Cricut (NASDAQ:CRCT) Shares Gap Down After Earnings Miss

Cricut, Inc. (NASDAQ:CRCT) gapped down prior to trading on Wednesday following a weaker than expected earnings announcement. The stock had previously closed at $6.57, but opened at $5.95. Cricut shares last traded at $6.29, with a volume of 68,301 shares.

The company reported $0.05 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.07 by ($0.02). Cricut had a return on equity of 13.18% and a net margin of 9.16%. The business had revenue of $167.89 million for the quarter, compared to analysts’ expectations of $165.35 million. During the same quarter last year, the company earned $0.08 earnings per share.

Cricut Announces Dividend

The firm also recently announced a None dividend, which will be paid on Tuesday, January 21st. Shareholders of record on Tuesday, January 7th will be issued a dividend of $0.50 per share. The ex-dividend date of this dividend is Tuesday, January 7th. This represents a yield of 3.4%. Cricut’s dividend payout ratio (DPR) is presently 64.52%.

Analysts Set New Price Targets

Separately, The Goldman Sachs Group dropped their price target on shares of Cricut from $6.50 to $5.75 and set a “neutral” rating for the company in a research note on Wednesday.

Insider Transactions at Cricut

In related news, CEO Arora Ashish sold 57,493 shares of the firm’s stock in a transaction that occurred on Wednesday, August 14th. The shares were sold at an average price of $5.86, for a total value of $336,908.98. Following the sale, the chief executive officer now owns 2,539,450 shares of the company’s stock, valued at $14,881,177. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. In related news, EVP Donald B. Olsen sold 40,000 shares of the business’s stock in a transaction on Thursday, August 29th. The shares were sold at an average price of $5.74, for a total transaction of $229,600.00. Following the completion of the transaction, the executive vice president now owns 655,833 shares in the company, valued at approximately $3,764,481.42. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CEO Arora Ashish sold 57,493 shares of the stock in a transaction on Wednesday, August 14th. The shares were sold at an average price of $5.86, for a total value of $336,908.98. Following the completion of the transaction, the chief executive officer now directly owns 2,539,450 shares in the company, valued at $14,881,177. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 189,289 shares of company stock valued at $1,103,782. 18.02% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in CRCT. Arizona State Retirement System raised its position in shares of Cricut by 20.8% during the 2nd quarter. Arizona State Retirement System now owns 12,199 shares of the company’s stock worth $73,000 after acquiring an additional 2,103 shares in the last quarter. CWM LLC lifted its position in shares of Cricut by 23.9% during the 3rd quarter. CWM LLC now owns 12,026 shares of the company’s stock worth $83,000 after buying an additional 2,322 shares during the last quarter. Principal Financial Group Inc. lifted its position in shares of Cricut by 9.8% during the 2nd quarter. Principal Financial Group Inc. now owns 33,899 shares of the company’s stock worth $203,000 after buying an additional 3,034 shares during the last quarter. Rhumbline Advisers boosted its holdings in shares of Cricut by 5.8% in the 2nd quarter. Rhumbline Advisers now owns 62,092 shares of the company’s stock valued at $372,000 after buying an additional 3,397 shares in the last quarter. Finally, Swiss National Bank grew its position in shares of Cricut by 6.8% in the 1st quarter. Swiss National Bank now owns 72,500 shares of the company’s stock valued at $345,000 after buying an additional 4,600 shares during the last quarter. 19.60% of the stock is owned by institutional investors and hedge funds.

Cricut Trading Up 4.1 %

The stock has a market capitalization of $1.25 billion, a price-to-earnings ratio of 19.58 and a beta of 0.13. The company’s 50 day moving average is $6.36 and its 200 day moving average is $6.20.

About Cricut

Cricut, Inc engages in the design, marketing, and distribution of a creativity platform that enables users to turn ideas into professional-looking handmade goods. It operates through three segments: Connected Machines, Subscriptions, and Accessories and Materials. The company offers connected machines, design apps, and accessories and materials for users to create personalized birthday cards, mugs, T-shirts, and large-scale interior decorations.