Driven Brands (NASDAQ:DRVN) Sets New 1-Year High – Still a Buy?

Driven Brands Holdings Inc. (NASDAQ:DRVN) reached a new 52-week high on Wednesday . The company traded as high as $16.87 and last traded at $16.85, with a volume of 16359 shares changing hands. The stock had previously closed at $16.72.

Wall Street Analyst Weigh In

A number of analysts have weighed in on the company. Baird R W upgraded Driven Brands to a “strong-buy” rating in a report on Friday, August 2nd. Royal Bank of Canada raised their price target on shares of Driven Brands from $17.00 to $20.00 and gave the company an “outperform” rating in a research report on Friday, November 1st. The Goldman Sachs Group raised their price target on shares of Driven Brands from $14.00 to $16.00 and gave the company a “neutral” rating in a research report on Friday, August 2nd. Benchmark reaffirmed a “buy” rating and issued a $20.00 price target on shares of Driven Brands in a research report on Tuesday, August 20th. Finally, Robert W. Baird lifted their target price on shares of Driven Brands from $17.00 to $18.00 and gave the stock an “outperform” rating in a research report on Friday, August 2nd. Four analysts have rated the stock with a hold rating, seven have issued a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $17.86.

Driven Brands Price Performance

The business’s fifty day simple moving average is $14.68 and its 200-day simple moving average is $13.32. The company has a current ratio of 1.90, a quick ratio of 1.72 and a debt-to-equity ratio of 2.84. The firm has a market cap of $2.72 billion, a P/E ratio of 414.25, a PEG ratio of 1.11 and a beta of 1.11.

Driven Brands (NASDAQ:DRVN) last released its quarterly earnings results on Thursday, October 31st. The company reported $0.26 earnings per share for the quarter, topping the consensus estimate of $0.22 by $0.04. Driven Brands had a net margin of 0.27% and a return on equity of 14.86%. The firm had revenue of $591.70 million for the quarter, compared to analysts’ expectations of $598.49 million. During the same quarter in the prior year, the firm posted $0.19 earnings per share. The business’s quarterly revenue was up 1.8% on a year-over-year basis. As a group, analysts forecast that Driven Brands Holdings Inc. will post 0.86 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Allspring Global Investments Holdings LLC bought a new position in shares of Driven Brands during the first quarter valued at about $26,000. Innealta Capital LLC bought a new position in shares of Driven Brands during the second quarter valued at about $86,000. nVerses Capital LLC bought a new position in shares of Driven Brands during the third quarter valued at about $86,000. Townsquare Capital LLC bought a new position in Driven Brands in the third quarter worth about $153,000. Finally, Bleakley Financial Group LLC bought a new position in Driven Brands in the third quarter worth about $171,000. 77.08% of the stock is currently owned by hedge funds and other institutional investors.

About Driven Brands

Driven Brands Holdings Inc, together with its subsidiaries, provides automotive services to retail and commercial customers in the United States, Canada, and internationally. It offers various services, such as paint, collision, glass, repair, car wash, oil change, and maintenance services. The company also distributes automotive parts, including radiators, air conditioning components, and exhaust products to automotive repair shops, auto parts stores, body shops, and other auto repair outlets; windshields and glass accessories through a network of distribution centers; and consumable products, such as oil filters and wiper blades, as well as training services to repair and maintenance, and paint and collision shops.