Avon Products (NYSE:AVP) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a note issued to investors on Tuesday, March 13th.
According to Zacks, “Avon outperformed the industry in the past three months driven by continued progress on Transformation Plan, which delivered above its cost-saving plan for 2017. The company realized cost savings of more than $250 million in 2017, beating the targeted $230 million. The company’s better-than-expected fourth-quarter 2017 earnings, after five straight quarters of negative surprise, also aided stock performance. Earnings gained from considerable margin growth owing to lower bad-debt expenses and benefits from cost reduction initiatives, alongside tax gains from the new tax reform. However, sales reverted to negative surprise trend after a beat in the last quarter, driven by declines in both Active and Ending Representatives in most segments. Going forward, Avon expects sales to be pressured due to a tough macro backdrop. Nonetheless, it expects execution of significant operational improvements in 2018, despite continued competitive pressures.”
A number of other brokerages have also weighed in on AVP. ValuEngine lowered shares of Avon Products from a “hold” rating to a “sell” rating in a research note on Wednesday, March 7th. Royal Bank of Canada reiterated a “sector perform” rating and issued a $2.00 target price on shares of Avon Products in a report on Friday, February 16th. Deutsche Bank boosted their price target on shares of Avon Products from $2.00 to $3.00 and gave the company a “hold” rating in a report on Friday, February 16th. Jefferies Group set a $2.00 price target on shares of Avon Products and gave the company a “sell” rating in a report on Thursday, February 15th. Finally, Bank of America lowered shares of Avon Products from a “neutral” rating to an “underperform” rating and cut their price target for the company from $3.00 to $2.50 in a report on Thursday, January 4th. Four research analysts have rated the stock with a sell rating, four have given a hold rating and one has issued a buy rating to the stock. Avon Products presently has an average rating of “Hold” and an average target price of $2.47.
Avon Products (NYSE:AVP) last posted its quarterly earnings results on Thursday, February 15th. The company reported $0.12 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.07 by $0.05. The business had revenue of $1.57 billion during the quarter, compared to analyst estimates of $1.60 billion. Avon Products had a net margin of 0.38% and a negative return on equity of 6.19%. The company’s quarterly revenue was up .1% on a year-over-year basis. During the same period in the previous year, the business posted $0.01 EPS. equities research analysts forecast that Avon Products will post 0.18 earnings per share for the current fiscal year.
Hedge funds and other institutional investors have recently bought and sold shares of the stock. Systematic Financial Management LP boosted its holdings in shares of Avon Products by 21.7% during the 3rd quarter. Systematic Financial Management LP now owns 572,790 shares of the company’s stock worth $1,335,000 after buying an additional 102,010 shares during the period. Gabelli Funds LLC boosted its holdings in shares of Avon Products by 28.0% during the 4th quarter. Gabelli Funds LLC now owns 640,000 shares of the company’s stock worth $1,376,000 after buying an additional 140,000 shares during the period. Shah Capital Management raised its stake in Avon Products by 15.1% during the 4th quarter. Shah Capital Management now owns 8,014,702 shares of the company’s stock valued at $17,231,000 after purchasing an additional 1,052,412 shares during the last quarter. Spark Investment Management LLC raised its stake in Avon Products by 22.5% during the 4th quarter. Spark Investment Management LLC now owns 878,800 shares of the company’s stock valued at $1,889,000 after purchasing an additional 161,400 shares during the last quarter. Finally, California Public Employees Retirement System raised its stake in Avon Products by 17.5% during the 3rd quarter. California Public Employees Retirement System now owns 2,667,867 shares of the company’s stock valued at $6,216,000 after purchasing an additional 396,639 shares during the last quarter. 83.61% of the stock is owned by institutional investors and hedge funds.
ILLEGAL ACTIVITY WARNING: This story was first published by StockNewsTimes and is the property of of StockNewsTimes. If you are accessing this story on another website, it was copied illegally and republished in violation of US & international copyright laws. The original version of this story can be read at https://stocknewstimes.com/2018/03/22/zacks-investment-research-upgrades-avon-products-avp-to-hold.html.
About Avon Products
Avon Products, Inc is a manufacturer and marketer of beauty and related products. The Company’s segments include Europe, Middle East & Africa; South Latin America; North Latin America, and Asia Pacific. Its product categories are Beauty, and Fashion and Home. Beauty consists of skincare (which includes personal care), fragrance and color (cosmetics).
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Avon Products Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Avon Products and related companies with MarketBeat.com's FREE daily email newsletter.