Duckhorn PortfolioNYSE: NAPA

NEW YORK CITY, NY / ACCESSWIRE / October 7, 2024 / Monteverde & Associates PC (the "M&A Class Action Firm"), has recovered money for shareholders and is recognized as a Top 50 Firm in the 2018-2022 ISS Securities Class Action Services Report. We are headquartered at the Empire State Building in New York City and are investigating: Barnes Group Inc. (NYSE: B ), relating to its proposed merger with Apollo Global Management, Inc. Under the terms of the agreement, all Barnes Group common stock will be converted into the right to receive $47.50 in cash.

SAN DIEGO, Oct. 07, 2024 (GLOBE NEWSWIRE) -- Johnson Fistel, LLP , a leading stockholder rights law firm, announced that it is investigating claims on behalf The Duckhorn Portfolio Inc (NYSE: NAPA) shareholders concerning potential breaches of fiduciary duties related to the proposed sale of the Company to Butterfly Equity a Los Angeles-based private equity firm.

MONSEY, N.Y., Oct. 07, 2024 (GLOBE NEWSWIRE) -- The law firm of Wohl & Fruchter LLP is investigating the fairness of the proposed sale of The Duckhorn Portfolio, Inc. (NYSE: NAPA) (“Duckhorn”) to Butterfly Equity (“Butterfly”) for $11.10 per share in cash.

The Duckhorn Portfolio Inc (NAPA, Financial) released its 8-K filing on October 7, 2024, detailing its financial performance for the fourth quarter and fiscal year ending July 31, 2024. The company, known for its luxury and ultra-luxury wine brands such as Duckhorn Vineyards and Kosta Browne, reported a notable increase in net sales and adjusted EBITDA, despite facing some challenges in gross profit margins.

The Duckhorn Portfolio (NAPA, Financial) experienced an impressive surge, with shares skyrocketing by 102.5% following the announcement of its acquisition by Butterfly, a private equity firm. The all-cash transaction values the company at $11.10 per share, equating to a valuation of approximately $1.95 billion.

The Duckhorn Portfolio Inc (NAPA, Financial) is set to release its Q4 2024 earnings on Oct 7, 2024. The consensus estimate for Q4 2024 revenue is $106.55 million, and the earnings are expected to come in at $0.09 per share.

Duckhorn Portfolio's stock has dropped over 45% this year, presenting a value-oriented rebound opportunity amid an expensive stock market. I'm initiating the stock with a buy rating. Despite a cyclical downturn, the winemaker's organic sales growth outperforms peers, and its acquisition of Chardonnay producer Sonoma-Cutrer strengthens its portfolio. The stock trades at just ~8x forward adjusted EBITDA and ~9x forward P/E, well below most peers in the alcohol space.

ST. HELENA, Calif.--(BUSINESS WIRE)--The Duckhorn Portfolio, Inc. (NYSE: NAPA) (the “Company”) announced today that it will report financial results for the fourth quarter and fiscal year ended July 31, 2024, on Monday, October 7, 2024, after market close. The Company will host a conference call to discuss these results at 1:30 p.m. Pacific Time (4:30 p.m. Eastern Time). Investors interested in participating in the live call can dial 833-470-1428, from the U.S., and 404-975-4839, internationall.

NAPA reported 3Q24 results with declining luxury wine demand and higher distributor inventory levels. I remain sell rated for NAPA. Uncertain outlook for NAPA due to high interest rates, potential rate hikes, and volatile market conditions.