Take off with CommScope Holding Company Inc. (COMM): Get ready for trading

CommScope Holding Company Inc. (NASDAQ: COMM) stock fell -2.83% on Monday to $8.59 against a previous-day closing price of $8.84. With 2.24 million shares changed hands, the volume of the stock remained lighter than its average volume of 3.14 million shares. During the session, the Communication Equipment company that operates in wider Technology sector, reached to the highest price of $8.97 whereas the lowest price it dropped to was $8.50. The 52-week range on COMM shows that it touched its highest point at $13.73 and its lowest point at $5.56 during that stretch. It currently has a 1-year price target of $11.25. Beta for the stock currently stands at 1.82.

Top 5 Undervalued Stocks To Own In 2023

Microchip Maker Releases "World's Most Powerful Data Center CPU". It could allow the company who manufactures it to lead the industry as the global microchip shortage continues into the coming year. We've put together a free research report that explains all the details. Not only will you find out why analysts believe this chip manufacturer could lead the pack, you will also discover four more potential winners for the coming year.

Click here to download your Free Research Report…

Sponsored

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 COMM was down-trending over the past week, with a drop of -5.91%, but this was up by 19.97% over a month. Three-month performance dropped to -28.42% while six-month performance rose 12.88%. The stock lost -7.24% in the past year, while it has gained 16.87% so far this year. A look at the trailing 12-month EPS for COMM yields -1.57 with Next year EPS estimates of 2.18. For the next quarter, that number is 0.49. This implies an EPS growth rate of 20.20% for this year and 30.09% for next year. EPS is expected to grow by 23.70% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of -33.60%.

Float and Shares Shorts:

At present, 208.20 million COMM shares are outstanding with a float of 203.16 million shares on hand for trading. On Oct 13, 2022, short shares totaled 10.81 million, which was 5.19% higher than short shares on Sep 14, 2022. In addition to Mr. Charles L. Treadway as the firm’s Pres, CEO & Director, Mr. Kyle D. Lorentzen serves as its Exec. VP & CFO.


Institutional Ownership:

Through their ownership of 94.21% of COMM’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 53.01% of COMM, in contrast to 39.68% held by mutual funds. Shares owned by individuals account for 12.84%. As the largest shareholder in COMM with 13.13% of the stake, The Vanguard Group, Inc. holds 27,347,158 shares worth 27,347,158. A second-largest stockholder of COMM, FPR Partners LLC, holds 20,798,018 shares, controlling over 9.98% of the firm’s shares. BlackRock Fund Advisors is the third largest shareholder in COMM, holding 12,021,869 shares or 5.77% stake. With a 2.88% stake in COMM, the Vanguard Total Stock Market Index is the largest stakeholder. A total of 5,995,636 shares are owned by the mutual fund manager. The Vanguard Small Cap Index Fund, which owns about 2.45% of COMM stock, is the second-largest Mutual Fund holder. It holds 5,099,900 shares valued at 37.48 million. iShares Russell 2000 ETF holds 2.19% of the stake in COMM, owning 4,565,900 shares worth 33.56 million.

Analysts Ratings:

Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for COMM since 11 analysts follow the stock currently. There are 4 analysts who recommend BUY ratings, while 2 suggest SELL ratings. Of the remaining analysts, 5 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 COMM analysts setting a high price target of $17.00 and a low target of $7.00, the average target price over the next 12 months is $11.67. Based on these targets, COMM could surge 97.9% to reach the target high and fall by -18.51% to reach the target low. Reaching the average price target will result in a growth of 35.86% 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. COMM will report FY 2022 earnings on 02/15/2024. Analysts have provided yearly estimates in a range of $1.69 being high and $1.57 being low. For COMM, this leads to a yearly average estimate of $1.64. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. CommScope Holding Company Inc. surprised analysts by $0.05 when it reported $0.50 EPS against a consensus estimate of $0.45. The surprise factor in the prior quarter was $0.13. Based on analyst estimates, the high estimate for the next quarter is $0.52 and the low estimate is $0.34. The average estimate for the next quarter is thus $0.46.

Summary of Insider Activity:

Insiders traded COMM stock several times over the past three months with 0 Buys and 3 Sells. In these transactions, 0 shares were bought while 16,441 shares were sold. The number of buy transactions has increased to 44 while that of sell transactions has risen to 13 over the past year. The total number of shares bought during that period was 1,671,201 while 202,412 shares were sold.

Leave a Comment

Your email address will not be published. Required fields are marked *