Driven Brands Holdings Inc. (NASDAQ: DRVN) has received an average rating of “Moderate Buy” from ten analysts covering the stock, according to Marketbeat Ratings. The consensus indicates that six analysts recommend purchasing the stock, while three suggest holding, and one analyst advises selling. The average price target among these analysts is set at $21.22 for the upcoming year.
Several analysts have recently updated their assessments of Driven Brands. Notably, William Blair upgraded the stock from a “market perform” rating to an “outperform” rating in a report released on Wednesday. Conversely, Piper Sandler reduced its price target from $22.00 to $19.00, maintaining an “overweight” rating in a report dated October 24, 2023. Further, Canaccord Genuity Group reaffirmed a “buy” rating with a price target of $24.00, while Stifel Nicolaus set a price objective of $23.00 in a report on November 17, 2023. Additionally, Zacks Research upgraded Driven Brands to a “hold” rating on August 8, 2023.
Recent Earnings and Insider Activity
Driven Brands released its quarterly earnings data on March 12, 2023, reporting earnings per share (EPS) of $0.30 and quarterly revenue of $564.12 million. The company recorded a return on equity of 25.31% but reported a negative net margin of 9.14%. Analysts predict that Driven Brands will achieve an EPS of $0.85 for the current fiscal year.
In related news, Director Jonathan G. Fitzpatrick sold 110,000 shares of Driven Brands on September 15, 2023. The shares were sold at an average price of $18.05, totaling approximately $1,985,500. Following this transaction, Fitzpatrick retains ownership of 2,279,453 shares, valued at around $41.14 million. This sale reflects a 4.60% decrease in his ownership stake. The transaction was disclosed in a filing with the Securities and Exchange Commission (SEC).
Institutional Investment Trends
Driven Brands has attracted significant interest from institutional investors in recent months. Universal Beteiligungs und Servicegesellschaft mbH established a new position in Driven Brands during the first quarter, investing $245,000. Similarly, Mackenzie Financial Corp increased its holdings by 69.2%, now owning 75,194 shares valued at $1.29 million after acquiring an additional 30,741 shares. Other notable transactions include XTX Topco Ltd and Blueshift Asset Management LLC, both adding new stakes in the company during the same period.
As of now, institutional and hedge fund investors hold approximately 77.08% of Driven Brands’ stock, reflecting strong confidence in the company’s future growth prospects.
Driven Brands Holdings Inc. operates within the automotive services sector, providing a variety of services such as collision repair, maintenance, and parts distribution across the United States, Canada, and internationally. The company continues to enhance its market presence while adapting to evolving consumer needs in the automotive industry.
