Bank of America Corp DE Purchases 5,170,574 Shares of Gogo Inc. $GOGO

Key Points

• Bank of America acquired 5.17 million Gogo shares worth approximately $16.0 million, giving it a 3.82% stake. Institutional investors collectively own 69.6% of the company.
• Gogo’s shares opened at $2.28, near the 12-month low of $2.22 and well below the 12-month high of $9.93. The company reported quarterly EPS of $0.03, missing estimates of $0.06, while revenue fell 1.4% year over year to $222.8 million.
• Analyst sentiment remains negative, with recent downgrades from Weiss Ratings and Zacks Research. The stock carries a consensus “Reduce” rating and an $8.50 price target.

Bank of America Corp DE bought a new stake in Gogo Inc. (NASDAQ:GOGO - Free Report) during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor bought 5,170,574 shares of the technology company's stock, valued at approximately $16,029,000. Bank of America Corp DE owned 3.82% of Gogo at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also modified their holdings of the company. BlackRock Inc. bought a new position in Gogo during the second quarter valued at about $18,984,000. Healthcare of Ontario Pension Plan Trust Fund boosted its position in Gogo by 199.4% during the first quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 486,820 shares of the technology company's stock worth $1,957,000 after purchasing an additional 324,237 shares during the period. Connor Clark & Lunn Investment Management Ltd. acquired a new position in Gogo during the second quarter valued at approximately $2,193,000. LB Partners LLC grew its holdings in Gogo by 436.0% during the first quarter. LB Partners LLC now owns 804,034 shares of the technology company's stock valued at $3,232,000 after purchasing an additional 654,034 shares during the last quarter. Finally, UBS Group AG grew its stake in Gogo by 32.5% in the 4th quarter. UBS Group AG now owns 500,807 shares of the technology company's stock valued at $2,334,000 after buying an additional 122,706 shares during the last quarter. 69.60% of the stock is currently owned by hedge funds and other institutional investors.

Gogo Trading Down 0.9%

NASDAQ GOGO opened at $2.28 on Friday. The company has a market capitalization of $308.96 million, a PE ratio of 228.00 and a beta of 1.03. The stock has a 50-day simple moving average of $3.07 and a 200 day simple moving average of $3.71. The company has a current ratio of 1.73, a quick ratio of 1.21 and a debt-to-equity ratio of 6.74. Gogo Inc. has a 12 month low of $2.22 and a 12 month high of $9.93.

Gogo (NASDAQ:GOGO - Get Free Report) last announced its quarterly earnings results on Thursday, August 6th. The technology company reported $0.03 earnings per share for the quarter, missing analysts' consensus estimates of $0.06 by ($0.03). Gogo had a positive return on equity of 22.55% and a negative net margin of 0.09%.The firm had revenue of $222.81 million for the quarter, compared to the consensus estimate of $229.35 million. During the same period in the prior year, the business earned $0.09 earnings per share. The company's revenue for the quarter was down 1.4% compared to the same quarter last year. Research analysts forecast that Gogo Inc. will post 0.03 EPS for the current year.

Analyst Ratings Changes

GOGO has been the topic of several recent analyst reports. Weiss Ratings downgraded Gogo from a "hold (c-)" rating to a "sell (d)" rating in a research report on Monday, August 17th. Wall Street Zen raised shares of Gogo from a "sell" rating to a "hold" rating in a research report on Saturday, September 5th. Roth Capital reiterated a "buy" rating on shares of Gogo in a research note on Friday, August 7th. Finally, Zacks Research cut shares of Gogo from a "hold" rating to a "strong sell" rating in a research note on Friday, August 7th. One investment analyst has rated the stock with a Buy rating, two have given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of "Reduce" and a consensus price target of $8.50.

Gogo Company Profile

Gogo Inc NASDAQ: GOGO provides broadband connectivity and wireless entertainment services for the aviation industry. The company primarily serves business aviation operators, including private jets and charter fleets, with in-flight internet access, streaming entertainment, voice and messaging capabilities, and related connectivity services.

Gogo offers air-to-ground connectivity through its existing network and is developing Gogo Galileo, a low-Earth-orbit satellite-based broadband service designed to expand coverage and deliver higher-speed connectivity to aircraft operating beyond the reach of traditional air-to-ground systems.

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