August 2, 2023 – Yousif Capital Management LLC, a prominent investment firm, has recently made a significant reduction in its holdings of TreeHouse Foods, Inc. (NYSE:THS). According to the company’s latest filing with the Securities & Exchange Commission (SEC), Yousif Capital Management LLC reduced its position in TreeHouse Foods by 11.3% during the first quarter of this year. This move entailed selling approximately 3,660 shares, leaving the fund with a remaining ownership of 28,593 shares. The total value of this stake is estimated to be around $1,442,000 as per the latest SEC filing.
TreeHouse Foods is a well-established manufacturer and distributor of private label foods and beverages both within the United States and internationally. The company boasts an extensive product portfolio that includes various snacking options such as crackers, pretzels, cookies, snack bars, frozen griddle items, and unique candies. Additionally, TreeHouse Foods offers an array of beverage and drink mix options including non-dairy creamer, single-serve beverages, broths/stocks, powdered beverages and other blends, tea varieties as well as ready-to-drink beverages.
In related news impacting TreeHouse Foods’ stock performance recently was the sale of 7,828 shares by Director Mark Hunter on June 23rd. The average price at which these shares were sold was $52.41 with a total transaction value amounting to $410,265.48. Following this transaction, Mark Hunter’s remaining stake in the company stands at 4,567 shares which are valued at approximately $239,356.47 based on current market prices. The details of this sale have been officially disclosed in a document filed with the SEC and can be accessed through their website for further reference purposes.
It is worth noting that currently only 0.93% of TreeHouse Foods’ stock is owned by company insiders, which highlights the sound diversification of ownership within the organization. This decentralization of ownership helps to promote representation and engagement from various stakeholders, enhancing transparency, and contributing to a balanced decision-making process.
Yousif Capital Management LLC’s recent reduction in its holdings of TreeHouse Foods may be seen as part of a broader diversification strategy or an adjustment in Yousif Capital Management LLC’s investment portfolio. Although this move represents a decrease in their overall stake, it remains vital to consider the substantial value that Yousif Capital still holds in TreeHouse Foods.
This development piques interest within the investment community and prompts questions regarding evolving market trends, future forecasts for TreeHouse Foods’ performance, and potential implications for other investors. As with any investment decisions, it is important for investors to closely analyze the specific dynamics surrounding these developments before drawing definitive conclusions about their implications.
Overall, Yousif Capital Management LLC’s reduction in its position of TreeHouse Foods shares sheds light on the evolving landscape of investment strategies within the food manufacturing industry. As investors closely monitor these developments, only time will reveal the underlying motivations behind this strategic shift and how it will contribute to both Yousif Capital Management LLC’s portfolio management objectives and TreeHouse Foods’ future trajectory.
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TreeHouse Foods, Inc Receives Increased Interest from Institutional Investors
[stock_market_widget type=”chart” template=”basic” color=”#3946CE” assets=”THS” range=”1mo” interval=”1d” axes=”true” cursor=”true” range_selector=”true” api=”yf”]August 2, 2023 – TreeHouse Foods, Inc (NYSE: THS), a leading manufacturer and distributor of private label foods and beverages, has seen an increase in interest from institutional investors. This comes as hedge funds and other institutional investors have either added to or reduced their stakes in the company.
Russell Investments Group Ltd. raised its holdings in TreeHouse Foods by 18.5% during the fourth quarter of 2022. The firm now owns 517,574 shares of the company’s stock, valued at $25,558,000. Nordea Investment Management AB also increased its holdings by 12.9% during the same period, now owning 151,815 shares valued at $7,406,000.
Other notable investors include Legato Capital Management LLC, which bought a new stake in TreeHouse Foods valued at $791,000 during the fourth quarter of last year. Convergence Investment Partners LLC raised its holdings by 13.2%, now owning 5,149 shares worth $254,000. Premier Fund Managers Ltd also acquired a new stake during this period with an estimated value of $3,390,000.
These investments signify the confidence institutional investors have in TreeHouse Foods and its potential for growth in the future. Currently, approximately 99.55% of the company’s stock is owned by institutional investors.
Several brokerages have issued reports on THS indicating positive sentiment towards the company’s stock performance. TheStreet upgraded their rating on Monday July 3rd from a “c+” to a “b-“. Stifel Nicolaus also expressed optimism by boosting their price objective from $53.00 to $56.00 on Wednesday June 14th.
StockNews.com initiated coverage on TreeHouse Foods on Thursday May 18th with a “hold” rating assigned to the stock. In contrast, UBS Group raised their price objective from $60.00 to $64.00 on Tuesday May 9th, indicating a more favorable outlook.
Barclays, however, reduced their price objective from $57.00 to $55.00 and maintained an “equal weight” rating on the stock in a research report released on Thursday July 20th.
According to Bloomberg.com, TreeHouse Foods currently has an average rating of “Hold” among analysts, with a consensus price target of $56.40.
TreeHouse Foods is primarily engaged in manufacturing and distributing private label foods and beverages in the United States and internationally. The company offers a wide range of products including snacking items like crackers, pretzels, cookies, and unique candy. Additionally, TreeHouse provides beverage and drink mixes such as non-dairy creamer, single-serve beverages, broths/stocks, tea, and ready-to-drink beverages.
On Wednesday August 2nd, NYSE:THS opened at $51.52. The firm’s 50-day moving average price is $50.50 while its 200-day moving average stands at $50.03.There is currently a market capitalization of approximately $2.90 billion for the company with a PE ratio of -22.60 and beta value of 0.45.
treeHouse Foods has faced volatility in its stock value over the past year where it reached a low of $40.56 per share and peaked at $55.30 per share.
In terms of recent financial performance, TreeHouse Foods reported earnings per share (EPS) of $0.68 for the quarter ended May 8th, surpassing analysts’ consensus estimates by $0.28 per share or approximately a third higher than expected ($0.40). Revenue for the same period was reported to be $894.80 million compared to market expectations of around $850 million.
The positive earnings signify strong performance growth for TreeHouse Foods, with a revenue increase of 15.8% compared to the same quarter of the previous year. The company’s net margin, however, remained negative at 3.23%. On a positive note, TreeHouse Foods demonstrated a return on equity of 5.90%.
Equities analysts project that TreeHouse Foods will post an average EPS of approximately $2.61 for the current fiscal year.
TreeHouse Foods continues to demonstrate its resilience in the private label food and beverage industry through its strong financial performance and investments from institutional investors. With its diverse product offerings and positive market sentiment, the company is poised to carve out a significant share in the global food and beverage market.
