Dimensional Fund Advisors LP Acquires 91,812 Shares of Bandwidth Inc. $BAND

Key Points

• Dimensional Fund Advisors increased its Bandwidth stake by 6.3%, purchasing 91,812 shares to own 1.55 million shares valued at approximately $27.6 million, or 4.94% of the company. Institutional investors collectively own 68.53% of Bandwidth.
• Analysts maintain a generally positive outlook, with five Buy ratings and two Holds, an overall “Moderate Buy” consensus, and a consensus price target of $61.75. Several firms recently raised their price targets, including Citizens JMP to $86 and B. Riley to $85.
• Bandwidth reported quarterly EPS of $0.37 versus the $0.36 consensus estimate and revenue of $219.9 million, up 22.2% year over year. However, insiders sold 107,844 shares worth approximately $6.45 million over the past 90 days, while the stock opened at $45.67, down 1.1%.

Dimensional Fund Advisors LP increased its holdings in shares of Bandwidth Inc. (NASDAQ:BAND - Free Report) by 6.3% in the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 1,551,508 shares of the company's stock after purchasing an additional 91,812 shares during the quarter. Dimensional Fund Advisors LP owned approximately 4.94% of Bandwidth worth $27,647,000 as of its most recent SEC filing.

A number of other hedge funds have also added to or reduced their stakes in the business. Tower Research Capital LLC TRC boosted its stake in shares of Bandwidth by 183.7% during the 2nd quarter. Tower Research Capital LLC TRC now owns 3,776 shares of the company's stock worth $60,000 after buying an additional 2,445 shares during the last quarter. Raymond James Financial Inc. acquired a new stake in shares of Bandwidth in the second quarter valued at about $85,000. Quantbot Technologies LP acquired a new stake in shares of Bandwidth in the second quarter valued at about $128,000. State of Wyoming raised its holdings in Bandwidth by 104.6% during the fourth quarter. State of Wyoming now owns 8,756 shares of the company's stock worth $135,000 after acquiring an additional 4,476 shares in the last quarter. Finally, Harbor Capital Advisors Inc. grew its stake in Bandwidth by 35.1% in the fourth quarter. Harbor Capital Advisors Inc. now owns 10,143 shares of the company's stock valued at $157,000 after purchasing an additional 2,634 shares in the last quarter. Institutional investors own 68.53% of the company's stock.

Insider Activity

In other news, insider Kade Ross sold 20,000 shares of Bandwidth stock in a transaction on Monday, May 11th. The stock was sold at an average price of $51.56, for a total transaction of $1,031,200.00. Following the completion of the sale, the insider owned 43,894 shares of the company's stock, valued at approximately $2,263,174.64. This trade represents a 31.30% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Daryl E. Raiford sold 4,228 shares of the company's stock in a transaction dated Monday, June 1st. The shares were sold at an average price of $64.15, for a total transaction of $271,226.20. Following the completion of the transaction, the chief financial officer owned 42,919 shares in the company, valued at $2,753,253.85. This trade represents a 8.97% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 107,844 shares of company stock worth $6,449,671. Corporate insiders own 5.26% of the company's stock.

Analyst Upgrades and Downgrades

Several research firms have weighed in on BAND. Needham & Company LLC boosted their price target on Bandwidth from $45.00 to $60.00 and gave the stock a "buy" rating in a research report on Thursday, May 14th. Citizens Jmp raised their target price on shares of Bandwidth from $70.00 to $86.00 and gave the company a "market outperform" rating in a research note on Monday, July 20th. Citigroup reissued a "market outperform" rating on shares of Bandwidth in a research note on Monday, July 20th. Weiss Ratings raised shares of Bandwidth from a "sell (d-)" rating to a "hold (c-)" rating in a research report on Friday, July 31st. Finally, B. Riley Financial lifted their price objective on shares of Bandwidth from $55.00 to $85.00 and gave the company a "buy" rating in a research report on Thursday, July 9th. Five analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat, Bandwidth presently has an average rating of "Moderate Buy" and a consensus price target of $61.75.

Bandwidth Trading Down 1.1%

Shares of BAND stock opened at $45.67 on Thursday. Bandwidth Inc. has a 12-month low of $12.50 and a 12-month high of $79.08. The company has a market capitalization of $1.46 billion, a PE ratio of -157.48 and a beta of 2.96. The firm has a 50 day moving average price of $60.47 and a two-hundred day moving average price of $36.51. The company has a quick ratio of 2.04, a current ratio of 2.04 and a debt-to-equity ratio of 0.87.

Bandwidth (NASDAQ:BAND - Get Free Report) last posted its earnings results on Wednesday, July 29th. The company reported $0.37 EPS for the quarter, beating the consensus estimate of $0.36 by $0.01. The company had revenue of $219.90 million for the quarter, compared to the consensus estimate of $217.62 million. Bandwidth had a return on equity of 1.85% and a net margin of 0.27%.The company's revenue was up 22.2% compared to the same quarter last year. Bandwidth has set its Q3 2026 guidance at 0.450-0.490 EPS and its FY 2026 guidance at 1.710-1.790 EPS. As a group, analysts predict that Bandwidth Inc. will post 0.65 earnings per share for the current year.

Bandwidth Company Profile

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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