Monday, September 25, 2023
Joe Gomes, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.
Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Price Momentum. LWAY shares continue their rise, closing last Friday at $12.42, above our recently raised $12 price target. LWAY shares are up 97% since closing at $6.30 the Friday before the August 14th 2Q23 earnings release and are up nearly 124% YTD. Notably, volume continues to show strong momentum, with the ADV since August 14 at 136,522 shares, compared to a 90 day ADV of 15,430 shares just prior to the August 14th earnings release.
Rationale. With the sharp price rise, LWAY shares are likely to enter a consolidation phase, in our view. Further significant price appreciation leans towards operating results exceeding expectations and/or a potential acquisition of the Company, in our view. With insiders controlling nearly 50% of the outstanding shares, we do not believe a sale of the Company is in the cards.
Get the Full Report
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.