Is Post Holdings, Inc. (POST) a great play right now?

On Tuesday, shares of Post Holdings, Inc. (NYSE:POST) marked $87.62 per share versus a previous $87.70 closing price. With having a -0.09% loss, an insight into the fundamental values of Post Holdings, Inc., investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. POST showed a fall of -19.69% within its YTD performance, with highs and lows between $68.97 – $112.89 during the period of 52 weeks, compared to the simple moving average of -10.75% in the period of the last 200 days.

Goldman equity researchers changed the status of Post Holdings, Inc. (NYSE: POST) shares from “Neutral” to a “Buy” rating in the report published on June 22nd, 2020. Other analysts, including DA Davidson, also published their reports on POST shares. DA Davidson repeated the rating from the previous report, marking POST under “Buy” rating, in the report published on January 24th, 2020. Additionally, POST shares got another “Buy” rating from Jefferies. On the other hand, Goldman Resumed the “Neutral” rating for POST shares, as published in the report on November 11th, 2019. BMO Capital Markets seems to be going bullish on the price of POST shares, based on the price prediction for POST, indicating that the shares will jump to $115, giving the shares “Market Perform” rating based on their report from November 11th, 2019. Another “Overweight” rating came from Piper Jaffray, providing a prediction for $115 price target according to the report published in July 19th, 2019.

Post Holdings, Inc. (POST) Analysis

The present dividend yield for POST owners is set at 0, marking the return investors will get regardless of the company’s performance in the upcoming period. However, in order for the company to be able to pay its dividends, just like it is the case with Post Holdings, Inc., the company needs to provide a healthy cash flow, currently at the value of 18.90. In addition, the growth of sales from quarter to quarter is recording 7.70%, hinting the company’s progress in the upcoming progress.

In order to gain a clear insight on the performance of Post Holdings, Inc. (POST) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of -4.40% is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 2.50 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.

Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while POST is currently recording an average of 491.85K in volumes. The volatility of the stock on monthly basis is set at 3.00%, while the weekly volatility levels are marked at 2.36%with -1.65% of loss in the last seven days. Additionally, long-term investors are predicting the target price of $105.58, indicating growth from the present price of $87.62, which can represent yet another valuable research and analysis points that can help you decide whether to invest in POST or pass.

What to Look for When Analyzing Post Holdings, Inc. Shares?

Post Holdings, Inc. (POST) is based in the USA and it represents one of the well-known company operating with Consumer Defensive sector. If you wish to compare POST shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of for Post Holdings, Inc., while the value 19.39 can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value -2.08 is supported by the yearly EPS growth of -38.30%.

Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 6.60%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts 91.20% of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.

Are Institutional Investors Increasing Stakes in POST Shares?

It appears that more than several institutional investors and hedge funds decided to increase stakes in POST in the recent period. That is how Route One Investment Co. LP now has an increase position in POST by 10.97% in the first quarter, owning 6.84 million shares of POST stocks, with the value of $595.89 million after the purchase of an additional 676,433 shares during the last quarter. In the meanwhile, JPMorgan Investment Management, I also increased their stake in POST shares changed 1.98% in the first quarter, which means that the company now owns 3.05 million shares of company, all valued at $265.13 million after the acquisition of additional 59,109 shares during the last quarter.

Iridian Asset Management LLC acquired a new position in Post Holdings, Inc. during the first quarter, with the value of $204.38 million, and SSgA Funds Management, Inc. increased their stake in the company’s shares by 3.53% in the first quarter, now owning 53,984 shares valued at $137.95 million after the acquisition of the additional 1.58 million shares during the last quarter. In the end, The London Company of Virginia LL increased their position by 29.17% during the first quarter, now owning 1.57 million POST shares, now holding the value of $136.48 million in POST with the purchase of the additional 570,213 shares during the period of the last quarter. At the present, 91.20% of POST shares are in the ownership of institutional investors.