Royal Bank of Canada Forecasts Strong Price Appreciation for Driven Brands (NASDAQ:DRVN) Stock

Driven Brands (NASDAQ:DRVN) had its target price increased by Royal Bank of Canada from $17.00 to $20.00 in a note issued to investors on Friday, Benzinga reports. The firm currently has an “outperform” rating on the stock. Royal Bank of Canada’s price target indicates a potential upside of 33.69% from the stock’s previous close.

Other research analysts also recently issued reports about the company. Benchmark reissued a “buy” rating and issued a $20.00 price target on shares of Driven Brands in a report on Tuesday, August 20th. Baird R W raised shares of Driven Brands to a “strong-buy” rating in a report on Friday, August 2nd. BMO Capital Markets began coverage on shares of Driven Brands in a research note on Monday, July 22nd. They set a “market perform” rating and a $14.00 target price on the stock. The Goldman Sachs Group lifted their price target on Driven Brands from $14.00 to $16.00 and gave the company a “neutral” rating in a research note on Friday, August 2nd. Finally, Canaccord Genuity Group increased their price target on Driven Brands from $20.00 to $21.00 and gave the stock a “buy” rating in a research report on Friday. Four equities research analysts have rated the stock with a hold rating, six have given a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat.com, Driven Brands has an average rating of “Moderate Buy” and an average price target of $17.45.

Driven Brands Stock Performance

Shares of DRVN stock traded up $0.11 during trading hours on Friday, hitting $14.96. The company’s stock had a trading volume of 289,427 shares, compared to its average volume of 1,093,827. The company has a current ratio of 2.11, a quick ratio of 1.91 and a debt-to-equity ratio of 3.03. The company has a 50 day moving average of $14.31 and a 200 day moving average of $13.21. Driven Brands has a 12-month low of $10.59 and a 12-month high of $16.00. The stock has a market cap of $2.45 billion, a PE ratio of -3.18, a price-to-earnings-growth ratio of 0.85 and a beta of 1.13.

Driven Brands (NASDAQ:DRVN) last announced its quarterly earnings results on Thursday, August 1st. The company reported $0.35 earnings per share for the quarter, topping the consensus estimate of $0.28 by $0.07. The company had revenue of $611.60 million for the quarter, compared to the consensus estimate of $628.34 million. Driven Brands had a positive return on equity of 15.12% and a negative net margin of 33.56%. The firm’s revenue for the quarter was up .8% compared to the same quarter last year. During the same period last year, the firm earned $0.27 EPS. On average, sell-side analysts forecast that Driven Brands will post 0.88 EPS for the current fiscal year.

Institutional Trading of Driven Brands

A number of hedge funds and other institutional investors have recently modified their holdings of DRVN. Allspring Global Investments Holdings LLC purchased a new stake in shares of Driven Brands in the first quarter valued at about $26,000. Norden Group LLC purchased a new stake in shares of Driven Brands in the 1st quarter valued at approximately $182,000. SG Americas Securities LLC acquired a new stake in shares of Driven Brands during the 1st quarter worth approximately $393,000. Sei Investments Co. raised its position in shares of Driven Brands by 12.0% during the 1st quarter. Sei Investments Co. now owns 78,370 shares of the company’s stock valued at $1,237,000 after buying an additional 8,372 shares during the period. Finally, First Eagle Investment Management LLC acquired a new position in Driven Brands in the first quarter valued at approximately $3,367,000. 77.08% of the stock is owned by institutional investors and hedge funds.

About Driven Brands

Driven Brands Holdings Inc, together with its subsidiaries, provides automotive services to retail and commercial customers in the United States, Canada, and internationally. It offers various services, such as paint, collision, glass, repair, car wash, oil change, and maintenance services. The company also distributes automotive parts, including radiators, air conditioning components, and exhaust products to automotive repair shops, auto parts stores, body shops, and other auto repair outlets; windshields and glass accessories through a network of distribution centers; and consumable products, such as oil filters and wiper blades, as well as training services to repair and maintenance, and paint and collision shops.