PriceSmart (NASDAQ:PSMT) Hits New 52-Week High – Still a Buy?

PriceSmart, Inc. (NASDAQ:PSMT) hit a new 52-week high during trading on Wednesday . The company traded as high as $139.00 and last traded at $138.0340, with a volume of 4080 shares trading hands. The stock had previously closed at $136.86.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on PSMT shares. Wall Street Zen downgraded shares of PriceSmart from a “buy” rating to a “hold” rating in a research report on Sunday. Weiss Ratings lowered PriceSmart from a “buy (a-)” rating to a “buy (b+)” rating in a research note on Monday. One research analyst has rated the stock with a Buy rating, According to MarketBeat.com, the company presently has an average rating of “Buy”.

PriceSmart Price Performance

The company has a debt-to-equity ratio of 0.11, a current ratio of 1.33 and a quick ratio of 0.55. The stock has a market capitalization of $4.28 billion, a P/E ratio of 28.14 and a beta of 0.74. The business’s 50 day moving average price is $123.83 and its 200 day moving average price is $117.05.

PriceSmart (NASDAQ:PSMT) last released its quarterly earnings results on Wednesday, January 7th. The company reported $1.29 EPS for the quarter, topping the consensus estimate of $1.28 by $0.01. PriceSmart had a return on equity of 12.20% and a net margin of 2.79%.The company had revenue of $1.38 billion during the quarter, compared to analyst estimates of $1.36 billion. During the same quarter last year, the business posted $1.21 earnings per share. The firm’s revenue was up 9.9% on a year-over-year basis. Sell-side analysts forecast that PriceSmart, Inc. will post 5.28 EPS for the current year.

Insider Activity at PriceSmart

In other PriceSmart news, EVP Paul Kovaleski sold 1,305 shares of the stock in a transaction dated Friday, November 14th. The stock was sold at an average price of $114.55, for a total value of $149,487.75. Following the sale, the executive vice president owned 43,109 shares of the company’s stock, valued at $4,938,135.95. This trade represents a 2.94% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Gordon H. Hanson sold 851 shares of the business’s stock in a transaction that occurred on Friday, November 7th. The stock was sold at an average price of $117.44, for a total value of $99,941.44. Following the transaction, the director owned 7,653 shares in the company, valued at $898,768.32. The trade was a 10.01% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 12,156 shares of company stock worth $1,400,429. Insiders own 17.00% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in PSMT. Geneos Wealth Management Inc. lifted its position in shares of PriceSmart by 560.0% in the 1st quarter. Geneos Wealth Management Inc. now owns 297 shares of the company’s stock worth $26,000 after acquiring an additional 252 shares during the period. BNP PARIBAS ASSET MANAGEMENT Holding S.A. bought a new stake in shares of PriceSmart during the 2nd quarter worth approximately $28,000. First Horizon Corp bought a new position in PriceSmart in the 3rd quarter valued at about $30,000. Steward Partners Investment Advisory LLC lifted its position in PriceSmart by 52.5% during the second quarter. Steward Partners Investment Advisory LLC now owns 363 shares of the company’s stock worth $38,000 after purchasing an additional 125 shares during the period. Finally, Mather Group LLC. bought a new position in shares of PriceSmart in the 3rd quarter valued at $39,000. Institutional investors and hedge funds own 80.46% of the company’s stock.

About PriceSmart

PriceSmart, Inc (NASDAQ: PSMT) is a U.S.-based retailer specializing in membership warehouse clubs. Founded in 1993, the company operates under a business model that offers bulk quantities of goods at discounted prices to individuals and businesses that purchase annual memberships. PriceSmart’s value proposition centers on low-cost operations, high-volume purchasing, and a no-frills shopping environment designed to pass savings directly to its members.

The company’s product assortment covers a broad range of merchandise categories, including groceries and fresh produce, household essentials, electronics, appliances, office supplies, furniture, and health and beauty items.