Karman (NYSE:KRMN) Shares Gap Down – Should You Sell?

Karman Holdings Inc. (NYSE:KRMN)’s stock price gapped down prior to trading on Wednesday . The stock had previously closed at $62.48, but opened at $56.74. Karman shares last traded at $58.7030, with a volume of 890,317 shares changing hands.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on KRMN. Raymond James Financial reiterated a “strong-buy” rating and issued a $130.00 price target on shares of Karman in a report on Thursday, January 22nd. Needham & Company LLC restated a “buy” rating and set a $125.00 target price on shares of Karman in a research note on Thursday, April 9th. Citigroup boosted their target price on Karman from $125.00 to $127.00 and gave the stock a “buy” rating in a research note on Thursday, March 26th. KeyCorp boosted their target price on Karman from $80.00 to $122.00 and gave the stock an “overweight” rating in a research note on Wednesday, January 28th. Finally, Evercore set a $100.00 target price on Karman in a research note on Wednesday. Two analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, Karman has a consensus rating of “Moderate Buy” and an average price target of $114.60.

Karman Trading Down 1.8%

The company has a 50 day moving average of $84.90 and a two-hundred day moving average of $83.35. The company has a debt-to-equity ratio of 1.50, a quick ratio of 3.17 and a current ratio of 3.29. The stock has a market capitalization of $8.76 billion, a PE ratio of 287.29 and a beta of 0.68.

Karman (NYSE:KRMN) last issued its quarterly earnings data on Tuesday, May 12th. The company reported $0.11 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.08 by $0.03. The business had revenue of $151.21 million during the quarter, compared to analysts’ expectations of $150.19 million. Karman had a return on equity of 15.29% and a net margin of 5.73%.The company’s revenue for the quarter was up 51.0% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.05 EPS. Sell-side analysts predict that Karman Holdings Inc. will post 0.61 EPS for the current year.

Hedge Funds Weigh In On Karman

Institutional investors and hedge funds have recently modified their holdings of the stock. GAMMA Investing LLC lifted its holdings in shares of Karman by 83.7% in the 4th quarter. GAMMA Investing LLC now owns 373 shares of the company’s stock valued at $27,000 after buying an additional 170 shares during the period. EverSource Wealth Advisors LLC lifted its holdings in shares of Karman by 889.7% in the 4th quarter. EverSource Wealth Advisors LLC now owns 386 shares of the company’s stock valued at $28,000 after buying an additional 347 shares during the period. Towarzystwo Funduszy Inwestycyjnych PZU SA acquired a new position in shares of Karman in the 3rd quarter valued at about $29,000. Huntington National Bank acquired a new position in shares of Karman in the 4th quarter valued at about $32,000. Finally, Kestra Advisory Services LLC acquired a new position in shares of Karman in the 4th quarter valued at about $32,000.

About Karman

We specialize in the upfront design, testing, manufacturing, and sale of mission-critical systems for existing and emerging missile and defense, and space programs. Our integrated payload protection, propulsion, and interstage system solutions are deployed across a wide variety of existing and emerging programs supporting important Department of Defense (“DoD”) and space sector initiatives. We estimate that no single program accounted for more than 10% of sales for the nine months ended September 30, 2024 or the twelve months ended December 31, 2023, with revenue from over 100 active programs supporting current production and next-generation space, missile, hypersonic, and defense applications.