SpartanNash from a “sell” rating to a “strong sell” rating in a report on Saturday, May 5th. Barclays lifted their price target on shares of SpartanNash from $17.00 to $23.00 and gave the stock an “equal weight” rating in a report on Thursday, May 31st. Finally, Zacks Investment Research upgraded shares of SpartanNash from a “hold” rating to a “buy” rating and set a $21.00 price target on the stock in a report on Tuesday, May 1st. Two investment analysts have rated the stock with a sell rating, six have assigned a hold rating and one has issued a buy rating to the company’s stock. SpartanNash has an average rating of “Hold” and a consensus target price of $22.83.

In related news, CEO David M. Staples sold 1,865 shares of the business’s stock in a transaction on Friday, June 15th. The shares were sold at an average price of $25.81, for a total value of $48,135.65. Following the transaction, the chief executive officer now owns 168,906 shares in the company, valued at $4,359,463.86. The transaction was disclosed in a document filed with the SEC, which is available through this link. Also, CEO David M. Staples sold 3,989 shares of the business’s stock in a transaction on Wednesday, May 30th. The shares were sold at an average price of $23.00, for a total transaction of $91,747.00. Following the completion of the transaction, the chief executive officer now owns 174,760 shares in the company, valued at approximately $4,019,480. The disclosure for this sale can be found here. In the last quarter, insiders have sold 67,096 shares of company stock worth $1,753,571. 2.40% of the stock is owned by company insiders.

A number of hedge funds have recently added to or reduced their stakes in SPTN. Sun Life Financial INC acquired a new position in SpartanNash in the second quarter valued at $134,000. Koch Industries Inc. acquired a new position in SpartanNash in the first quarter valued at $180,000. Piedmont Investment Advisors LLC acquired a new position in SpartanNash in the second quarter valued at $213,000. Xact Kapitalforvaltning AB acquired a new position in SpartanNash in the second quarter valued at $227,000. Finally, Creative Planning acquired a new position in SpartanNash in the second quarter valued at $256,000. Institutional investors and hedge funds own 84.44% of the company’s stock.

The firm has a market cap of $847.03 million, a PE ratio of 9.29, a price-to-earnings-growth ratio of 1.74 and a beta of 1.15. The company has a current ratio of 2.12, a quick ratio of 0.88 and a debt-to-equity ratio of 1.03.

SpartanNash Company Profile (NASDAQ:SPTN)

SpartanNash Company distributes and retails grocery products. It operates in three segments: Food Distribution, Military, and Retail. The Food Distribution segment offers approximately 60,000 stock-keeping units, such as dry groceries, produce, dairy products, meat, delicatessen items, bakery goods, frozen food, seafood, floral products, general merchandise, beverages, tobacco products, health and beauty care, and pharmacy products to independent retail locations, food service distributors, and corporate-owned retail stores.

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