In a recent filing with the Securities and Exchange Commission, Utz Brands, Inc. (NYSE:UTZ) reported a significant stock transaction involving CC Collier Holdings, LLC. The transaction, which took place on November 6, involved the sale of 2,815,404 shares of Class A Common Stock at a price of $17.29 per share, totaling approximately $48.68 million.
Following this transaction, CC Collier Holdings now retains 496,038 shares of Utz Brands. The securities were held directly by CC Collier Holdings, with Chinh E. Chu exercising voting and dispositive power over them.
The report also notes that Jason K. Giordano, a Senior Managing Director of CC Capital, may be considered a director by deputization, which could influence the reporting persons' relationship with Utz Brands.
In other recent news, Utz Brands has reported steady growth in its third quarter of 2024 earnings, meeting expectations regarding revenues and adjusted EBITDA. Mizuho (NYSE:MFG) Securities adjusted its outlook on Utz Brands, lowering the price target to $21.00 from the previous $24.00, but maintaining an Outperform rating. Despite pricing pressures, Utz Brands' volume remains on track, supported by new distribution channels and consistent market share growth. The company has confirmed its full-year 2024 guidance and anticipates more than 3% organic sales growth in the fiscal year 2025.
Meanwhile, Piper Sandler has shown confidence in Utz Brands, increasing its price target on the stock to $24 from $22, and maintaining an Overweight rating. The full-year organic growth outlook was reaffirmed at 2% to 2.5%, with kettle production capacity expansion planned to start in Q1 2025. These recent developments indicate a continued success for Utz Brands, underpinned by strategic initiatives aimed at driving growth and expanding market presence.
InvestingPro Insights
In light of the recent stock transaction by CC Collier Holdings, LLC, it's worth examining some key financial metrics and insights for Utz Brands, Inc. (NYSE:UTZ). According to InvestingPro data, Utz Brands has a market capitalization of $2.54 billion, positioning it as a mid-cap company in the consumer goods sector.
Despite the large sale of shares, there are positive indicators for Utz Brands' financial health and future prospects. An InvestingPro Tip reveals that the company has raised its dividend for 4 consecutive years, demonstrating a commitment to returning value to shareholders. This is further supported by a current dividend yield of 1.31% and a dividend growth rate of 3.51% over the last twelve months.
Another encouraging sign is that net income is expected to grow this year, according to InvestingPro Tips. This projection aligns with the company's recent performance, as evidenced by its EBITDA growth of 12.55% over the last twelve months. Additionally, Utz Brands operates with a moderate level of debt, which could provide financial flexibility as it pursues growth opportunities.
It's important to note that while Utz Brands wasn't profitable over the last twelve months, with a negative P/E ratio, analysts predict the company will be profitable this year. This optimism is reflected in the stock's performance, with a one-year price total return of 48.6%.
For investors seeking a more comprehensive analysis, InvestingPro offers additional tips and insights beyond those mentioned here. In fact, there are 5 more InvestingPro Tips available for Utz Brands, which could provide valuable context for understanding the company's financial position and future prospects in light of this significant stock transaction.
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