Cricut (NASDAQ:CRCT) Shares Down 2% – Time to Sell?

Cricut, Inc. (NASDAQ:CRCT)’s share price fell 2% on Monday . The company traded as low as $4.35 and last traded at $4.37. 379,900 shares changed hands during trading, a decline of 15% from the average daily volume of 447,056 shares. The stock had previously closed at $4.46.

Analysts Set New Price Targets

CRCT has been the subject of several research analyst reports. The Goldman Sachs Group reissued a “sell” rating and issued a $3.75 price objective on shares of Cricut in a research report on Wednesday, May 6th. UBS Group restated a “cautious” rating on shares of Cricut in a research report on Wednesday, March 4th. Barclays reiterated an “underweight” rating and issued a $4.00 target price on shares of Cricut in a report on Wednesday, March 4th. Finally, Weiss Ratings lowered Cricut from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Monday, May 11th. Four equities research analysts have rated the stock with a Sell rating, According to MarketBeat.com, the stock currently has a consensus rating of “Strong Sell” and a consensus target price of $3.88.

Cricut Stock Down 2.0%

The firm’s 50 day simple moving average is $4.28 and its two-hundred day simple moving average is $4.44. The stock has a market capitalization of $917.26 million, a P/E ratio of 12.49 and a beta of 0.22.

Cricut (NASDAQ:CRCT) last released its quarterly earnings data on Tuesday, May 5th. The company reported $0.10 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.05 by $0.05. Cricut had a net margin of 10.36% and a return on equity of 21.37%. The company had revenue of $159.47 million for the quarter, compared to analysts’ expectations of $164.33 million. As a group, equities research analysts expect that Cricut, Inc. will post 0.14 earnings per share for the current year.

Cricut Dividend Announcement

The company also recently disclosed a dividend, which will be paid on Tuesday, July 21st. Shareholders of record on Tuesday, July 7th will be paid a $0.10 dividend. This represents a yield of 474.0%. The ex-dividend date of this dividend is Tuesday, July 7th. Cricut’s dividend payout ratio (DPR) is 57.14%.

Insider Activity

In other news, CEO Arora Ashish sold 16,366 shares of the company’s stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $4.30, for a total transaction of $70,373.80. Following the transaction, the chief executive officer directly owned 4,325,226 shares of the company’s stock, valued at $18,598,471.80. This represents a 0.38% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Jason Makler purchased 9,691 shares of Cricut stock in a transaction that occurred on Tuesday, May 12th. The stock was acquired at an average cost of $4.34 per share, with a total value of $42,058.94. Following the transaction, the director owned 29,690 shares in the company, valued at $128,854.60. This trade represents a 48.46% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders sold a total of 93,633 shares of company stock worth $378,514 over the last quarter. 18.02% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Cricut

Institutional investors and hedge funds have recently made changes to their positions in the business. Osaic Holdings Inc. boosted its stake in Cricut by 255.9% during the 2nd quarter. Osaic Holdings Inc. now owns 3,644 shares of the company’s stock valued at $25,000 after purchasing an additional 2,620 shares during the last quarter. Caitong International Asset Management Co. Ltd lifted its holdings in shares of Cricut by 57,811.1% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 5,212 shares of the company’s stock valued at $26,000 after purchasing an additional 5,203 shares in the last quarter. Royal Bank of Canada boosted its position in shares of Cricut by 265.0% during the first quarter. Royal Bank of Canada now owns 8,165 shares of the company’s stock valued at $30,000 after buying an additional 5,928 shares during the last quarter. Guggenheim Capital LLC bought a new stake in Cricut during the fourth quarter worth $55,000. Finally, Brevan Howard Capital Management LP purchased a new stake in Cricut in the 3rd quarter valued at $75,000. Institutional investors and hedge funds own 19.60% of the company’s stock.

About Cricut

Cricut, Inc (NASDAQ: CRCT) is a U.S.-based technology company specializing in personal and small-business crafting solutions. The company designs and markets a family of cutting machines that leverage computer-aided design to precisely cut a wide range of materials, including paper, vinyl, fabric and leather. Complementing its hardware offerings, Cricut provides proprietary software and mobile applications that enable users to create custom artwork, import graphics and access a vast library of pre-designed projects and fonts through a subscription service.

Founded as a division of Provo Craft & Novelty in 2005, Cricut emerged as an independent public company in March 2021.