Contour Asset Management LLC Makes New $65.78 Million Investment in BILL Holdings, Inc. $BILL

Key Points

• Contour Asset Management LLC acquired a new stake in BILL Holdings, Inc., purchasing 1,433,500 shares valued at approximately $65.78 million, which now represents 2.6% of their investment portfolio.
• BILL reported strong quarterly earnings, with a 0.53 EPS for the quarter, exceeding analysts' expectations by $0.12, and a notable 11.5% increase in revenue compared to the previous year.
• The company approved a $300 million share repurchase plan, indicating management's belief that its shares are currently undervalued.

Contour Asset Management LLC purchased a new stake in shares of BILL Holdings, Inc. (NYSE:BILL - Free Report) during the 1st quarter, according to the company in its most recent disclosure with the SEC. The fund purchased 1,433,500 shares of the company's stock, valued at approximately $65,783,000. BILL accounts for approximately 2.6% of Contour Asset Management LLC's holdings, making the stock its 15th biggest holding. Contour Asset Management LLC owned about 1.41% of BILL at the end of the most recent reporting period.

Several other hedge funds also recently added to or reduced their stakes in the business. Xponance Inc. raised its position in BILL by 1.6% in the first quarter. Xponance Inc. now owns 13,902 shares of the company's stock valued at $638,000 after purchasing an additional 222 shares during the period. CoreCap Advisors LLC acquired a new stake in shares of BILL during the 4th quarter worth about $30,000. Quarry LP raised its holdings in BILL by 85.9% in the 1st quarter. Quarry LP now owns 766 shares of the company's stock valued at $35,000 after buying an additional 354 shares during the period. Brooklyn Investment Group raised its holdings in BILL by 73.6% in the 1st quarter. Brooklyn Investment Group now owns 889 shares of the company's stock valued at $41,000 after buying an additional 377 shares during the period. Finally, AXA S.A. lifted its position in BILL by 0.5% in the fourth quarter. AXA S.A. now owns 81,690 shares of the company's stock valued at $6,920,000 after buying an additional 429 shares during the last quarter. 97.99% of the stock is currently owned by hedge funds and other institutional investors.

BILL Stock Up 10.2%

BILL stock traded up $4.79 during midday trading on Friday, hitting $51.48. The company's stock had a trading volume of 8,303,790 shares, compared to its average volume of 4,641,184. The firm has a 50-day simple moving average of $44.46 and a 200-day simple moving average of $45.26. The firm has a market capitalization of $5.23 billion, a P/E ratio of -321.70, a PEG ratio of 13.37 and a beta of 1.37. The company has a quick ratio of 1.58, a current ratio of 1.58 and a debt-to-equity ratio of 0.38. BILL Holdings, Inc. has a 52-week low of $36.55 and a 52-week high of $100.19.

BILL (NYSE:BILL - Get Free Report) last announced its quarterly earnings data on Wednesday, August 27th. The company reported $0.53 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.41 by $0.12. BILL had a return on equity of 1.16% and a net margin of 1.63%.The business had revenue of $383.35 million for the quarter, compared to analysts' expectations of $376.43 million. During the same period last year, the firm earned $0.57 earnings per share. The company's revenue for the quarter was up 11.5% compared to the same quarter last year. BILL has set its FY 2026 guidance at 2.000-2.200 EPS. Q1 2026 guidance at 0.490-0.520 EPS. As a group, equities analysts forecast that BILL Holdings, Inc. will post 0.12 EPS for the current year.

BILL declared that its Board of Directors has initiated a share repurchase program on Wednesday, August 27th that permits the company to repurchase $300.00 million in shares. This repurchase authorization permits the company to reacquire up to 7.2% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company's leadership believes its shares are undervalued.

Insider Activity

In other news, insider Rajesh A. Aji sold 1,780 shares of the business's stock in a transaction dated Tuesday, June 24th. The stock was sold at an average price of $45.25, for a total transaction of $80,545.00. Following the completion of the transaction, the insider directly owned 9,298 shares of the company's stock, valued at approximately $420,734.50. The trade was a 16.07% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Insiders own 4.20% of the company's stock.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on the stock. Robert W. Baird dropped their price target on shares of BILL from $55.00 to $52.00 and set a "neutral" rating for the company in a research report on Friday, July 18th. Piper Sandler cut shares of BILL from an "overweight" rating to a "neutral" rating and lowered their price objective for the stock from $70.00 to $50.00 in a research report on Thursday, August 28th. Deutsche Bank Aktiengesellschaft began coverage on shares of BILL in a report on Thursday, July 17th. They issued a "hold" rating and a $49.00 target price for the company. Citigroup decreased their price target on BILL from $88.00 to $67.00 and set a "buy" rating on the stock in a research note on Thursday, May 22nd. Finally, Oppenheimer restated an "outperform" rating and set a $55.00 price target on shares of BILL in a research report on Thursday, August 28th. Ten investment analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Hold" and a consensus target price of $59.50.

BILL Company Profile

BILL Holdings, Inc provides financial automation software for small and midsize businesses worldwide. The company provides software-as-a-service, cloud-based payments, and spend management products, which allow users to automate accounts payable and accounts receivable transactions, as well as enable users to connect with their suppliers and/or customers to do business, eliminate expense reports, manage cash flows, and improve office efficiency.