- BARK rises 20% on new CEO announcement.
- Bark stock price was down more than 75% since IPO.
- BARK shares trade at just 1.5 times current fiscal year revenue estimate.
Bark (BARK) shares soared 20% in the first hour of trading on Tuesday after post-market news from Monday made the rounds that co-founder Matt Meeker, who has been serving as executive chairman, will return to lead the purveyor of Bark Box.
Bark Stock News: a founder returns
The current CEO, Manish Joneja, has informed the board that he wishes to return to Seattle to be closer to family. The dog treat subscription company and pet ecommerce retailer is headquartered in New York.
BARK shares tanked in 2021, so investors can only hope that Tuesday's spike could lead to more gains this year. Since its IPO last June, when it traded near $11.15, BARK has lost 76% of its share price.
One thing that may have investors' eye is how cheap it is. Bark trades for 1.5 times the current fiscal year's revenue estimate of $514 million. The current fiscal year ends in March.
BARK sports three buy ratings from Citigroup, Cannacord Genuity and Jefferies with an average price target of $15.
BARK key statistics
| Market Cap | $737 million |
| Price/Earnings | N/A |
| Price/Sales | 1.5 |
| Price/Book | N/A |
| Enterprise Value | $600 million |
| Operating Margin | -12% |
| Profit Margin |
-11% |
| 52-week high | $17.25 |
| 52-week low | $3.37 |
| Short Interest | 11% |
| Average Wall Street Rating and Price Target | Buy, $15 |
Bark Stock Forecast: $4.48 is key
Finding itself near all-time lows, BARK needs to close above $4.48, the swing high from January 3, if the market is going to take this turnaround seriously.
Despite the 20% run-up seen on Tuesday, BARK shares are yet to surmount the $4.48 high. However, there is a divergence on the Relative Strength Index (RSI) where the current price run has forced the RSI well above the hilltop from January 3. Divergences between the price chart and the RSI often signify a coming reversal.
If $4.48 can be achieved, then bulls will turn their eyes on $5.08, a resistance point from early December.
BARK 1-day chart
Like this article? Help us with some feedback by answering this survey:
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD edges lower toward 1.0700 post-US PCE
EUR/USD stays under modest bearish pressure but manages to hold above 1.0700 in the American session on Friday. The US Dollar (USD) gathers strength against its rivals after the stronger-than-forecast PCE inflation data, not allowing the pair to gain traction.
GBP/USD retreats to 1.2500 on renewed USD strength
GBP/USD lost its traction and turned negative on the day near 1.2500. Following the stronger-than-expected PCE inflation readings from the US, the USD stays resilient and makes it difficult for the pair to gather recovery momentum.
Gold struggles to hold above $2,350 following US inflation
Gold turned south and declined toward $2,340, erasing a large portion of its daily gains, as the USD benefited from PCE inflation data. The benchmark 10-year US yield, however, stays in negative territory and helps XAU/USD limit its losses.
Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.
Week ahead – Hawkish risk as Fed and NFP on tap, Eurozone data eyed too
Fed meets on Wednesday as US inflation stays elevated. Will Friday’s jobs report bring relief or more angst for the markets? Eurozone flash GDP and CPI numbers in focus for the Euro.