CS Disco (NYSE:LAW) Shares Down 3.3% - What's Next?

Key Points

• CS Disco shares fell 3.3% on Friday, trading as low as $4.03 before last changing hands at $4.07, below the prior close of $4.21.
• Recent analyst activity has been mixed, but the consensus rating remains Hold with an average price target of $8.00.
• The company recently reported better-than-expected quarterly results, posting a smaller-than-forecast loss and revenue above estimates, while CEO Eric Friedrichsen also bought 9,000 shares in May.

CS Disco, Inc. (NYSE:LAW - Get Free Report)'s stock price traded down 3.3% during trading on Friday . The company traded as low as $4.03 and last traded at $4.07. 205,856 shares were traded during mid-day trading, a decline of 9% from the average daily volume of 225,238 shares. The stock had previously closed at $4.21.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on the company. Weiss Ratings raised CS Disco from a "sell (e+)" rating to a "sell (d-)" rating in a research report on Thursday, July 2nd. Wall Street Zen cut CS Disco from a "buy" rating to a "hold" rating in a research report on Saturday, May 9th. Two investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock has a consensus rating of "Hold" and an average price target of $8.00.

CS Disco Stock Down 3.3%

The firm has a market capitalization of $261.01 million, a price-to-earnings ratio of -5.99 and a beta of 1.91. The business has a 50-day moving average of $3.78 and a two-hundred day moving average of $4.45.

CS Disco (NYSE:LAW - Get Free Report) last posted its quarterly earnings results on Wednesday, May 6th. The company reported ($0.07) EPS for the quarter, beating the consensus estimate of ($0.09) by $0.02. CS Disco had a negative return on equity of 26.12% and a negative net margin of 26.28%.The firm had revenue of $41.88 million during the quarter, compared to analysts' expectations of $40.30 million.

Insider Buying and Selling

In other news, CEO Eric Friedrichsen bought 9,000 shares of CS Disco stock in a transaction that occurred on Friday, May 8th. The stock was purchased at an average cost of $3.97 per share, with a total value of $35,730.00. Following the completion of the transaction, the chief executive officer directly owned 1,517,172 shares in the company, valued at $6,023,172.84. This trade represents a 0.60% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. 16.80% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On CS Disco

A number of hedge funds have recently made changes to their positions in LAW. Topline Capital Management LLC boosted its position in shares of CS Disco by 66.2% during the 2nd quarter. Topline Capital Management LLC now owns 2,965,268 shares of the company's stock valued at $12,958,000 after acquiring an additional 1,181,046 shares in the last quarter. Vanguard Group Inc. raised its position in CS Disco by 1.7% in the third quarter. Vanguard Group Inc. now owns 1,959,087 shares of the company's stock worth $12,656,000 after purchasing an additional 33,672 shares in the last quarter. Dimensional Fund Advisors LP lifted its stake in CS Disco by 3.2% during the first quarter. Dimensional Fund Advisors LP now owns 782,025 shares of the company's stock worth $2,987,000 after purchasing an additional 24,031 shares during the period. Geode Capital Management LLC boosted its holdings in CS Disco by 1.0% during the fourth quarter. Geode Capital Management LLC now owns 550,998 shares of the company's stock valued at $4,277,000 after purchasing an additional 5,634 shares in the last quarter. Finally, Norges Bank acquired a new stake in CS Disco during the fourth quarter valued at approximately $4,252,000. Institutional investors and hedge funds own 58.05% of the company's stock.

CS Disco Company Profile

CS Disco, Inc is a provider of cloud-native, artificial intelligence-driven legal applications designed to streamline e-discovery, document review and compliance processes for law firms and corporate legal departments. The Austin, Texas–based company offers a unified platform that automates labor-intensive tasks using machine learning and predictive analytics, enabling legal professionals to process, search and review large volumes of data with greater speed and accuracy.

At the core of CS Disco's product suite is its flagship e-discovery application, which supports early case assessment, data processing, review analytics and production workflows.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.