Zacks Investment Research upgraded shares of Fitbit (NYSE:FIT) from a hold rating to a buy rating in a report published on Wednesday morning. They currently have $7.50 target price on the scientific and technical instruments company’s stock.
According to Zacks, “Fitbit continues to ride on its strong portfolio of smartwatches and trackers. Also, new features and services, increased brand awareness, expanded global distribution and presence in the corporate wellness market should continue to be the growth drivers in our view. Additionally, Fitbit’s recovery initiatives that include cost structuring and focus on new smartwatches will likely boost demand for its products. Moreover, the company expects to witness further growth in its market share in the near term. Estimates have been stable lately ahead of the company’s Q4 earnings release. The company has positive record of earnings surprises in recent quarters. However, Fitbit is currently grappling with mounting competition from Apple and Xiaomi in the wearables space which impacted its results.”
Several other analysts have also commented on FIT. Wedbush lowered Fitbit from an outperform rating to a neutral rating and set a $6.50 price objective for the company. in a report on Friday, February 22nd. Morgan Stanley set a $4.00 price objective on Fitbit and gave the stock a sell rating in a report on Thursday, November 1st. Finally, ValuEngine raised Fitbit from a buy rating to a strong-buy rating in a report on Tuesday, January 15th. Two equities research analysts have rated the stock with a sell rating, five have assigned a hold rating, five have assigned a buy rating and one has issued a strong buy rating to the company. The stock currently has a consensus rating of Hold and an average price target of $6.28.
Shares of FIT stock traded up $0.22 during mid-day trading on Wednesday, hitting $6.14. The company’s stock had a trading volume of 9,598,514 shares, compared to its average volume of 3,856,782. Fitbit has a 52-week low of $4.23 and a 52-week high of $7.79. The stock has a market capitalization of $1.46 billion, a P/E ratio of -10.23 and a beta of 1.72.
Fitbit (NYSE:FIT) last issued its quarterly earnings data on Wednesday, February 27th. The scientific and technical instruments company reported $0.14 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.08 by $0.06. Fitbit had a negative return on equity of 24.69% and a negative net margin of 16.32%. The company had revenue of $571.20 million during the quarter, compared to analyst estimates of $569.30 million. During the same quarter in the previous year, the company posted ($0.02) earnings per share. Fitbit’s revenue was up .1% compared to the same quarter last year. Analysts expect that Fitbit will post -0.48 EPS for the current year.
In related news, EVP Andy Missan sold 7,500 shares of Fitbit stock in a transaction on Monday, December 10th. The stock was sold at an average price of $4.89, for a total value of $36,675.00. Following the completion of the sale, the executive vice president now owns 181,361 shares of the company’s stock, valued at $886,855.29. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders sold 140,000 shares of company stock valued at $728,425 in the last ninety days. 19.84% of the stock is currently owned by corporate insiders.
A number of large investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. grew its holdings in Fitbit by 12.6% during the third quarter. Vanguard Group Inc. now owns 19,805,756 shares of the scientific and technical instruments company’s stock valued at $105,961,000 after purchasing an additional 2,211,848 shares during the period. Vanguard Group Inc grew its holdings in Fitbit by 12.6% during the third quarter. Vanguard Group Inc now owns 19,805,756 shares of the scientific and technical instruments company’s stock valued at $105,961,000 after purchasing an additional 2,211,848 shares during the period. BlackRock Inc. grew its holdings in Fitbit by 6.2% during the fourth quarter. BlackRock Inc. now owns 16,696,783 shares of the scientific and technical instruments company’s stock valued at $82,983,000 after purchasing an additional 972,560 shares during the period. Credit Suisse AG grew its holdings in Fitbit by 90.1% during the third quarter. Credit Suisse AG now owns 5,530,197 shares of the scientific and technical instruments company’s stock valued at $29,586,000 after purchasing an additional 2,621,104 shares during the period. Finally, Dimensional Fund Advisors LP grew its holdings in Fitbit by 11.0% during the fourth quarter. Dimensional Fund Advisors LP now owns 4,670,215 shares of the scientific and technical instruments company’s stock valued at $23,212,000 after purchasing an additional 464,411 shares during the period. 62.20% of the stock is owned by institutional investors and hedge funds.
Fitbit Company Profile
Fitbit, Inc, a technology company, provides health solutions in the United States and internationally. The company offers a line of devices, including Fitbit Surge, Fitbit Blaze, Fitbit Charge 2, Alta HR, Alta, Fitbit Flex 2, Fitbit One, and Fitbit Zip activity trackers; Fitbit Ionic smartwatches; Fitbit Aria 2 Wi-Fi smart scales; and a range of accessories, such as bands and frames for its devices, as well as Fitbit Flyer, a wireless headphone designed for fitness.
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