Stock Repurchase Plan Authorized by Coffee (NASDAQ:JVA) Board

Coffee (NASDAQ:JVA) declared that its Board of Directors has approved a share buyback program on Wednesday, October 7th, RTT News reports. The company plans to buy back $2.50 million in shares. This repurchase authorization authorizes the company to repurchase up to 11% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company’s management believes its stock is undervalued.

Coffee Stock Up 3.8%

Shares of NASDAQ:JVA opened at $4.63 on Friday. Coffee has a 52-week low of $2.93 and a 52-week high of $5.03. The business has a fifty day moving average of $3.75 and a two-hundred day moving average of $3.93. The stock has a market cap of $26.44 million, a P/E ratio of 5.51 and a beta of 1.41.

Coffee (NASDAQ:JVA) last posted its earnings results on Friday, September 11th. The company reported $0.35 earnings per share for the quarter, beating the consensus estimate of $0.01 by $0.34. The company had revenue of $21.69 million for the quarter, compared to analyst estimates of $23.00 million. Coffee had a net margin of 4.85% and a return on equity of 16.20%.

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on JVA shares. Weiss Ratings upgraded Coffee from a “hold (c)” rating to a “hold (c+)” rating in a report on Thursday. DA Davidson set a $10.00 price objective on shares of Coffee in a research note on Wednesday, August 12th. Two equities research analysts have rated the stock with a Hold rating. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $9.50.

About Coffee

Coffee Holding Co, Inc (NASDAQ:JVA) is a specialty coffee processor, roaster, packager and distributor headquartered in Staten Island, New York. The company supplies coffee products to retail, foodservice and private-label customers, offering roasted whole-bean and ground coffee as well as other coffee formats.

The company markets products under its own brands and also produces coffee for third-party customers. Its activities include sourcing green coffee beans, roasting and blending coffee, packaging finished products, and distributing them through grocery, foodservice and wholesale channels.

Coffee Holding was founded in 1975 and has expanded its business through branded products, private-label production and acquisitions.