10 Best Pet Stocks To Invest In According to Analysts

4. Central Garden & Pet Company (NASDAQ:CENT)

Average Price Target Upside Potential According to Analysts: 28.58%

Number of Hedge Fund Holders: 20

Central Garden & Pet Company (NASDAQ:CENT) is an American company and a market leader in the Pet and Garden industries. The company offers more than 65 high-quality brands that help consumers care for their pets, grow their gardens, and support their communities. These include 3D Pet Products, Amdro, Aqueon, Cadet, Farnam, Ferry-Morse, Four Paws, Kaytee, K&H, Nylabone, and Pennington.

In November 2023, the company announced that it had acquired TDBBS, LLC, a provider of premium natural dog chews and treats based in Richmond, VA. This acquisition has enhanced Central Garden & Pet Company’s (NASDAQ:CENT) product lineup and strengthened its eCommerce capabilities.

In the third quarter of fiscal 2024, Central Garden & Pet Company (NASDAQ:CENT) reported net sales of $996 million, a slight decline from $1.02 billion the previous year. However, the pet segment showed resilience with net sales increasing by 1% to $508 million, largely due to the TDBBS acquisition and growth in consumable pet products. Operating income for the pet segment surged by 39% to $83 million, reflecting improved profitability.

Central Garden & Pet Company (NASDAQ:CENT) is focused on streamlining its operations. The company has decided to exit its underperforming pottery business over the next fiscal year and close a live plants distribution facility. These strategic moves aim to simplify operations and improve overall efficiency. With a strong financial performance in the Pet segment and ongoing efforts to enhance its business operations, Central Garden & Pet Company (NASDAQ:CENT) is well-positioned for future growth.

Analysts currently hold a consensus buy rating on the CENT stock and the 1-year median price target set by analysts indicates a potential upside of 28% from current levels. This brings Central Garden & Pet Company (NASDAQ:CENT) to the 4th spot on our list of the best pet stocks to invest in.

According to Insider Monkey’s database of over 900 hedge funds, as of Q2 2024, Central Garden & Pet Company (NASDAQ:CENT) was held by 20 hedge funds.