Bandwidth Inc. (NASDAQ:BAND) Receives Average Rating of “Hold” from Analysts

Bandwidth Inc. (NASDAQ:BAND) has received an average recommendation of “Hold” from the seven ratings firms that are currently covering the firm, MarketBeat.com reports. One equities research analyst has rated the stock with a sell recommendation, two have issued a hold recommendation and four have issued a buy recommendation on the company. The average twelve-month target price among brokerages that have issued ratings on the stock in the last year is $28.83.

Several equities analysts have weighed in on BAND shares. Robert W. Baird lifted their price target on shares of Bandwidth from $19.00 to $22.00 and gave the company a “neutral” rating in a report on Friday, November 1st. Morgan Stanley upped their price objective on shares of Bandwidth from $17.00 to $18.00 and gave the stock an “underweight” rating in a research note on Wednesday, December 18th. Finally, Needham & Company LLC restated a “hold” rating on shares of Bandwidth in a research note on Friday, November 1st.

Bandwidth Stock Performance

Bandwidth stock opened at $17.77 on Wednesday. The company has a debt-to-equity ratio of 0.83, a quick ratio of 1.29 and a current ratio of 1.29. The stock’s 50 day simple moving average is $18.11 and its two-hundred day simple moving average is $18.02. Bandwidth has a fifty-two week low of $11.90 and a fifty-two week high of $25.02. The stock has a market cap of $488.85 million, a price-to-earnings ratio of -19.11 and a beta of 1.52.

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

Insiders Place Their Bets

In other news, General Counsel Richard Brandon Asbill sold 5,561 shares of the stock in a transaction dated Friday, November 29th. The shares were sold at an average price of $21.26, for a total value of $118,226.86. Following the completion of the sale, the general counsel now directly owns 41,825 shares in the company, valued at $889,199.50. This represents a 11.74 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, insider Devin M. Krupka sold 3,658 shares of the firm’s stock in a transaction dated Friday, November 29th. The stock was sold at an average price of $21.26, for a total transaction of $77,769.08. Following the completion of the transaction, the insider now directly owns 11,097 shares in the company, valued at approximately $235,922.22. This represents a 24.79 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 51,417 shares of company stock worth $1,063,184. Company insiders own 6.20% of the company’s stock.

Institutional Investors Weigh In On Bandwidth

Large investors have recently made changes to their positions in the stock. Dimensional Fund Advisors LP lifted its position in Bandwidth by 6.3% during the second quarter. Dimensional Fund Advisors LP now owns 1,043,013 shares of the company’s stock worth $17,606,000 after buying an additional 62,201 shares in the last quarter. Sei Investments Co. acquired a new position in shares of Bandwidth during the 2nd quarter valued at about $590,000. Thrivent Financial for Lutherans grew its holdings in shares of Bandwidth by 46.9% in the second quarter. Thrivent Financial for Lutherans now owns 59,125 shares of the company’s stock valued at $998,000 after purchasing an additional 18,873 shares during the period. Squarepoint Ops LLC purchased a new position in Bandwidth during the second quarter worth about $1,113,000. Finally, Point72 Asset Management L.P. raised its stake in Bandwidth by 411.1% during the second quarter. Point72 Asset Management L.P. now owns 597,933 shares of the company’s stock worth $10,093,000 after purchasing an additional 480,933 shares during the period. 68.53% of the stock is currently owned by hedge funds and other institutional investors.

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.