Bandwidth (NASDAQ:BAND) Shares Gap Up – What’s Next?

Bandwidth Inc. (NASDAQ:BAND) gapped up before the market opened on Monday . The stock had previously closed at $18.71, but opened at $19.23. Bandwidth shares last traded at $19.67, with a volume of 54,740 shares trading hands.

Analyst Upgrades and Downgrades

Several brokerages have recently weighed in on BAND. Needham & Company LLC restated a “hold” rating on shares of Bandwidth in a report on Friday, November 1st. JMP Securities reiterated a “market outperform” rating and set a $36.00 price target on shares of Bandwidth in a report on Tuesday, August 27th. Finally, Robert W. Baird upped their price objective on shares of Bandwidth from $19.00 to $22.00 and gave the company a “neutral” rating in a report on Friday, November 1st. One investment analyst has rated the stock with a sell rating, two have assigned a hold rating and four have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $28.33.

Bandwidth Stock Performance

The company has a current ratio of 1.29, a quick ratio of 1.29 and a debt-to-equity ratio of 0.83. The firm’s fifty day moving average price is $19.13 and its 200 day moving average price is $18.22. The stock has a market capitalization of $536.72 million, a price-to-earnings ratio of -20.12 and a beta of 1.51.

Bandwidth (NASDAQ:BAND) last announced its earnings results on Thursday, October 31st. The company reported $0.43 EPS for the quarter, beating analysts’ consensus estimates of $0.32 by $0.11. The company had revenue of $193.90 million during the quarter, compared to analysts’ expectations of $182.05 million. Bandwidth had a negative return on equity of 0.89% and a negative net margin of 2.23%. Bandwidth’s revenue for the quarter was up 27.6% on a year-over-year basis. During the same period last year, the business posted $0.03 EPS. Analysts forecast that Bandwidth Inc. will post 0.08 EPS for the current fiscal year.

Insider Buying and Selling at Bandwidth

In related news, General Counsel Richard Brandon Asbill sold 5,561 shares of the company’s stock in a transaction that occurred on Friday, November 29th. The shares were sold at an average price of $21.26, for a total transaction of $118,226.86. Following the sale, the general counsel now directly owns 41,825 shares in the company, valued at approximately $889,199.50. This represents a 11.74 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO Daryl Raiford sold 4,371 shares of the firm’s stock in a transaction on Monday, December 2nd. The shares were sold at an average price of $20.70, for a total transaction of $90,479.70. Following the completion of the sale, the chief financial officer now owns 93,451 shares in the company, valued at $1,934,435.70. The trade was a 4.47 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 44,733 shares of company stock valued at $948,310 in the last 90 days. Company insiders own 6.20% of the company’s stock.

Hedge Funds Weigh In On Bandwidth

Large investors have recently bought and sold shares of the stock. Franklin Resources Inc. lifted its holdings in shares of Bandwidth by 40.9% in the 3rd quarter. Franklin Resources Inc. now owns 77,481 shares of the company’s stock valued at $1,325,000 after purchasing an additional 22,505 shares during the last quarter. Geode Capital Management LLC increased its position in Bandwidth by 3.6% during the third quarter. Geode Capital Management LLC now owns 568,667 shares of the company’s stock worth $9,960,000 after buying an additional 19,832 shares during the period. Barclays PLC lifted its stake in Bandwidth by 9.1% in the third quarter. Barclays PLC now owns 224,497 shares of the company’s stock valued at $3,931,000 after buying an additional 18,778 shares during the last quarter. Y Intercept Hong Kong Ltd purchased a new stake in Bandwidth in the third quarter valued at approximately $453,000. Finally, State Street Corp grew its position in shares of Bandwidth by 3.7% during the third quarter. State Street Corp now owns 655,768 shares of the company’s stock worth $11,482,000 after acquiring an additional 23,352 shares during the last quarter. Institutional investors and hedge funds own 68.53% of the company’s stock.

Bandwidth Company Profile

Bandwidth is a leading enterprise cloud communications company. Companies like Cisco, Google, Microsoft, RingCentral, Uber, and Zoom use Bandwidth’s APIs to easily embed voice, messaging, and emergency services into software and applications. Bandwidth is the first and only CPaaS provider offering a robust selection of communications APIs built around their own IP voice network.