Short Interest in Riskified Ltd. (NYSE:RSKD) Declines By 17.1%

Riskified Ltd. (NYSE:RSKD) saw a significant drop in short interest in November. As of November 15th, there was short interest totalling 1,020,000 shares, a drop of 17.1% from the October 31st total of 1,230,000 shares. Based on an average daily volume of 579,000 shares, the days-to-cover ratio is presently 1.8 days. Approximately 1.1% of the company’s shares are short sold.

Analyst Ratings Changes

A number of research analysts have issued reports on the company. The Goldman Sachs Group decreased their target price on Riskified from $6.00 to $4.50 and set a “sell” rating for the company in a research note on Thursday, August 15th. Piper Sandler reaffirmed an “overweight” rating and issued a $7.00 target price on shares of Riskified in a research report on Thursday, November 14th. JPMorgan Chase & Co. boosted their price target on Riskified from $6.00 to $7.00 and gave the stock a “neutral” rating in a research report on Tuesday, August 20th. Keefe, Bruyette & Woods cut their target price on shares of Riskified from $5.50 to $5.25 and set a “market perform” rating for the company in a research note on Thursday, November 14th. Finally, UBS Group reduced their price target on Riskified from $4.75 to $4.50 and set a “neutral” rating for the company in a report on Thursday, November 14th. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating and two have given a buy rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Hold” and an average target price of $5.91.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Clal Insurance Enterprises Holdings Ltd increased its holdings in Riskified by 76.0% in the 3rd quarter. Clal Insurance Enterprises Holdings Ltd now owns 6,734,508 shares of the company’s stock valued at $31,854,000 after buying an additional 2,907,585 shares during the period. Acadian Asset Management LLC raised its position in Riskified by 199.4% in the second quarter. Acadian Asset Management LLC now owns 2,632,439 shares of the company’s stock valued at $16,803,000 after purchasing an additional 1,753,260 shares during the last quarter. Jennison Associates LLC boosted its position in Riskified by 11.2% during the 3rd quarter. Jennison Associates LLC now owns 5,682,144 shares of the company’s stock worth $26,877,000 after buying an additional 573,596 shares during the period. Public Employees Retirement System of Ohio acquired a new position in shares of Riskified during the third quarter worth $1,438,000. Finally, Allspring Global Investments Holdings LLC lifted its holdings in Riskified by 37.4% during the 3rd quarter. Allspring Global Investments Holdings LLC now owns 1,052,944 shares of the company’s stock worth $4,980,000 after buying an additional 286,603 shares during the period. Institutional investors and hedge funds own 58.98% of the company’s stock.

Riskified Stock Performance

Shares of RSKD stock opened at $4.85 on Monday. Riskified has a 52 week low of $3.98 and a 52 week high of $6.64. The company has a market capitalization of $864.63 million, a price-to-earnings ratio of -24.25 and a beta of 1.36. The company has a 50-day simple moving average of $4.56 and a 200 day simple moving average of $5.35.

Riskified (NYSE:RSKD) last released its quarterly earnings results on Wednesday, November 13th. The company reported $0.03 EPS for the quarter, beating the consensus estimate of $0.02 by $0.01. Riskified had a negative net margin of 10.72% and a negative return on equity of 6.00%. The business had revenue of $78.80 million for the quarter, compared to the consensus estimate of $75.01 million. During the same period in the prior year, the company posted ($0.12) earnings per share. Riskified’s revenue was up 9.6% compared to the same quarter last year. Sell-side analysts forecast that Riskified will post -0.15 EPS for the current year.

Riskified declared that its Board of Directors has approved a share buyback program on Wednesday, November 13th that authorizes the company to repurchase $75.00 million in outstanding shares. This repurchase authorization authorizes the company to buy up to 9% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company’s board believes its shares are undervalued.

About Riskified

Riskified Ltd., together with its subsidiaries, develops and offers an e-commerce risk management platform that allows online merchants to create trusted relationships with consumers in the United States, Europe, the Middle East, Africa, the Asia-Pacific, and the Americas. It offers Chargeback Guarantee that ensures the legitimacy of merchants' online orders; Policy Protect, a machine learning solution designed to detect and prevent refund and returns policy abuse in real-time; Account Secure, a solution that cross-checks every login attempt; Dispute Resolve, which is used to compile submissions for fraud and non-fraud related chargeback issues; and PSD2 Optimize that helps merchants avoid bank authorization failures and abandoned shopping carts.