Aeva Technologies (NASDAQ:AEVA) Shares Gap Down Following Weak Earnings

Key Points

• Aeva Technologies' shares gapped down nearly $1.33 after reporting quarterly earnings of ($0.55) per share, missing the consensus estimate of ($0.53). The last traded price was $16.05, significantly lower than the previous close of $18.64.
• Despite missing EPS expectations, Aeva's revenue of $5.51 million for the quarter surpassed analyst estimates of $3.40 million, indicating potential growth in sales.
• Analysts have mixed sentiments about Aeva, with several increasing price targets, while one firm downgraded its rating from "hold" to "sell," resulting in a consensus rating of "Moderate Buy" with an average price target of $17.00.

Aeva Technologies, Inc. (NASDAQ:AEVA - Get Free Report) gapped down prior to trading on Friday following a weaker than expected earnings announcement. The stock had previously closed at $18.64, but opened at $17.31. Aeva Technologies shares last traded at $16.05, with a volume of 669,690 shares.

The company reported ($0.55) EPS for the quarter, missing analysts' consensus estimates of ($0.53) by ($0.02). The business had revenue of $5.51 million for the quarter, compared to the consensus estimate of $3.40 million. Aeva Technologies had a negative net margin of 2,178.31% and a negative return on equity of 130.04%.

Analyst Ratings Changes

AEVA has been the subject of a number of recent analyst reports. Oppenheimer upped their target price on Aeva Technologies from $18.00 to $33.00 and gave the company an "outperform" rating in a report on Wednesday, July 16th. Wall Street Zen downgraded Aeva Technologies from a "hold" rating to a "sell" rating in a report on Friday, July 18th. Canaccord Genuity Group increased their price objective on Aeva Technologies from $9.50 to $16.00 and gave the stock a "buy" rating in a report on Thursday, May 15th. Roth Capital increased their price objective on Aeva Technologies from $17.00 to $30.00 and gave the stock a "buy" rating in a report on Tuesday, June 17th. Finally, Morgan Stanley increased their price objective on Aeva Technologies from $11.00 to $19.00 and gave the stock an "equal weight" rating in a report on Friday. One equities research analyst has rated the stock with a sell rating, two have given a hold rating and five have given a buy rating to the company. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $18.33.

Insider Buying and Selling

In related news, CTO Mina Rezk sold 69,901 shares of the stock in a transaction on Monday, July 7th. The stock was sold at an average price of $30.54, for a total transaction of $2,134,776.54. Following the sale, the chief technology officer directly owned 1,575,273 shares of the company's stock, valued at $48,108,837.42. This trade represents a 4.25% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Hrach Simonian sold 100,000 shares of the stock in a transaction on Monday, June 16th. The shares were sold at an average price of $24.86, for a total value of $2,486,000.00. Following the sale, the director directly owned 3,597,039 shares in the company, valued at $89,422,389.54. This trade represents a 2.70% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 772,164 shares of company stock valued at $15,598,535. Insiders own 27.20% of the company's stock.

Institutional Investors Weigh In On Aeva Technologies

Several institutional investors have recently modified their holdings of AEVA. GAMMA Investing LLC boosted its position in shares of Aeva Technologies by 92.2% during the second quarter. GAMMA Investing LLC now owns 865 shares of the company's stock valued at $33,000 after buying an additional 415 shares during the last quarter. Jones Financial Companies Lllp raised its stake in Aeva Technologies by 27,345.0% during the 1st quarter. Jones Financial Companies Lllp now owns 5,489 shares of the company's stock valued at $38,000 after buying an additional 5,469 shares during the last quarter. AlphaQuest LLC purchased a new position in Aeva Technologies in the second quarter worth about $51,000. Squarepoint Ops LLC purchased a new position in Aeva Technologies in the fourth quarter worth about $54,000. Finally, Susquehanna Fundamental Investments LLC purchased a new position in Aeva Technologies in the fourth quarter worth about $63,000. 62.92% of the stock is owned by hedge funds and other institutional investors.

Aeva Technologies Price Performance

The firm has a 50-day simple moving average of $25.20 and a 200-day simple moving average of $12.90.

About Aeva Technologies

Aeva Technologies, Inc engages in the design, development, manufacture, and sale of LiDAR sensing systems, and related perception and autonomy-enabling software solutions in North America, Europe, the Middle East, Africa, and Asia. The company develops its products using frequency modulated continuous wave (FMCW) sensing technology.