8X8 (NASDAQ:EGHT) Trading Down 4% - Here's What Happened

Key Points

• 8x8 shares fell about 4% intraday to $1.70 (low $1.645) with volume of ~1.67 million shares, a 74% increase versus average daily volume.
• Analyst sentiment is mixed: the consensus rating is "Hold" with a $2.23 target, while recent reports range from a Zacks upgrade to "strong-buy" to Weiss Ratings' "sell" and Rosenblatt's lowered $2.75 target.
• Insider Hunter Middleton sold 85,044 shares at an average $2.50 (an 11.5% reduction in his stake); insiders own 2.01% while institutional investors hold about 93.99% of the stock.

8x8 Inc (NASDAQ:EGHT - Get Free Report)'s stock price dropped 4% during mid-day trading on Tuesday . The company traded as low as $1.6450 and last traded at $1.70. Approximately 1,674,144 shares were traded during trading, an increase of 74% from the average daily volume of 962,278 shares. The stock had previously closed at $1.77.

Analyst Upgrades and Downgrades

EGHT has been the subject of a number of research analyst reports. Weiss Ratings restated a "sell (e+)" rating on shares of 8X8 in a report on Monday, December 29th. Rosenblatt Securities reduced their price objective on 8X8 from $3.50 to $2.75 and set a "buy" rating for the company in a report on Thursday, February 5th. Finally, Zacks Research upgraded 8X8 from a "hold" rating to a "strong-buy" rating in a report on Friday, February 6th. One equities research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and four have assigned a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of "Hold" and a consensus target price of $2.23.

8X8 Trading Down 4.0%

The company has a market cap of $236.84 million, a P/E ratio of -84.96, a PEG ratio of 1.32 and a beta of 1.81. The business has a fifty day moving average price of $2.11 and a 200-day moving average price of $2.01. The company has a quick ratio of 1.13, a current ratio of 1.13 and a debt-to-equity ratio of 2.06.

Insider Activity

In related news, insider Hunter Middleton sold 85,044 shares of the business's stock in a transaction that occurred on Wednesday, February 4th. The stock was sold at an average price of $2.50, for a total value of $212,610.00. Following the completion of the sale, the insider directly owned 652,943 shares in the company, valued at approximately $1,632,357.50. The trade was a 11.52% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Company insiders own 2.01% of the company's stock.

Institutional Investors Weigh In On 8X8

Institutional investors have recently made changes to their positions in the stock. Prelude Capital Management LLC bought a new stake in shares of 8X8 in the third quarter valued at approximately $26,000. DGS Capital Management LLC boosted its stake in shares of 8X8 by 62.4% in the fourth quarter. DGS Capital Management LLC now owns 46,945 shares of the company's stock valued at $92,000 after buying an additional 18,043 shares during the period. Hillsdale Investment Management Inc. boosted its stake in shares of 8X8 by 2.0% in the fourth quarter. Hillsdale Investment Management Inc. now owns 1,503,397 shares of the company's stock valued at $2,962,000 after buying an additional 30,200 shares during the period. GSA Capital Partners LLP boosted its stake in shares of 8X8 by 83.9% in the fourth quarter. GSA Capital Partners LLP now owns 555,042 shares of the company's stock valued at $1,093,000 after buying an additional 253,192 shares during the period. Finally, Nano Cap New Millennium Growth Fund L P bought a new stake in shares of 8X8 in the fourth quarter valued at approximately $749,000. 93.99% of the stock is currently owned by institutional investors.

8X8 Company Profile

8x8, Inc NASDAQ: EGHT is a global provider of cloud-based enterprise communications, collaboration and contact centre solutions. The company's unified communications as a service (UCaaS) platform integrates voice, video, chat, SMS and contact-centre capabilities into a single, software-driven solution. By combining real-time analytics, team messaging and interoperability with third-party business applications, 8x8 aims to simplify communications infrastructure for organisations of all sizes.

Founded in 1987 and headquartered in Campbell, California, 8x8 pioneered hosted VoIP services for businesses in the late 1990s and went public on the NASDAQ in 1997.

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