Demystifying Driven Brands Hldgs: Insights From 5 Analyst Reviews

Providing a diverse range of perspectives from bullish to bearish, 5 analysts have published ratings on Driven Brands Hldgs DRVN in the last three months.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Insights from analysts' 12-month price targets are revealed, presenting an average target of $20.0, a high estimate of $23.00, and a low estimate of $16.00. Surpassing the previous average price target of $17.38, the current average has increased by 15.07%.

Understanding Analyst Ratings: A Comprehensive Breakdown

The perception of Driven Brands Hldgs by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Driven Brands Hldgs. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Driven Brands Hldgs compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Driven Brands Hldgs's stock. This comparison reveals trends in analysts' expectations over time.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Driven Brands Hldgs's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Driven Brands Hldgs analyst ratings.

All You Need to Know About Driven Brands Hldgs

Driven Brands Holdings Inc is an automotive services company in North America. Its platform provides high-quality services to an extensive range of retail and commercial customers. The company provides an extensive range of core consumer and commercial automotive needs, including paint, collision, glass, and repair services, as well as a variety of high-frequency services, such as oil changes and car washes. The company segments include: Maintenance, Car Wash, Paint, Collision & Glass, and Platform Services. It derives maximum revenue from Maintenance Segment. Geographically, the company operates into United States, Canada and Rest of the World.

Driven Brands Hldgs's Financial Performance

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Revenue Growth: Driven Brands Hldgs's revenue growth over a period of 3 months has been noteworthy. As of 31 December, 2024, the company achieved a revenue growth rate of approximately 1.89%. This indicates a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Industrials sector.

Net Margin: Driven Brands Hldgs's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -54.36%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Driven Brands Hldgs's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -39.06%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -5.56%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 6.58, caution is advised due to increased financial risk.

How Are Analyst Ratings Determined?

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.