CODI stock touches 52-week low at $18.75 amid market headwinds

Published 28/03/2025, 14:54
CODI stock touches 52-week low at $18.75 amid market headwinds

Compass Diversified Holdings (NYSE:CODI) stock has reached a 52-week low, dipping to $18.75 as the company navigates through a challenging economic landscape. The $1.42 billion market cap company maintains a robust dividend yield of 5.24% and has consistently paid dividends for 20 consecutive years. According to InvestingPro analysis, the stock is currently trading near its Fair Value. Investors are closely monitoring CODI’s performance as it grapples with market volatility and seeks to establish a foundation for recovery and growth in the coming quarters. Despite recent challenges, the company maintains strong liquidity with a current ratio of 4.07, while delivering revenue growth of 11.87%. Analysts remain optimistic, with multiple upward earnings revisions for the upcoming period.

In other recent news, Compass Diversified Holdings reported its fourth-quarter 2024 earnings, revealing an earnings per share (EPS) of -$0.06, which fell short of analysts’ expectations of $0.56. Despite this earnings miss, the company achieved a 13.8% increase in consolidated net sales year-over-year, amounting to $620.3 million. The company’s adjusted EBITDA also rose by 29% to $118 million, indicating improved operational efficiency. Compass Diversified made strategic moves by acquiring Honeypot and divesting its Ergobaby and Crosman Airgun businesses. Analysts from CJS Securities and TD Cowen have shown interest in the company’s strategic initiatives and tariff exposure, reflecting mixed sentiments in the market. The company remains cautiously optimistic about 2025, projecting consolidated subsidiary adjusted EBITDA between $570 million and $610 million. CEO Elias Sabo emphasized the focus on long-term value creation and innovation, leveraging the company’s permanent capital base.

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