Loyalty Ventures Inc. (NASDAQ: LYLT) stock fell -20.00% on Wednesday to $1.40 against a previous-day closing price of $1.75. With 2.26 million shares changed hands, the volume of the stock remained heavier than its average volume of 0.85 million shares. During the session, the Software – Infrastructure company that operates in wider Technology sector, reached to the highest price of $1.6800 whereas the lowest price it dropped to was $1.3400. The 52-week range on LYLT shows that it touched its highest point at $98.95 and its lowest point at $1.49 during that stretch. It currently has a 1-year price target of $7.00.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of LYLT was down-trending over the past week, with a drop of -19.54%, but this was down by -37.50% over a month. Three-month performance dropped to -62.47% while six-month performance fell -92.14%. A look at the trailing 12-month EPS for LYLT yields -19.21 with Next year EPS estimates of 0.97. For the next quarter, that number is 0.06. This implies an EPS growth rate of -97.70% for this year and 105.50% for next year.
Float and Shares Shorts:
At present, 24.61 million LYLT shares are outstanding with a float of 19.80 million shares on hand for trading. On Jul 14, 2022, short shares totaled 1.43 million, which was 5.82% higher than short shares on Jun 14, 2022. In addition to Mr. Charles L. Horn as the firm’s CEO, Pres & Director, Ms. Claudia Mennen-Vermeule serves as its Chief Exec. Officer of BrandLoyalty.
Through their ownership of 72.96% of LYLT’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 58.48% of LYLT, in contrast to 24.87% held by mutual funds. Shares owned by individuals account for 20.90%. As the largest shareholder in LYLT with 12.13% of the stake, BlackRock Fund Advisors holds 2,985,888 shares worth 2,985,888. A second-largest stockholder of LYLT, Pacer Advisors, Inc., holds 2,081,482 shares, controlling over 8.46% of the firm’s shares. Redwood Capital Management LLC is the third largest shareholder in LYLT, holding 1,979,885 shares or 8.05% stake. With a 3.13% stake in LYLT, the Franklin Mutual Ser. Fds. – Share is the largest stakeholder. A total of 769,066 shares are owned by the mutual fund manager. The Pacer Fds. Tr. – US Cash Cows 100, which owns about 3.11% of LYLT stock, is the second-largest Mutual Fund holder. It holds 764,169 shares valued at 1.61 million. iShares Russell 2000 ETF holds 1.67% of the stake in LYLT, owning 410,689 shares worth 0.87 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for LYLT since 3 analysts follow the stock currently. There are 2 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 1 believe that the stock is worth HOLDING, 0 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With LYLT analysts setting a high price target of $12.00 and a low target of $4.00, the average target price over the next 12 months is $7.00. Based on these targets, LYLT could surge 757.14% to reach the target high and rise by 185.71% to reach the target low. Reaching the average price target will result in a growth of 400.0% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. LYLT will report FY 2022 earnings on 02/02/2023. Analysts have provided yearly estimates in a range of -$17.58 being high and -$17.70 being low. For LYLT, this leads to a yearly average estimate of -$17.63. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Loyalty Ventures Inc. surprised analysts by -$18.10 when it reported -$17.95 EPS against a consensus estimate of $0.15. The surprise factor in the prior quarter was -$0.26. Based on analyst estimates, the high estimate for the next quarter is $0.14 and the low estimate is $0.02. The average estimate for the next quarter is thus $0.08.
Summary of Insider Activity:
Insiders traded LYLT stock several times over the past three months with 0 Buys and 0 Sells. In these transactions, 0 shares were bought while 0 shares were sold. The number of buy transactions has increased to 48 while that of sell transactions has risen to 6 over the past year. The total number of shares bought during that period was 25,075,268 while 19,920,118 shares were sold.