Torrid (NYSE:CURV) Shares Gap Down - Here's Why

Torrid Holdings Inc. (NYSE:CURV - Get Free Report) shares gapped down prior to trading on Tuesday . The stock had previously closed at $5.34, but opened at $4.88. Torrid shares last traded at $5.06, with a volume of 96,280 shares trading hands.

Analyst Ratings Changes

A number of equities analysts have weighed in on the stock. The Goldman Sachs Group downgraded shares of Torrid from a "neutral" rating to a "sell" rating and set a $4.00 target price for the company. in a research note on Tuesday. Telsey Advisory Group upped their price objective on Torrid from $5.00 to $6.00 and gave the stock a "market perform" rating in a report on Friday, March 21st. Finally, Morgan Stanley lifted their target price on Torrid from $3.00 to $4.00 and gave the company an "underweight" rating in a research note on Tuesday, January 21st. Two equities research analysts have rated the stock with a sell rating, one has assigned a hold rating and two have issued a buy rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and an average target price of $4.75.

Torrid Price Performance

The stock's 50 day moving average is $5.56 and its two-hundred day moving average is $5.09. The firm has a market capitalization of $619.08 million, a P/E ratio of 39.33, a P/E/G ratio of 1.03 and a beta of 1.96.

Torrid (NYSE:CURV - Get Free Report) last posted its earnings results on Thursday, March 20th. The company reported ($0.03) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.07) by $0.04. Torrid had a negative return on equity of 7.68% and a net margin of 1.35%. The company had revenue of $275.60 million during the quarter, compared to analyst estimates of $263.34 million. During the same period in the previous year, the company earned ($0.04) EPS. The company's revenue for the quarter was down 6.1% compared to the same quarter last year. As a group, equities research analysts expect that Torrid Holdings Inc. will post 0.14 EPS for the current year.

Hedge Funds Weigh In On Torrid

Several institutional investors and hedge funds have recently made changes to their positions in CURV. Rhumbline Advisers grew its stake in Torrid by 27.1% in the first quarter. Rhumbline Advisers now owns 21,886 shares of the company's stock valued at $120,000 after acquiring an additional 4,673 shares during the period. Two Sigma Advisers LP acquired a new position in shares of Torrid in the 4th quarter valued at approximately $80,000. State of Wyoming acquired a new position in shares of Torrid in the 4th quarter valued at approximately $570,000. Shay Capital LLC raised its holdings in Torrid by 140.2% during the 4th quarter. Shay Capital LLC now owns 478,880 shares of the company's stock worth $2,505,000 after buying an additional 279,521 shares during the period. Finally, Nomura Holdings Inc. bought a new position in Torrid in the fourth quarter valued at approximately $14,240,000. Institutional investors and hedge funds own 81.82% of the company's stock.

About Torrid

Torrid Holdings Inc operates in women's plus-size apparel and intimates market in North America. The company designs, develops, and merchandises its products under the Torrid, Torrid Curve, CURV, and Lovesick brand names. It is involved in the sale of tops, bottoms, dresses, denims, activewear, intimates, sleep wear, swim wear, and outerwear products; and non-apparel products comprising accessories, footwear, and beauty products.