Cricut (NASDAQ:CRCT) Shares Gap Down Following Weak Earnings

Shares of Cricut, Inc. (NASDAQ:CRCT) gapped down prior to trading on Wednesday following a dissappointing 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 the consensus estimate of $0.07 by ($0.02). The business had revenue of $167.89 million for the quarter, compared to analyst estimates of $165.35 million. Cricut had a return on equity of 13.18% and a net margin of 9.16%. During the same period last year, the firm earned $0.08 EPS.

Analyst Ratings Changes

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

Insider Transactions at Cricut

In related news, EVP Donald B. Olsen sold 40,000 shares of the firm’s stock in a transaction dated 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 sale, the executive vice president now directly owns 655,833 shares in the company, valued at approximately $3,764,481.42. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. In related news, EVP Donald B. Olsen sold 40,000 shares of the stock in a transaction that occurred on Thursday, August 29th. The stock was sold at an average price of $5.74, for a total value of $229,600.00. Following the completion of the transaction, the executive vice president now directly owns 655,833 shares in the company, valued at approximately $3,764,481.42. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Arora Ashish sold 77,823 shares of the stock in a transaction that occurred on Friday, August 9th. The stock was sold at an average price of $6.37, for a total value of $495,732.51. Following the completion of the transaction, the chief executive officer now owns 2,690,544 shares of the company’s stock, valued at $17,138,765.28. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 267,112 shares of company stock worth $1,599,515 in the last quarter. Company insiders own 18.02% of the company’s stock.

Institutional Investors Weigh In On Cricut

A number of institutional investors have recently made changes to their positions in the stock. CWM LLC increased its holdings in Cricut by 150.8% in the 2nd quarter. CWM LLC now owns 9,704 shares of the company’s stock valued at $58,000 after purchasing an additional 5,835 shares during the last quarter. Lazard Asset Management LLC grew its stake in shares of Cricut by 9,096.7% in the first quarter. Lazard Asset Management LLC now owns 13,795 shares of the company’s stock valued at $65,000 after buying an additional 13,645 shares in the last quarter. Burns Matteson Capital Management LLC purchased a new stake in shares of Cricut in the 3rd quarter valued at $70,000. Arizona State Retirement System raised its holdings in shares of Cricut by 20.8% in the 2nd quarter. Arizona State Retirement System now owns 12,199 shares of the company’s stock valued at $73,000 after buying an additional 2,103 shares during the period. Finally, Bleakley Financial Group LLC purchased a new position in Cricut during the 1st quarter valued at about $78,000. 19.60% of the stock is currently owned by institutional investors and hedge funds.

Cricut Stock Performance

The company has a market capitalization of $1.21 billion, a price-to-earnings ratio of 17.97 and a beta of 0.13. The firm has a 50-day simple moving average of $6.36 and a two-hundred day simple moving average of $6.21.

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.