Boston, MA 03/19/2014 (wallstreetpr) – Sequential Brands Group Inc. (NASDAQ:SQBG) continues to expand in the market with its shares surging by as much as 18% on Tuesday trading session. The rally has also seen higher solid volumes exchanging hands with the company’s stock growing by as much as 41.24% over the past one month time frame.
The surge is expected to continue in the coming months especially with the appointment of Jameel Spencer as the new Chief Marketing officer who comes with lots of experience having worked with big brands such as Calvin Klein and Bad Boy’s. The company had an impressive year in 2013 that’s aw its profitability metrics increase significantly with the company planning to build on the strong platform.
Analysts at Piper Jaffrey have initiated coverage of the company’s stock giving it a rating of “Overweight” with analysts at Canaccord reiterating a buy rating with share price target of $9.
Sequential Brands financial records
Sequential Brands Group Inc. (NASDAQ:SQBG) last issued its financial results on February 27 in which earnings per share came in at $0.20 beating consensus estimates of $0.14. Fourth quarter revenue grew by 480% coming in at $10.6 million compared to the previous year same quarter revenues of $1.8 million. Net profit for the quarter stood at $5.2 million compared to a net loss of $0.97 million the prior year same quarter.
Full year revenue clocked at a high of $22.7 million compared to a low of $5.3 million reported in 2012, full year net income came in at $6.6 million or $0.35 per share against a loss of $0.6 million in 2012. The increase in revenue and net income was as a result of growth in licensing and growth of the three major brands
Sequential Brands Group Inc. (NASDAQ:SQBG) expects to report 55% in EBITDA margin for the current fiscal year with Revenue in the range of between $28 and $30 million while also planning to acquire new brands.
Sequential Brands Group Inc. (NASDAQ:SQBG) was up by 1.63% on Tuesday trading session closing at a high of $8.11.
