Franchise Group (NASDAQ:FRG) Announces Quarterly Earnings Results

Franchise Group (NASDAQ:FRGGet Rating) announced its quarterly earnings data on Thursday. The company reported $1.19 earnings per share for the quarter, missing the consensus estimate of $1.23 by ($0.04), Briefing.com reports. Franchise Group had a net margin of 9.11% and a return on equity of 24.13%. The firm had revenue of $1.09 billion for the quarter, compared to the consensus estimate of $1.14 billion. During the same period last year, the company posted $1.16 earnings per share. Franchise Group’s revenue for the quarter was up 26.8% on a year-over-year basis. Franchise Group updated its FY 2022 guidance to $4.00-$4.00 EPS and its FY22 guidance to $4.00 EPS.

Franchise Group Stock Performance

Shares of NASDAQ:FRG traded down $2.78 during trading on Friday, hitting $31.34. 988,844 shares of the company were exchanged, compared to its average volume of 331,146. The company has a market cap of $1.26 billion, a PE ratio of 3.61, a P/E/G ratio of 0.46 and a beta of 1.61. The stock has a 50 day moving average of $35.13 and a 200 day moving average of $39.84. Franchise Group has a 52-week low of $29.66 and a 52-week high of $55.10. The company has a debt-to-equity ratio of 1.71, a current ratio of 1.42 and a quick ratio of 0.75.

Franchise Group Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, October 14th. Shareholders of record on Friday, September 30th will be issued a dividend of $0.625 per share. This represents a $2.50 annualized dividend and a yield of 7.98%. The ex-dividend date is Thursday, September 29th. Franchise Group’s dividend payout ratio (DPR) is 28.80%.

Insiders Place Their Bets

In related news, CEO Brian Randall Kahn bought 100,000 shares of the company’s stock in a transaction on Monday, May 9th. The shares were purchased at an average price of $37.50 per share, for a total transaction of $3,750,000.00. Following the completion of the transaction, the chief executive officer now directly owns 8,864,610 shares in the company, valued at approximately $332,422,875. The transaction was disclosed in a filing with the SEC, which is available at this link. Company insiders own 32.30% of the company’s stock.

Institutional Investors Weigh In On Franchise Group

A number of institutional investors and hedge funds have recently made changes to their positions in FRG. Advisor Group Holdings Inc. raised its position in shares of Franchise Group by 62.3% in the first quarter. Advisor Group Holdings Inc. now owns 2,731 shares of the company’s stock worth $113,000 after buying an additional 1,048 shares in the last quarter. JPMorgan Chase & Co. raised its position in shares of Franchise Group by 16.9% in the first quarter. JPMorgan Chase & Co. now owns 21,011 shares of the company’s stock worth $871,000 after buying an additional 3,040 shares in the last quarter. HighTower Advisors LLC purchased a new stake in shares of Franchise Group in the first quarter worth $226,000. MetLife Investment Management LLC increased its stake in Franchise Group by 53.2% in the first quarter. MetLife Investment Management LLC now owns 15,045 shares of the company’s stock valued at $623,000 after acquiring an additional 5,225 shares during the last quarter. Finally, Great West Life Assurance Co. Can increased its stake in Franchise Group by 44.2% in the first quarter. Great West Life Assurance Co. Can now owns 2,308 shares of the company’s stock valued at $100,000 after acquiring an additional 707 shares during the last quarter. Hedge funds and other institutional investors own 45.51% of the company’s stock.

Analysts Set New Price Targets

Separately, B. Riley reduced their price objective on Franchise Group from $63.00 to $49.00 in a report on Friday.

About Franchise Group

(Get Rating)

Franchise Group, Inc owns and operates franchised and franchisable businesses. It operates through six segments: Vitamin Shoppe, Pet Supplies Plus, Badcock, American Freight, Buddy's, and Sylvan. The Vitamin Shoppe segment operates as an omnichannel specialty retailer of vitamins, minerals, herbs, specialty supplements, sports nutrition, and other health and wellness products under the BodyTech, True Athlete, plnt, The Vitamin Shoppe, ProBioCare, Fitfactor Weight Management System, and Vthrive The Vitamin Shoppe brands.

See Also

Earnings History for Franchise Group (NASDAQ:FRG)

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