Primo Water (NASDAQ:PRMW) Cut to Sell at Zacks Investment Research

Zacks Investment Research cut shares of Primo Water (NASDAQ:PRMW) from a hold rating to a sell rating in a research report released on Friday morning, Zacks.com reports.

According to Zacks, “Prime Water Corporation operates as a provider of three- and five-gallon purified bottled water and water dispensers sold through major retailers nationwide. The Company’s water bottles can be sanitized and reused, crushed and recycled. Also, it provides water bottle exchange solution for its retail customers. It operates through two segments, Primo Bottled Water Exchange and Primo Products. Prime Water Corporation is headquartered in Winston-Salem, North Carolina. “

Several other brokerages also recently commented on PRMW. ValuEngine upgraded shares of Primo Water from a hold rating to a buy rating in a report on Thursday, September 5th. BMO Capital Markets set a $19.00 price objective on shares of Primo Water and gave the stock a buy rating in a report on Wednesday, July 31st. Barrington Research set a $18.00 price objective on shares of Primo Water and gave the stock a buy rating in a report on Wednesday, June 26th. BidaskClub upgraded shares of Primo Water from a hold rating to a buy rating in a report on Friday, September 6th. Finally, B. Riley restated a buy rating and set a $18.00 price objective on shares of Primo Water in a report on Friday, September 6th. One analyst has rated the stock with a sell rating and seven have assigned a buy rating to the company. The stock presently has a consensus rating of Buy and an average price target of $17.40.

Shares of PRMW stock opened at $13.02 on Friday. The firm has a 50-day moving average of $12.57 and a 200-day moving average of $13.48. The company has a market cap of $508.66 million, a P/E ratio of 38.29, a P/E/G ratio of 4.32 and a beta of 0.80. The company has a debt-to-equity ratio of 2.05, a current ratio of 0.99 and a quick ratio of 0.71. Primo Water has a one year low of $10.70 and a one year high of $18.79.

Primo Water (NASDAQ:PRMW) last announced its earnings results on Monday, August 5th. The company reported $0.05 EPS for the quarter, missing the Thomson Reuters’ consensus estimate of $0.06 by ($0.01). The firm had revenue of $79.30 million during the quarter, compared to analysts’ expectations of $78.01 million. Primo Water had a negative net margin of 18.85% and a positive return on equity of 11.75%. The business’s revenue for the quarter was up 4.6% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.12 EPS. As a group, research analysts expect that Primo Water will post 0.25 earnings per share for the current fiscal year.

In related news, Director Susan E. Cates acquired 5,000 shares of the firm’s stock in a transaction that occurred on Wednesday, August 21st. The stock was acquired at an average price of $12.23 per share, for a total transaction of $61,150.00. Following the completion of the acquisition, the director now owns 28,968 shares of the company’s stock, valued at approximately $354,278.64. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders have purchased 6,459 shares of company stock valued at $77,820 in the last 90 days. 10.80% of the stock is currently owned by corporate insiders.

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Legion Partners Asset Management LLC increased its stake in shares of Primo Water by 17.6% in the second quarter. Legion Partners Asset Management LLC now owns 3,173,146 shares of the company’s stock worth $39,030,000 after purchasing an additional 474,375 shares in the last quarter. Akre Capital Management LLC boosted its position in shares of Primo Water by 6.7% in the second quarter. Akre Capital Management LLC now owns 3,049,100 shares of the company’s stock valued at $37,504,000 after acquiring an additional 190,421 shares during the period. Nuveen Asset Management LLC boosted its position in shares of Primo Water by 8.3% in the second quarter. Nuveen Asset Management LLC now owns 2,400,571 shares of the company’s stock valued at $29,527,000 after acquiring an additional 184,111 shares during the period. BlackRock Inc. boosted its position in shares of Primo Water by 5.1% in the second quarter. BlackRock Inc. now owns 2,396,335 shares of the company’s stock valued at $29,475,000 after acquiring an additional 117,124 shares during the period. Finally, JPMorgan Chase & Co. boosted its position in shares of Primo Water by 9.5% in the second quarter. JPMorgan Chase & Co. now owns 1,916,291 shares of the company’s stock valued at $23,456,000 after acquiring an additional 165,708 shares during the period. Institutional investors and hedge funds own 90.21% of the company’s stock.

Primo Water Company Profile

Primo Water Corporation, together with its subsidiaries, provides multi-gallon purified bottled water, self-service refill water, and water dispensers in the United States and Canada. It operates in three segments: Refill, Exchange, and Dispensers. The Refill segment sells filtered drinking water dispensed directly to consumers through self-service machines.

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