PubMatic (NASDAQ:PUBM) Hits New 1-Year Low After Earnings Miss

PubMatic, Inc. (NASDAQ:PUBM) shares hit a new 52-week low during trading on Friday after the company announced weaker than expected quarterly earnings. The stock traded as low as $10.50 and last traded at $11.32, with a volume of 303898 shares trading hands. The stock had previously closed at $13.97.

The company reported $0.26 earnings per share for the quarter, missing the consensus estimate of $0.37 by ($0.11). PubMatic had a net margin of 5.96% and a return on equity of 6.12%. The company had revenue of $85.50 million for the quarter, compared to the consensus estimate of $88.24 million.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on PUBM. JMP Securities reaffirmed a “market outperform” rating and set a $20.00 price target on shares of PubMatic in a research note on Monday, January 27th. Evercore ISI boosted their price objective on shares of PubMatic from $20.00 to $22.00 and gave the stock an “outperform” rating in a research note on Wednesday, November 13th. Macquarie reissued a “neutral” rating and issued a $19.00 price objective on shares of PubMatic in a research note on Thursday, November 14th. Royal Bank of Canada reduced their price objective on shares of PubMatic from $21.00 to $19.00 and set an “outperform” rating for the company in a research note on Friday, January 3rd. Finally, Lake Street Capital reduced their price objective on shares of PubMatic from $24.00 to $21.00 and set a “buy” rating for the company in a research note on Friday. Four equities research analysts have rated the stock with a hold rating and six have assigned a buy rating to the company. According to data from MarketBeat.com, PubMatic currently has a consensus rating of “Moderate Buy” and a consensus target price of $19.89.

Insider Transactions at PubMatic

In other news, insider Mukul Kumar sold 7,000 shares of the company’s stock in a transaction on Monday, December 2nd. The stock was sold at an average price of $16.54, for a total transaction of $115,780.00. Following the transaction, the insider now directly owns 44,888 shares of the company’s stock, valued at approximately $742,447.52. This represents a 13.49 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CFO Steven Pantelick sold 4,000 shares of the company’s stock in a transaction on Tuesday, December 3rd. The stock was sold at an average price of $16.56, for a total value of $66,240.00. Following the transaction, the chief financial officer now directly owns 22,506 shares in the company, valued at approximately $372,699.36. The trade was a 15.09 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 138,111 shares of company stock valued at $2,148,558. Corporate insiders own 2.90% of the company’s stock.

Institutional Investors Weigh In On PubMatic

A number of large investors have recently made changes to their positions in the stock. Pitcairn Co. grew its holdings in shares of PubMatic by 7.3% during the fourth quarter. Pitcairn Co. now owns 21,654 shares of the company’s stock valued at $318,000 after buying an additional 1,477 shares during the last quarter. SBI Securities Co. Ltd. purchased a new stake in shares of PubMatic during the fourth quarter valued at $27,000. Cubist Systematic Strategies LLC purchased a new stake in shares of PubMatic during the fourth quarter valued at $29,000. Principal Financial Group Inc. grew its holdings in shares of PubMatic by 9.7% during the fourth quarter. Principal Financial Group Inc. now owns 25,178 shares of the company’s stock valued at $370,000 after buying an additional 2,234 shares during the last quarter. Finally, Tower Research Capital LLC TRC grew its holdings in shares of PubMatic by 75.2% during the fourth quarter. Tower Research Capital LLC TRC now owns 5,220 shares of the company’s stock valued at $77,000 after buying an additional 2,240 shares during the last quarter. 64.26% of the stock is owned by hedge funds and other institutional investors.

PubMatic Price Performance

The company has a market capitalization of $507.76 million, a PE ratio of 34.29 and a beta of 1.41. The firm’s fifty day simple moving average is $15.01 and its 200 day simple moving average is $15.16.

About PubMatic

PubMatic, Inc, a technology company, engages in the provision of a cloud infrastructure platform that enables real-time programmatic advertising transactions for digital content creators, advertisers, agencies, agency trading desks, and demand side platforms worldwide. Its PubMatic SSP, a sell-side platform, used for the purchase and sale of digital advertising inventory for publishers and buyers.