Bandwidth Inc. (NASDAQ:BAND) Short Interest Down 22.6% in August

Key Points

• Bandwidth Inc. saw a significant decrease in short interest by 22.6% in August, with a total of 1,060,000 shares shorted as of August 15th.
• The company reported earnings per share of $0.38 for the last quarter, surpassing analysts' expectations, and recorded a revenue of $180.01 million.
• Analysts maintain a consensus rating of "Moderate Buy" for Bandwidth, with a target price of $20.80, influenced by recent upgrades from firms like Needham & Company LLC.

Bandwidth Inc. (NASDAQ:BAND - Get Free Report) was the target of a large drop in short interest in August. As of August 15th, there was short interest totaling 1,060,000 shares, adropof22.6% from the July 31st total of 1,370,000 shares. Based on an average daily trading volume, of 269,300 shares, the short-interest ratio is presently 3.9 days. Based on an average daily trading volume, of 269,300 shares, the short-interest ratio is presently 3.9 days.

Analyst Upgrades and Downgrades

BAND has been the topic of a number of research reports. Needham & Company LLC reissued a "buy" rating and issued a $20.00 price objective on shares of Bandwidth in a report on Friday, June 13th. JMP Securities restated a "market outperform" rating and set a $36.00 price objective on shares of Bandwidth in a research note on Thursday, May 15th. Four research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, Bandwidth currently has an average rating of "Moderate Buy" and a consensus target price of $20.80.

Bandwidth Stock Performance

Shares of NASDAQ BAND opened at $15.74 on Tuesday. The company has a market capitalization of $474.40 million, a PE ratio of -46.17 and a beta of 1.81. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.31 and a current ratio of 1.31. The company's fifty day moving average price is $14.90 and its 200 day moving average price is $14.30. Bandwidth has a 1 year low of $11.33 and a 1 year high of $23.00.

Bandwidth (NASDAQ:BAND - Get Free Report) last posted its earnings results on Tuesday, July 29th. The company reported $0.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.32 by $0.06. The business had revenue of $180.01 million for the quarter, compared to analyst estimates of $178.87 million. Bandwidth had a negative net margin of 1.32% and a positive return on equity of 1.43%. The company's revenue for the quarter was up 3.4% on a year-over-year basis. During the same period in the prior year, the company posted $0.29 EPS. Bandwidth has set its Q3 2025 guidance at EPS. FY 2025 guidance at EPS. On average, research analysts predict that Bandwidth will post 0.22 earnings per share for the current year.

Insider Activity

In other Bandwidth news, COO Devesh Agarwal sold 2,132 shares of the firm's stock in a transaction that occurred on Monday, August 11th. The shares were sold at an average price of $13.30, for a total value of $28,355.60. Following the completion of the sale, the chief operating officer directly owned 62,927 shares in the company, valued at $836,929.10. This trade represents a 3.28% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Rebecca Bottorff sold 2,257 shares of the company's stock in a transaction on Friday, August 29th. The stock was sold at an average price of $15.09, for a total value of $34,058.13. Following the transaction, the insider directly owned 42,706 shares in the company, valued at approximately $644,433.54. The trade was a 5.02% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 26,143 shares of company stock worth $393,259 in the last quarter. 6.20% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Bandwidth

A number of large investors have recently added to or reduced their stakes in BAND. Price T Rowe Associates Inc. MD lifted its stake in Bandwidth by 10.7% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 17,182 shares of the company's stock valued at $293,000 after buying an additional 1,658 shares in the last quarter. Northern Trust Corp lifted its position in shares of Bandwidth by 2.9% in the fourth quarter. Northern Trust Corp now owns 232,725 shares of the company's stock valued at $3,961,000 after acquiring an additional 6,459 shares in the last quarter. Jane Street Group LLC boosted its stake in shares of Bandwidth by 82.2% in the fourth quarter. Jane Street Group LLC now owns 64,550 shares of the company's stock worth $1,099,000 after acquiring an additional 29,127 shares during the last quarter. Algert Global LLC increased its position in shares of Bandwidth by 10.4% during the fourth quarter. Algert Global LLC now owns 18,280 shares of the company's stock worth $311,000 after purchasing an additional 1,720 shares in the last quarter. Finally, Balyasny Asset Management L.P. increased its position in shares of Bandwidth by 113.7% during the fourth quarter. Balyasny Asset Management L.P. now owns 46,066 shares of the company's stock worth $784,000 after purchasing an additional 24,508 shares in the last quarter. 68.53% of the stock is currently owned by institutional investors and hedge funds.

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.

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