Mama’s Creations (NASDAQ:MAMA) Shares Gap Down – Should You Sell?

Mama’s Creations, Inc. (NASDAQ:MAMA) shares gapped down before the market opened on Tuesday . The stock had previously closed at $20.65, but opened at $17.80. Mama’s Creations shares last traded at $17.6410, with a volume of 415,286 shares trading hands.

Analysts Set New Price Targets

Several analysts have commented on the stock. Weiss Ratings lowered shares of Mama’s Creations from a “buy (b-)” rating to a “hold (c+)” rating in a report on Friday, June 5th. Zacks Research lowered Mama’s Creations from a “strong-buy” rating to a “hold” rating in a research report on Monday, April 27th. DA Davidson reissued a “buy” rating and issued a $25.00 price target on shares of Mama’s Creations in a research report on Wednesday, May 20th. Finally, Wall Street Zen raised shares of Mama’s Creations from a “hold” rating to a “buy” rating in a research report on Saturday, June 13th. Four investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $18.80.

Mama’s Creations Stock Down 11.9%

The company’s 50 day simple moving average is $15.13 and its 200-day simple moving average is $14.99. The company has a current ratio of 2.32, a quick ratio of 1.90 and a debt-to-equity ratio of 0.09. The firm has a market cap of $740.91 million, a P/E ratio of 130.01 and a beta of 0.60.

Mama’s Creations (NASDAQ:MAMA) last issued its quarterly earnings data on Monday, June 8th. The company reported $0.05 earnings per share for the quarter, beating analysts’ consensus estimates of $0.03 by $0.02. Mama’s Creations had a net margin of 3.21% and a return on equity of 14.69%. The company had revenue of $52.77 million for the quarter, compared to the consensus estimate of $51.63 million. During the same quarter in the prior year, the firm earned $0.03 earnings per share. Research analysts forecast that Mama’s Creations, Inc. will post 0.26 earnings per share for the current fiscal year.

Insider Activity at Mama’s Creations

In related news, CEO Adam Laurance Michaels sold 16,223 shares of the company’s stock in a transaction on Thursday, April 16th. The stock was sold at an average price of $15.30, for a total transaction of $248,211.90. Following the completion of the sale, the chief executive officer owned 695,288 shares in the company, valued at approximately $10,637,906.40. This represents a 2.28% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 1.03% of the stock is owned by insiders.

Institutional Investors Weigh In On Mama’s Creations

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Creative Planning bought a new position in shares of Mama’s Creations in the 2nd quarter worth approximately $141,000. Rhumbline Advisers increased its holdings in Mama’s Creations by 4.8% during the second quarter. Rhumbline Advisers now owns 46,824 shares of the company’s stock valued at $389,000 after buying an additional 2,125 shares during the last quarter. American Century Companies Inc. raised its position in Mama’s Creations by 1.6% in the second quarter. American Century Companies Inc. now owns 89,062 shares of the company’s stock worth $739,000 after acquiring an additional 1,375 shares during the period. Prudential Financial Inc. purchased a new position in shares of Mama’s Creations during the 2nd quarter worth $100,000. Finally, Quantbot Technologies LP purchased a new position in shares of Mama’s Creations during the 2nd quarter worth $136,000. Hedge funds and other institutional investors own 45.18% of the company’s stock.

Mama’s Creations Company Profile

Mama’s Creations, Inc engages in the marketing, manufacturing, and distribution of beef meatballs with sauce, turkey meatballs with sauce, beef meat loaf, sausage and peppers, chicken parmesan, and other similar meats and sauces. Its products include beef meatballs, turkey meatballs, stuffed meatballs, lasagna roll ups, retail ready meals, bulk deli, single-size pasta bowls, and packaged refrigerated products. Its brands include MamaMancini’s, Creative Salads, and The Olive Branch. The company was founded by Daniel Dougherty on July 22, 2009 and is headquartered in East Rutherford, NJ.