Utz Brands Inc. [NYSE: UTZ] slipped around -1.05 points on Tuesday, while shares priced at $19.13 at the close of the session, down -5.20%. The company report on November 12, 2020 that Utz Brands to Acquire ON THE BORDER® Tortilla Chips.
Expands Position in Attractive Tortilla Chip Sub-Category.
Utz Brands, Inc. (NYSE: UTZ) (“Utz” or the “Company”), a leading U.S. manufacturer of branded salty snacks, announced that its subsidiaries Utz Quality Foods, LLC (“UQF”) and Heron Holding Corporation have entered into a definitive agreement to acquire Truco Enterprises (“Truco”), a leading seller of tortilla chips, salsa and queso under the ON THE BORDER® (“OTB”) brand, from Insignia Capital Group for a total purchase price of $480 million, subject to a customary post-closing purchase price adjustment. The acquisition includes all rights to the ON THE BORDER® trademarks for use in the manufacture, sale, and distribution of snack food products in the United States and certain other international markets. The transaction represents an acquisition multiple of approximately 9.2x estimated fiscal 2020 Truco Adjusted EBITDA of $50 million excluding estimated synergies, and 8.4x estimated fiscal 2020 Truco Adjusted EBITDA including run-rate cost synergies of at least $5 million, in each case including approximately $20 million in net present value from expected tax assets resulting from the transaction. Utz expects the transaction to be accretive to earnings in 2021 and beyond. The transaction is expected to close in December 2020 and is subject to customary closing conditions including the receipt of regulatory approvals.
Utz Brands Inc. stock is now 86.09% up from its year-to-date (YTD) trading value. UTZ Stock saw the intraday high of $20.21 and lowest of $19.02 per share. The company’s 52-week high price is 20.50, which means current price is +94.41% above from all time high which was touched on 11/24/20.
Compared to the average trading volume of 912.84K shares, UTZ reached a trading volume of 1129313 in the most recent trading day, which is why market watchdogs consider the stock to be active.
What do top market gurus say about Utz Brands Inc. [UTZ]?
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for UTZ shares is $21.86 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on UTZ stock is a recommendation set at 1.90. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Piper Sandler have made an estimate for Utz Brands Inc. shares, keeping their opinion on the stock as Overweight, with their previous recommendation back on November 13, 2020. While these analysts kept the previous recommendation, Oppenheimer raised their target price to Outperform. The new note on the price target was released on October 08, 2020, representing the official price target for Utz Brands Inc. stock. Previously, the target price had yet another raise to $18.50, while Goldman analysts kept a Neutral rating on UTZ stock.
The Average True Range (ATR) for Utz Brands Inc. is set at 0.63, with the Price to Sales ratio for UTZ stock in the period of the last 12 months amounting to 7.37. The Price to Book ratio for the last quarter was 2.46, with the Price to Cash per share for the same quarter was set at 0.01.
How has UTZ stock performed recently?
Utz Brands Inc. [UTZ] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -2.15. With this latest performance, UTZ shares gained by 12.79% in over the last four-week period, additionally plugging by 76.31% over the last 6 months – not to mention a rise of 86.87% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for UTZ stock in for the last two-week period is set at 55.34, with the RSI for the last a single of trading hit 51.90, and the three-weeks RSI is set at 57.46 for Utz Brands Inc. [UTZ]. The present Moving Average for the last 50 days of trading for this stock 18.02, while it was recorded at 19.90 for the last single week of trading, and 13.92 for the last 200 days.
Utz Brands Inc. [UTZ]: Deeper insight into the fundamentals
Utz Brands Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.20 and a Current Ratio set at 0.20.
Earnings analysis for Utz Brands Inc. [UTZ]
The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for UTZ. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Utz Brands Inc. go to 61.24%.
Insider trade positions for Utz Brands Inc. [UTZ]
There are presently around $797 million, or 70.70% of UTZ stock, in the hands of institutional investors. The top three institutional holders of UTZ stocks are: PRICE T ROWE ASSOCIATES INC /MD/ with ownership of 6,095,650, which is approximately 883.895% of the company’s market cap and around 7.50% of the total institutional ownership; BAMCO INC /NY/, holding 5,350,000 shares of the stock with an approximate value of $102.35 million in UTZ stocks shares; and SOUTHPOINT CAPITAL ADVISORS LP, currently with $76.52 million in UTZ stock with ownership of nearly 45.455% of the company’s market capitalization.
70 institutional holders increased their position in Utz Brands Inc. [NYSE:UTZ] by around 19,980,732 shares. Additionally, 49 investors decreased positions by around 12,515,987 shares, while 1 investors held positions by with 9,179,995 shares. The mentioned changes placed institutional holdings at 41,676,714 shares, according to the latest SEC report filing. UTZ stock had 49 new institutional investments in for a total of 9,178,145 shares, while 39 institutional investors sold positions of 9,651,224 shares during the same period.