Needham & Company LLC Has Lowered Expectations for ACV Auctions (NASDAQ:ACVA) Stock Price

Key Points

• ACV Auctions' price target was reduced from $25.00 to $16.00 by Needham & Company LLC, which still maintains a "buy" rating, indicating a potential 20.03% upside from the stock's previous close.
• ACV Auctions reported a loss of $0.04 per share for the most recent quarter, falling short of analyst expectations of a profit, despite a 20.6% revenue increase year-over-year.
• Recent trading activity shows insiders selling significant shares of ACV Auctions stock, including a sale of 15,000 shares by insider Craig Eric Anderson, reflecting a 4.22% decrease in ownership.

ACV Auctions (NASDAQ:ACVA - Get Free Report) had its target price reduced by Needham & Company LLC from $25.00 to $16.00 in a note issued to investors on Tuesday, Marketbeat.com reports. The firm presently has a "buy" rating on the stock. Needham & Company LLC's target price points to a potential upside of 38.99% from the company's current price.

Other research analysts also recently issued reports about the stock. JMP Securities increased their target price on shares of ACV Auctions from $18.00 to $20.00 and gave the company a "market outperform" rating in a research report on Wednesday, July 2nd. JPMorgan Chase & Co. dropped their target price on shares of ACV Auctions from $20.00 to $19.00 and set an "overweight" rating on the stock in a research report on Thursday, July 17th. Bank of America dropped their target price on shares of ACV Auctions from $20.00 to $16.50 and set a "buy" rating on the stock in a research report on Tuesday. Finally, Citigroup dropped their target price on shares of ACV Auctions from $21.00 to $17.00 and set a "buy" rating on the stock in a research report on Tuesday. Two investment analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $19.67.

ACV Auctions Stock Down 0.5%

Shares of ACVA traded down $0.06 during midday trading on Tuesday, reaching $11.51. The stock had a trading volume of 355,753 shares, compared to its average volume of 2,106,156. The company has a debt-to-equity ratio of 0.28, a current ratio of 1.56 and a quick ratio of 1.56. The company's fifty day simple moving average is $15.30 and its two-hundred day simple moving average is $16.03. The company has a market cap of $1.97 billion, a price-to-earnings ratio of -23.49 and a beta of 1.69. ACV Auctions has a 1-year low of $10.26 and a 1-year high of $23.46.

Insider Activity

In related news, insider Craig Eric Anderson sold 15,000 shares of the firm's stock in a transaction dated Tuesday, July 22nd. The shares were sold at an average price of $15.04, for a total value of $225,600.00. Following the completion of the sale, the insider owned 340,799 shares in the company, valued at $5,125,616.96. This trade represents a 4.22% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Michael Waterman sold 34,339 shares of the firm's stock in a transaction dated Tuesday, July 8th. The shares were sold at an average price of $16.05, for a total transaction of $551,140.95. Following the completion of the sale, the insider owned 379,957 shares of the company's stock, valued at $6,098,309.85. This trade represents a 8.29% decrease in their position. The disclosure for this sale can be found here. 2.90% of the stock is owned by company insiders.

Institutional Trading of ACV Auctions

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Brighton Jones LLC raised its position in ACV Auctions by 2.1% during the second quarter. Brighton Jones LLC now owns 40,703 shares of the company's stock worth $660,000 after acquiring an additional 823 shares during the last quarter. Verdence Capital Advisors LLC raised its position in ACV Auctions by 6.4% during the second quarter. Verdence Capital Advisors LLC now owns 15,845 shares of the company's stock worth $257,000 after acquiring an additional 960 shares during the last quarter. Bessemer Group Inc. raised its position in ACV Auctions by 14.5% during the first quarter. Bessemer Group Inc. now owns 9,911 shares of the company's stock worth $140,000 after acquiring an additional 1,257 shares during the last quarter. SG Americas Securities LLC grew its holdings in shares of ACV Auctions by 5.7% during the second quarter. SG Americas Securities LLC now owns 27,302 shares of the company's stock worth $443,000 after buying an additional 1,467 shares in the last quarter. Finally, Bank of Montreal Can grew its holdings in shares of ACV Auctions by 13.8% during the second quarter. Bank of Montreal Can now owns 14,384 shares of the company's stock worth $233,000 after buying an additional 1,746 shares in the last quarter. Institutional investors and hedge funds own 88.55% of the company's stock.

ACV Auctions Company Profile

ACV Auctions Inc operates a digital marketplace that connects buyers and sellers for the online auction of wholesale vehicles. The company's marketplace platform includes digital marketplace, which connects buyers and sellers by providing online auction, which facilitates real-time transactions of wholesale vehicles; Run List for pre-filtering and pre-screening of vehicles up to 24 hours prior to an auction taking place; ACV transportation service to enable the buyers to see real-time transportation quotes and status reports of the vehicle; ACV capital, a short-term inventory financing services for buyers to purchase vehicles; and Go Green's seller assurance service for against claims related to defects in the vehicle.