Victory Capital Management Inc. Makes New Investment in Bandwidth Inc. (NASDAQ:BAND)

Key Points

• Victory Capital Management Inc. acquired 19,010 shares of Bandwidth Inc. valued at approximately $249,000, representing a 0.07% stake in the company.
• Multiple analysts have different target prices for Bandwidth, with Robert W. Baird lowering theirs from $20.00 to $15.00, while JMP Securities set a target of $36.00.
• Bandwidth's recent quarterly earnings show an EPS of $0.38, exceeding analyst expectations, with revenue of $180.01 million, reflecting a 3.4% year-over-year increase.

Victory Capital Management Inc. bought a new stake in shares of Bandwidth Inc. (NASDAQ:BAND - Free Report) during the 1st quarter, according to its most recent filing with the SEC. The firm bought 19,010 shares of the company's stock, valued at approximately $249,000. Victory Capital Management Inc. owned 0.07% of Bandwidth as of its most recent filing with the SEC.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. CWM LLC lifted its holdings in Bandwidth by 326.8% during the 1st quarter. CWM LLC now owns 7,460 shares of the company's stock worth $98,000 after buying an additional 5,712 shares during the last quarter. Allspring Global Investments Holdings LLC boosted its stake in Bandwidth by 53.9% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 21,876 shares of the company's stock valued at $287,000 after purchasing an additional 7,661 shares during the period. Harbor Capital Advisors Inc. bought a new position in Bandwidth in the 1st quarter worth approximately $72,000. Rhumbline Advisers increased its holdings in shares of Bandwidth by 3.7% during the first quarter. Rhumbline Advisers now owns 35,603 shares of the company's stock valued at $466,000 after purchasing an additional 1,255 shares during the period. Finally, GAMMA Investing LLC raised its stake in shares of Bandwidth by 16,036.6% during the first quarter. GAMMA Investing LLC now owns 6,616 shares of the company's stock valued at $87,000 after purchasing an additional 6,575 shares in the last quarter. 68.53% of the stock is owned by institutional investors and hedge funds.

Bandwidth Stock Performance

Shares of BAND traded down $0.20 during mid-day trading on Tuesday, hitting $13.43. The company's stock had a trading volume of 211,710 shares, compared to its average volume of 351,045. Bandwidth Inc. has a one year low of $11.33 and a one year high of $23.00. The stock's 50-day moving average is $14.91 and its two-hundred day moving average is $14.87. The firm has a market capitalization of $399.68 million, a PE ratio of -39.50 and a beta of 1.80. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.31 and a current ratio of 1.31.

Bandwidth (NASDAQ:BAND - Get Free Report) last announced its quarterly earnings data on Tuesday, July 29th. The company reported $0.38 EPS for the quarter, beating analysts' consensus estimates of $0.32 by $0.06. Bandwidth had a negative net margin of 1.32% and a positive return on equity of 1.43%. The business had revenue of $180.01 million during the quarter, compared to analyst estimates of $178.87 million. During the same quarter in the prior year, the business earned $0.29 earnings per share. The firm's revenue for the quarter was up 3.4% on a year-over-year basis. As a group, sell-side analysts anticipate that Bandwidth Inc. will post 0.22 EPS for the current year.

Wall Street Analysts Forecast Growth

BAND has been the subject of several research analyst reports. Robert W. Baird cut their price objective on Bandwidth from $20.00 to $15.00 and set a "neutral" rating for the company in a report on Thursday, May 8th. Needham & Company LLC restated a "buy" rating and set a $20.00 price objective on shares of Bandwidth in a research report on Friday, June 13th. JMP Securities reiterated a "market outperform" rating and issued a $36.00 target price on shares of Bandwidth in a report on Thursday, May 15th. Finally, Morgan Stanley reduced their target price on shares of Bandwidth from $18.00 to $11.00 and set an "underweight" rating for the company in a report on Wednesday, April 16th. One analyst has rated the stock with a sell rating, one has given a hold rating and four have assigned a buy rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average target price of $20.80.

Insider Activity at Bandwidth

In related news, COO Devesh Agarwal sold 1,804 shares of the stock in a transaction dated Thursday, May 29th. The shares were sold at an average price of $14.47, for a total value of $26,103.88. Following the completion of the transaction, the chief operating officer owned 57,689 shares of the company's stock, valued at $834,759.83. This represents a 3.03% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO Daryl Raiford sold 1,849 shares of the company's stock in a transaction on Tuesday, July 22nd. The shares were sold at an average price of $15.46, for a total value of $28,585.54. Following the completion of the sale, the chief financial officer owned 122,548 shares in the company, valued at $1,894,592.08. This trade represents a 1.49% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 44,596 shares of company stock worth $658,682 in the last three months. Company insiders own 6.20% of the company's stock.

About Bandwidth

Bandwidth is a leading enterprise cloud communications company. Companies like Cisco, Google, Microsoft, RingCentral, Uber, and Zoom use Bandwidth's APIs to easily embed voice, messaging, and emergency services into software and applications. Bandwidth is the first and only CPaaS provider offering a robust selection of communications APIs built around their own IP voice network.