cbdMD Inc. (AMEX: YCBD): The Best-Of-Breed For Investing?


Horizons ETFs Management (Canada).. recently announced the acquisition of new stake in cbdMD Inc. (AMEX:YCBD). The institutional investor has increased its shareholding in the Healthcare company by 237.67% to 0.59 million shares with purchase of 0.42 million shares. This fresh investment now brings its stake to 1.15% valued currently at $1.95 million. In addition, AdvisorShares Investments LLC raised its holdings by 31908.0 to 0.44 million shares. And Merlin Capital LLC has lifted its position by 2.18% or 7572.0 shares – to 0.36 million shares.

With over 1.24 million cbdMD Inc. (YCBD) shares trading Monday and a closing price of $2.47 on the day, the dollar volume was approximately $3.06 million. The shares have shown a negative weekly performance of -9.52% and its price on 08/31/20 lost nearly -8.86%. Currently, there are 51.34M common shares owned by the public and among those 32.74M shares have been available to trade.

An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 2 analysts who have offered their price forecasts for YCBD have a consensus price objective of $5.80. The analysts have set the share’s price value over the next 12 months at a high of $8.00 and a low of $3.60 should the stock experience a downside. Incidentally, analysts’ outlook for the cbdMD Inc. stock is 2.30 for the next 12 months. But an upside of 69.12% will see the stock hit the forecast high price target while mean target price for the stock is $5.80.

Insiders at the company have transacted a total of 18 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 15 of these insider trades were purchases, accounting for 11,919,286 shares. Insider sales of the common stock occurred on 3 occasions, with total insider shares sold totaling 8,760,000 shares.

The top 3 mutual fund holders in cbdMD Inc. are Vanguard Total Stock Market Index, Vanguard Extended Market Index Fu, and AdvisorShares Trust – Pure Cannab. Vanguard Total Stock Market Index owns 0.68 million shares of the company’s stock, all valued at over $2.24 million. AdvisorShares Trust – Pure Cannab now owns shares totaling to 0.92% of the shares outstanding.

Shares of cbdMD Inc. (AMEX: YCBD) opened at $2.71, unchanged from a prior closing price of $2.71. However, the script later closed the day at $2.47, down -8.86%. The company’s stock has a 5-day price change of -9.52% and 59.35% over the past three months. YCBD shares are trading 9.29% year to date (YTD), with the 12-month market performance down to -39.76% lower. It has a 12-month low price of $0.50 and touched a high of $5.19 over the same period. Currently, 1.24 million shares have been traded, compared to an average intraday trading volume of 1.26 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by -21.98%, -9.14%, and 34.86% respectively.

Institutional ownership of cbdMD Inc. (AMEX: YCBD) shares accounts for 11.20% of the company’s 51.34M shares outstanding. Mutual fund holders own 30.32%, while other institutional holders and individual stakeholders account for 6.98% and 3.63% respectively.

It has a market capitalization of $132.07M. The stock’s trailing 12-month PE ratio is 1.92, while the earnings-per-share (ttm) stands at $1.29. Price movements for the stock have been influenced by the stock’s volatility, which stands at 9.18% over the week and 11.11% over the month.

Analysts forecast that cbdMD Inc. (YCBD) will achieve an EPS of -$0.01 for the current quarter, -$0.02 for the next quarter and -$0.08 for 2021. The lowest estimate earnings-per-share for the quarter is -$0.01 while analysts give the company a high EPS estimate of -$0.01. Comparatively, EPS for the current quarter was $0.79 a year ago. Earnings per share for the fiscal year are expected to decrease by -747.80%, and -111.10% over the next financial year.

If you are looking to buy this stock, then you may note that the average analyst recommendation by 2 brokerage firm advisors rate cbdMD Inc. (YCBD) as a “Moderate Buy” at a consensus score of 2.30. Specifically, 1 Wall Street analysts polled rate the stock as a buy, while 1 of the 2 advise that investors “hold,” and 0 rated it as a “Sell.”


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