Domo (NASDAQ:DOMO) Shares Gap Up After Analyst Upgrade

Key Points

• Domo, Inc. shares surged after Cowen upgraded the stock from a hold to a buy rating, causing the stock to open at $17.10, up from a previous close of $16.11.
• Multiple brokerages have raised their price targets for Domo, with TD Cowen increasing it from $13.00 to $21.00, reflecting growing confidence in the stock.
• CEO Joshua G. James purchased 13,025 shares at $12.74 each, increasing his ownership stake in the company, which highlights insider confidence in Domo's future performance.

Shares of Domo, Inc. (NASDAQ:DOMO - Get Free Report) gapped up prior to trading on Wednesday after Cowen upgraded the stock from a hold rating to a buy rating. The stock had previously closed at $16.11, but opened at $17.10. Domo shares last traded at $17.41, with a volume of 385,949 shares traded.

Several other brokerages have also commented on DOMO. TD Cowen upgraded shares of Domo from a "hold" rating to a "buy" rating and boosted their target price for the stock from $13.00 to $21.00 in a research report on Tuesday. Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $17.00 price objective on shares of Domo in a research report on Wednesday, June 25th. Citigroup reaffirmed an "outperform" rating on shares of Domo in a research report on Wednesday, June 25th. JMP Securities upped their price target on shares of Domo from $16.00 to $20.00 and gave the stock a "market outperform" rating in a research report on Wednesday, June 25th. Finally, Lake Street Capital reiterated a "hold" rating and set a $9.00 price objective (up previously from $8.50) on shares of Domo in a research note on Thursday, May 22nd. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $14.71.

Insiders Place Their Bets

In other Domo news, CEO Joshua G. James bought 13,025 shares of the business's stock in a transaction on Friday, June 20th. The shares were purchased at an average price of $12.74 per share, with a total value of $165,938.50. Following the purchase, the chief executive officer directly owned 1,079,972 shares of the company's stock, valued at approximately $13,758,843.28. The trade was a 1.22% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through this link. 15.24% of the stock is owned by insiders.

Institutional Trading of Domo

Hedge funds have recently added to or reduced their stakes in the business. Rockwood Wealth Management LLC raised its stake in Domo by 55.7% during the 1st quarter. Rockwood Wealth Management LLC now owns 20,984 shares of the company's stock valued at $163,000 after acquiring an additional 7,508 shares in the last quarter. Raymond James Financial Inc. bought a new stake in Domo during the 4th quarter valued at $173,000. Squarepoint Ops LLC bought a new stake in Domo during the 4th quarter valued at $127,000. Connective Capital Management LLC bought a new stake in Domo during the 4th quarter valued at $315,000. Finally, Barclays PLC raised its stake in Domo by 3.7% during the 4th quarter. Barclays PLC now owns 82,573 shares of the company's stock valued at $584,000 after acquiring an additional 2,962 shares in the last quarter. Institutional investors own 76.64% of the company's stock.

Domo Stock Performance

The firm has a 50 day simple moving average of $14.70 and a two-hundred day simple moving average of $11.01. The stock has a market cap of $700.50 million, a P/E ratio of -9.23 and a beta of 1.87.

Domo Company Profile

Domo, Inc, together with its subsidiaries, operates a cloud-based business intelligence platform in North America, Western Europe, Canada, Australia, and Japan. Its platform digitally connects from the chief executive officer to the frontline employee with the various people, data, and systems in an organization, as well as giving them access to real-time data and insights, and allowing them to manage business via various browsers and visualization engines accessible across laptops, TV screens, monitors, tablets, and smartphones.

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