Bandwidth (NASDAQ:BAND) Downgraded to Hold Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded Bandwidth (NASDAQ:BAND) from a Buy to a Hold in a research note issued Sunday.
• Despite the downgrade, the analyst consensus remains a Moderate Buy (four Buys, one Hold, one Sell) with a $24.75 average price target; B. Riley raised its target to $27 while Weiss Ratings reiterated a Sell (D-).
• CFO Daryl Raiford sold 16,100 shares (reducing his stake by about 30%), insiders now own 6.5% of the stock, and institutional investors hold roughly 68.5%.

Bandwidth (NASDAQ:BAND - Get Free Report) was downgraded by research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research note issued on Sunday.

Other analysts have also recently issued reports about the stock. B. Riley Financial lifted their target price on shares of Bandwidth from $20.00 to $27.00 and gave the company a "buy" rating in a research note on Friday. Weiss Ratings reiterated a "sell (d-)" rating on shares of Bandwidth in a research note on Wednesday, January 21st. Four investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $24.75.

Bandwidth Trading Up 12.7%

Shares of Bandwidth stock opened at $23.01 on Friday. The company's fifty day moving average is $15.97 and its two-hundred day moving average is $15.21. The company has a market capitalization of $722.28 million, a P/E ratio of -53.51 and a beta of 2.03. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.42 and a current ratio of 1.42. Bandwidth has a 1 year low of $11.33 and a 1 year high of $23.14.

Insider Buying and Selling at Bandwidth

In other news, CFO Daryl E. Raiford sold 16,100 shares of the business's stock in a transaction on Friday, March 13th. The shares were sold at an average price of $15.19, for a total value of $244,559.00. Following the completion of the sale, the chief financial officer directly owned 36,645 shares in the company, valued at approximately $556,637.55. The trade was a 30.52% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 6.50% of the company's stock.

Institutional Trading of Bandwidth

A number of institutional investors and hedge funds have recently modified their holdings of BAND. Vanguard Group Inc. grew its holdings in shares of Bandwidth by 3.5% during the 3rd quarter. Vanguard Group Inc. now owns 1,988,533 shares of the company's stock worth $33,149,000 after purchasing an additional 67,428 shares in the last quarter. Dimensional Fund Advisors LP lifted its position in Bandwidth by 2.1% in the third quarter. Dimensional Fund Advisors LP now owns 1,464,976 shares of the company's stock worth $24,423,000 after purchasing an additional 30,248 shares during the period. Portolan Capital Management LLC lifted its position in Bandwidth by 115.8% in the third quarter. Portolan Capital Management LLC now owns 745,802 shares of the company's stock worth $12,433,000 after purchasing an additional 400,231 shares during the period. State Street Corp lifted its position in Bandwidth by 2.6% in the fourth quarter. State Street Corp now owns 649,426 shares of the company's stock worth $10,034,000 after purchasing an additional 16,654 shares during the period. Finally, Ameriprise Financial Inc. increased its holdings in Bandwidth by 10.5% in the 3rd quarter. Ameriprise Financial Inc. now owns 642,264 shares of the company's stock valued at $10,707,000 after buying an additional 61,004 shares during the period. 68.53% of the stock is currently owned by institutional investors and hedge funds.

About Bandwidth

Bandwidth Inc operates a cloud-based communications platform that provides voice, messaging and emergency services APIs for enterprises and developers. Through its proprietary network and software-as-a-service model, the company enables customers to integrate programmable voice calls, text messaging and 9-1-1 routing into their applications. Bandwidth's solutions aim to reduce complexity and improve reliability in mission-critical communications, serving industries such as healthcare, financial services, on-demand mobility and customer engagement.

Founded in 1999 in Raleigh, North Carolina by co-founders David Morken and Henry Kaestner, Bandwidth initially focused on voice-over-IP infrastructure before evolving into a full communications API provider.

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