Bandwidth Inc. (NASDAQ:BAND) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• Bandwidth Inc. has received a consensus rating of "Moderate Buy" from six analysts, with four recommending a buy, one a hold, and one a sell.
• The average target price for Bandwidth's stock among analysts is $20.80, with recent ratings ranging from $15.00 to $36.00.
• In its latest earnings report, Bandwidth beat earnings expectations with $0.38 EPS and reported a 3.4% year-over-year increase in revenue, totaling $180.01 million.

Shares of Bandwidth Inc. (NASDAQ:BAND - Get Free Report) have been given a consensus recommendation of "Moderate Buy" by the six analysts that are covering the company, Marketbeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, one has assigned a hold recommendation and four have assigned a buy recommendation to the company. The average 1 year target price among analysts that have issued ratings on the stock in the last year is $20.80.

A number of analysts have recently commented on BAND shares. Needham & Company LLC reiterated a "buy" rating and issued a $20.00 price target on shares of Bandwidth in a research note on Friday, June 13th. JMP Securities reiterated a "market outperform" rating and issued a $36.00 price target on shares of Bandwidth in a research note on Thursday, May 15th. Finally, Robert W. Baird reduced their price target on shares of Bandwidth from $20.00 to $15.00 and set a "neutral" rating for the company in a research note on Thursday, May 8th.

Bandwidth Trading Down 1.1%

Shares of NASDAQ BAND opened at $14.09 on Friday. Bandwidth has a 1 year low of $11.33 and a 1 year high of $23.00. The stock has a market cap of $424.67 million, a P/E ratio of -41.44 and a beta of 1.80. The firm has a 50-day moving average of $14.80 and a 200 day moving average of $14.70. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.31 and a quick ratio of 1.31.

Bandwidth (NASDAQ:BAND - Get Free Report) last issued its quarterly earnings results on Tuesday, July 29th. The company reported $0.38 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.32 by $0.06. Bandwidth had a negative net margin of 1.32% and a positive return on equity of 1.43%. The company had revenue of $180.01 million during the quarter, compared to analysts' expectations of $178.87 million. During the same period last year, the company posted $0.29 EPS. Bandwidth's revenue was up 3.4% on a year-over-year basis. As a group, sell-side analysts expect that Bandwidth will post 0.22 EPS for the current fiscal year.

Insider Buying and Selling

In other Bandwidth news, COO Devesh Agarwal sold 2,132 shares of the business's stock in a transaction on Monday, August 11th. The shares were sold at an average price of $13.30, for a total transaction of $28,355.60. Following the transaction, the chief operating officer owned 62,927 shares in the company, valued at $836,929.10. The trade was a 3.28% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Rebecca Bottorff sold 16,935 shares of the business's stock in a transaction on Monday, June 9th. The shares were sold at an average price of $15.14, for a total transaction of $256,395.90. Following the transaction, the insider owned 43,285 shares in the company, valued at $655,334.90. This trade represents a 28.12% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 46,728 shares of company stock valued at $687,037 in the last three months. Corporate insiders own 6.50% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Tower Research Capital LLC TRC lifted its stake in Bandwidth by 183.7% in the second quarter. Tower Research Capital LLC TRC now owns 3,776 shares of the company's stock worth $60,000 after acquiring an additional 2,445 shares during the period. Harbor Capital Advisors Inc. bought a new stake in shares of Bandwidth in the 1st quarter valued at about $72,000. US Bancorp DE grew its position in shares of Bandwidth by 11,281.3% in the 1st quarter. US Bancorp DE now owns 5,463 shares of the company's stock worth $72,000 after buying an additional 5,415 shares during the last quarter. Raymond James Financial Inc. bought a new position in shares of Bandwidth during the 2nd quarter worth approximately $85,000. Finally, GAMMA Investing LLC raised its stake in shares of Bandwidth by 16,036.6% during the 1st quarter. GAMMA Investing LLC now owns 6,616 shares of the company's stock worth $87,000 after acquiring an additional 6,575 shares in the last quarter. 68.53% of the stock is currently owned by institutional investors.

About Bandwidth

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.

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