Compass Diversified Holdings (CODI) Stock AnalysisCODICompass Diversified Holdings

Compass Diversified Holdings is engaged in owning and managing a diverse set of defensible, middle-market businesses across the branded consumer, industrial, healthcare, and critical outsourced services sectors. The Company categorizes its businesses into two separate groups: branded consumer businesses and industrial businesses. It operates through eight segments: 5.11 Acquisition Corp. (5.11), Boa Holdings Inc. (BOA), Relentless Topco, Inc. (PrimaLoft), THP Topco, Inc. (The Honey Pot Co. or THP), CBCP Products, LLC (Velocity Outdoor or Velocity), AMTAC Holdings, LLC (Arnold), FFI Compass, Inc. (Altor Solutions or Altor). 5.11 is a provider of purpose-built technical apparel and gear for law enforcement, firefighters, EMS, and military special operations as well as outdoor and adventure enthusiasts. PrimaLoft is a provider of branded, high-performance synthetic insulation and materials used primarily in consumer outerwear, and accessories. It operates in the Financials sector (HOUSEHOLD FURNITURE industry).

Compass Diversified Holdings (CODI) appears to be a good buy right now. The current price is $10.41, which is below the analyst price target of $15, suggesting a potential upside of approximately 44%. Additionally, the company has shown a strong gross margin of 41.81% in Q2 2026, indicating effective cost management and profitability. However, the main risk is its high debt-to-equity ratio of 261.67%, which could pose financial challenges if not managed properly.

7 analysts cover CODI: 6 rate it Buy, 1 Hold and 0 Sell. The average price target is 14.00.