Avon Products, Inc. (NYSE:AVP) shares are skyrocketing this morning after rumors have emerged that Oprah Winfrey may be interested in acquiring a stake in the company. While the grounds for the rumor are very shaky, we all know that Oprah, who is said to be worth over $3.1 billion could certainly afford to make some sort of move, although a full scale acquisition probably would not be the case.
Avon Products, Inc. (NYSE:AVP), a company that makes $10 billion in annual sales is worth approximately $1.7 billion, and that’s even a lot of money to Oprah Winfrey.
It should be interesting to follow this stock in the coming days and see if any solid news emerges on a possible deal. The stock is up 13.18% or $0.46 following the news, hitting $3.95 per share. About 1.95M shares traded hands. AVP has declined 59.75% since April 29, 2015 and is downtrending. It has underperformed the S&P500 by 59.55%.
From a total of 5 analysts covering Avon Products Inc. (NYSE:AVP) stock, 2 rate it a “Buy”, 1 a “Sell”, and 2 a “Hold”. This means that 40% of the ratings are positive. The highest target price is $10 while the lowest target price is $3.20. The mean of all analyst targets is $5.93 which is 50.13% above today’s ($3.95) stock price. Avon Products Inc. was the topic of 8 analyst reports since August 3, 2015 according to the firm StockzIntelligence Inc. Citigroup upgraded shares on November 24 to a “Buy” rating. B. Riley & Co maintained AVP stock in a recent report from November 5 with a “Neutral” rating.
The institutional sentiment decreased to 0.72 in Q2 2015. It’s down 0.18, from 0.9 in 2015Q1. The ratio dived, as 88 funds sold all their Avon Products, Inc. shares they owned while 114 reduced their positions. 39 funds bought stakes while 106 increased their total positions. Institutions now own 435.94 million shares which is 5.94% more than the previous share count of 411.50 million in 2015Q1.
Royal Capital Management Llc holds 5.21% of its total portfolio in Avon Products, Inc., equating to 385,000 shares. Mcclain Value Management Llc owns 1.73 million shares representing 2.71% of their total US portfolio. Moreover, Parametrica Management Ltd has 2.53% of their total portfolio invested in the company, equating to 10,133 shares. The Pennsylvania-based Mcglinn Capital Management Inc has a total of 1.87% of their portfolio invested in the stock. Weitz Investment Management Inc., a Nebraska-based fund reported 8.86 million shares owned.
Avon Products, Inc. is a manufacturer and marketer of beauty and related products. The company has a market cap of $1.72 billion. The Company’s offers its products under two product categories: Beauty and Fashion & Home. It currently has negative earnings. Beauty consists of skincare , fragrance and color (cosmetics).