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There is a significant shift in institutional activity for Helen of Troy HELE shares. The institutions shifted from selling to buying in Q3, creating a solid tailwind due to the high interest. Institutions own nearly 99% of this stock, leaving less than 1.5% for insiders, retail investors, and short-sellers. Coincidentally, the short interest is also high, over 10% in the last report and nearly 10% in mid-September, providing ample fuel for a short-covering rally. 

The takeaway for investors is that consumer products maker Helen of Troy has hit its market bottom and is now set to rebound. The rebound will likely take time to develop but will deliver sufficient upside to make this investment more than interesting. Trading near a decade low, technical targets for the stock price suggest a nearly 50% upside with a chance for a full reversal. In that scenario, the stock could gain another 50% to 100% over the next few years. 

Insider activity is also noteworthy—not because of its volume but because of its lack thereof. Data from Insidertrades.com shows that insiders haven’t sold or purchased this stock since 2023, the last being CFO Brian L. Grass’s purchase. The lack of sales is a sign of insider confidence; investors should not be surprised if insiders start buying shares at such low levels. 

Helen of Troy Outperforms in FQ2: Shares Surge

Helen of Troy continues to face challenges, including macroeconomic headwinds and efforts to improve efficiency. However, the Q2 results reflect a positive impact of the company’s global restructuring effort named Project Pegasus. The Q2 revenue is down compared to last year but 330 basis points better than expected, with greater strength on the bottom line. The revenue decline is due to weakness in the Beauty and Wellness segments, offset by Home and Outdoors growth. Home and Outdoors sales grew nearly 1.0% despite negative product mix shifts, while Beauty and Wellness contracted by 7.7%. 

Margin news is equally good. The company’s margin contracted at the gross and operational levels in the GAAP and adjusted comparisons but was less than expected. The gross margin fell by 110 bps and the adjusted operating margin by 260, leaving the operating margin at 9.8%. The salient detail is that the 9.8% adjusted margin left the earnings down by double-digits, but the $1.21 in adjusted EPS is 1500 basis points ahead of the consensus estimate, providing sufficient cash flow to sustain operations, reinvestment, and capital return.

Guidance is mixed but indicates a turning point for the business. The company reaffirmed its full-year targets for revenue and earnings, which puts revenue in alignment with the consensus estimate and the EPS midpoint above it. The negative detail is that the free cash flow and debt reduction targets were eased but there is a mitigating factor. Operational challenges at the Tennessee distribution facility impact the cash flow. The automation effort hit snags in Q1, but remediation efforts have been largely completed. The impact on cash flow will end before the fiscal year-end, and automation is expected to drive additional efficiency in calendar 2025. 

Helen of Troy Has a Fortress Balance Sheet

Helen of Troy has hurdles to cross but is in a position to do so. The balance sheet highlights include steady assets, declining debt, low leverage, and improving shareholder equity despite debt reduction and capital return. The capital return, in the form of share buybacks, ramped in Q2 compared to last year, reducing the average count by 5%. 

The pace of buybacks is expected to continue in F2025 because of the recently announced increase in authorization. The new total is $500 million, which is a tailwind for the market because it is worth 35% of the market cap with shares at a ten-year low. Regarding leverage, total liability, including long-term debt, is about 1x equity. 

Following the report, Helen of Troy shares surged nearly 20% in premarket trading. The move suggests that short-covering has begun and a bottom is in play. The critical resistance target is near $75 and the 150-day EMA; a sustained rally may soon form if the market moves above it. If not, the market may become range-bound at current levels until more news is available. 

The article “Insiders Hold Tight as Helen of Troy Prepares for a Major Rebound” first appeared on MarketBeat.

Pinnacle Finl Partners PNFP will release its quarterly earnings report on Tuesday, 2024-10-15. Here’s a brief overview for investors ahead of the announcement.

Analysts anticipate Pinnacle Finl Partners to report an earnings per share (EPS) of $1.78.

Anticipation surrounds Pinnacle Finl Partners’s announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.

New investors should understand that while earnings performance is important, market reactions are often driven by guidance.

Earnings Track Record

In the previous earnings release, the company beat EPS by $0.02, leading to a 2.98% increase in the share price the following trading session.

Here’s a look at Pinnacle Finl Partners’s past performance and the resulting price change:

Tracking Pinnacle Finl Partners’s Stock Performance

Shares of Pinnacle Finl Partners were trading at $98.69 as of October 11. Over the last 52-week period, shares are up 43.26%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

To track all earnings releases for Pinnacle Finl Partners visit their earnings calendar on our site.

This article was generated by Benzinga’s automated content engine and reviewed by an editor.

Pepe’s PEPE/USD price has increased 11.24% over the past 24 hours to $0.000011, which is in the opposite direction of its trend over the past week, where it has experienced a 1.0% loss, moving from $0.000011 to its current price.

The chart below compares the price movement and volatility for Pepe over the past 24 hours (left) to its price movement over the past week (right). The gray bands are Bollinger Bands, measuring the volatility for both the daily and weekly price movements. The wider the bands are, or the larger the gray area is at any given moment, the larger the volatility.

The trading volume for the coin has tumbled 24.0% over the past week along with the circulating supply of the coin, which has fallen 0.26%. This brings the circulating supply to 420.69 trillion, which makes up an estimated 100.0% of its max supply of 420.69 trillion. According to our data, the current market cap ranking for PEPE is #29 at $4.47 billion.

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This article was generated by Benzinga’s automated content engine and reviewed by an editor.

Charles Schwab SCHW will release its quarterly earnings report on Tuesday, 2024-10-15. Here’s a brief overview for investors ahead of the announcement.

Analysts anticipate Charles Schwab to report an earnings per share (EPS) of $0.75.

Charles Schwab bulls will hope to hear the company announce they’ve not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.

New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).

Earnings Track Record

In the previous earnings release, the company beat EPS by $0.01, leading to a 5.38% drop in the share price the following trading session.

Here’s a look at Charles Schwab’s past performance and the resulting price change:

Charles Schwab Share Price Analysis

Shares of Charles Schwab were trading at $67.68 as of October 11. Over the last 52-week period, shares are up 26.72%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

To track all earnings releases for Charles Schwab visit their earnings calendar on our site.

This article was generated by Benzinga’s automated content engine and reviewed by an editor.

Over the past 24 hours, WETH’s WETH/USD price rose 7.08% to $2,617.98. This continues its positive trend over the past week where it has experienced a 4.0% gain, moving from $2,480.74 to its current price. As it stands right now, the coin’s all-time high is $4,799.89.

The chart below compares the price movement and volatility for WETH over the past 24 hours (left) to its price movement over the past week (right). The gray bands are Bollinger Bands, measuring the volatility for both the daily and weekly price movements. The wider the bands are, or the larger the gray area is at any given moment, the larger the volatility.

The trading volume for the coin has climbed 18.0% over the past week, moving opposite, directionally, with the overall circulating supply of the coin, which has decreased 1.32%. This brings the circulating supply to 2.94 million. According to our data, the current market cap ranking for WETH is #17 at $7.68 billion.

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This article was generated by Benzinga’s automated content engine and reviewed by an editor.