Jerash Holdings stock price target reiterated at $4 by DA Davidson

Published 13/08/2025, 16:04
Jerash Holdings stock price target reiterated at $4 by DA Davidson

Investing.com - DA Davidson has reiterated its Buy rating and $4.00 price target on Jerash Holdings (NASDAQ:JRSH), citing the company’s strong performance in the first quarter of fiscal 2026. According to InvestingPro analysis, the stock appears undervalued, with a healthy balance sheet showing more cash than debt.

The apparel manufacturer exceeded expectations for both revenue and gross profit in the quarter ended June 2025, according to DA Davidson’s analysis. With revenue growth of 17.1% in the last twelve months and a notable dividend yield of 5.9%, the firm attributes this outperformance to increased demand for Jerash’s lower-cost manufacturing services.

Jerash’s manufacturing facilities in Jordan provide a competitive advantage due to lower tariffs compared to other production locations. The company has also benefited from improved efficiency following the resolution of previous shipping disruptions in the Middle East. InvestingPro subscribers can access 10+ additional insights about JRSH’s competitive position and financial health.

DA Davidson notes that Jerash is expanding its production capacity, which positions the company for accelerated sales and profit growth in upcoming quarters and into next year.

The $4.00 price target is based on a multiple of 4 times DA Davidson’s calendar year 2026 EBITDA estimate for the company.

In other recent news, Jerash Holdings reported its Q1 FY2026 earnings, which showed a notable miss on earnings per share (EPS) compared to analyst forecasts. The company announced an EPS of $0.03, which was below the expected $0.09. Additionally, Jerash Holdings reported revenues of $39.6 million, slightly missing the forecasted $40.4 million. Despite these results, the stock experienced an upward movement in pre-market trading, indicating a positive sentiment among investors. These recent developments highlight the ongoing interest and attention from the investment community. The earnings miss and revenue figures are crucial data points for stakeholders assessing the company’s performance. Investors may be considering operational improvements or other factors that could influence future prospects. Analyst opinions and evaluations may further provide insights into Jerash Holdings’ financial health and market position.

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