Short Interest in The Honest Company, Inc. (NASDAQ:HNST) Grows By 37.2%

The Honest Company, Inc. (NASDAQ:HNST) was the target of a large growth in short interest in the month of January. As of January 15th, there was short interest totalling 3,540,000 shares, a growth of 37.2% from the December 31st total of 2,580,000 shares. Approximately 4.9% of the company’s shares are short sold. Based on an average daily volume of 3,330,000 shares, the short-interest ratio is currently 1.1 days.

Honest Stock Performance

Honest stock opened at $6.41 on Friday. Honest has a twelve month low of $2.40 and a twelve month high of $8.97. The company’s 50-day moving average price is $6.96 and its 200-day moving average price is $5.12.

Analysts Set New Price Targets

HNST has been the subject of several recent research reports. Alliance Global Partners raised their price objective on Honest from $5.75 to $8.00 and gave the company a “buy” rating in a research report on Wednesday, November 13th. Loop Capital cut shares of Honest from a “buy” rating to a “hold” rating and set a $7.00 price objective on the stock. in a report on Tuesday, December 17th. Telsey Advisory Group lifted their target price on shares of Honest from $6.00 to $7.00 and gave the company a “market perform” rating in a report on Friday, January 10th. Northland Securities upped their price target on Honest from $7.50 to $9.50 and gave the stock an “outperform” rating in a research note on Wednesday, December 4th. Finally, B. Riley raised their price objective on shares of Honest from $6.50 to $7.00 and gave the company a “buy” rating in a research note on Wednesday, November 13th. Three investment analysts have rated the stock with a hold rating, four have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $6.93.

Insiders Place Their Bets

In other Honest news, Director Jessica Warren sold 465,000 shares of the firm’s stock in a transaction dated Tuesday, December 10th. The shares were sold at an average price of $7.55, for a total value of $3,510,750.00. Following the completion of the sale, the director now directly owns 1,170,058 shares in the company, valued at $8,833,937.90. This trade represents a 28.44 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. Also, General Counsel Brendan Sheehey sold 107,653 shares of the company’s stock in a transaction that occurred on Monday, November 18th. The stock was sold at an average price of $7.01, for a total value of $754,647.53. Following the transaction, the general counsel now owns 517,861 shares in the company, valued at $3,630,205.61. This trade represents a 17.21 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 799,818 shares of company stock valued at $5,975,421 in the last ninety days. Company insiders own 8.60% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the stock. Connor Clark & Lunn Investment Management Ltd. raised its position in shares of Honest by 216.0% in the 3rd quarter. Connor Clark & Lunn Investment Management Ltd. now owns 545,323 shares of the company’s stock worth $1,947,000 after acquiring an additional 372,749 shares in the last quarter. Walleye Capital LLC purchased a new position in Honest in the third quarter valued at about $260,000. Harbor Capital Advisors Inc. raised its holdings in Honest by 122.5% in the third quarter. Harbor Capital Advisors Inc. now owns 219,697 shares of the company’s stock worth $784,000 after purchasing an additional 120,937 shares in the last quarter. Mainstream Capital Management LLC purchased a new stake in shares of Honest during the third quarter valued at about $843,000. Finally, Inspire Investing LLC bought a new stake in shares of Honest in the 3rd quarter valued at about $806,000. Hedge funds and other institutional investors own 45.54% of the company’s stock.

Honest Company Profile

The Honest Company, Inc manufactures and sells diapers and wipes, skin and personal care, and household and wellness products. The company also offers baby clothing and nursery bedding products. It sells its products through digital and retail sales channels, such as its website and third-party ecommerce sites, as well as brick and mortar retailers.