Lightspeed Commerce (NYSE:LSPD) Shares Down 13.1% - Time to Sell?

Key Points

• Lightspeed Commerce shares fell 13.1% to approximately $9.57, with trading volume well below average.
• Analyst sentiment is mixed but leans cautious: the stock has an average “Hold” rating and an average price target of $11.27, while several firms recently lowered their targets.
• The company beat revenue expectations with 14.8% year-over-year growth but missed quarterly EPS estimates and remains unprofitable, reporting a negative net margin of 11.77%.

Lightspeed Commerce Inc. (NYSE:LSPD - Get Free Report) shares fell 13.1% during mid-day trading on Thursday . The stock traded as low as $9.38 and last traded at $9.57. Approximately 248,740 shares traded hands during mid-day trading, a decline of 76% from the average daily volume of 1,029,761 shares. The stock had previously closed at $11.01.

Analyst Ratings Changes

A number of research analysts have weighed in on LSPD shares. Barclays cut their price objective on shares of Lightspeed Commerce from $12.00 to $11.00 and set an "equal weight" rating for the company in a report on Tuesday, April 21st. Benchmark dropped their price objective on Lightspeed Commerce from $18.00 to $16.00 and set a "buy" rating on the stock in a report on Friday, May 22nd. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Lightspeed Commerce in a research note on Friday, July 17th. UBS Group cut their price target on shares of Lightspeed Commerce from $11.00 to $10.00 and set a "neutral" rating for the company in a report on Friday, May 22nd. Finally, National Bank Financial reduced their target price on shares of Lightspeed Commerce from $15.00 to $11.00 and set a "sector perform" rating for the company in a research report on Wednesday, May 27th. Four equities research analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, the company has an average rating of "Hold" and an average target price of $11.27.

Lightspeed Commerce Stock Performance

The company has a debt-to-equity ratio of 0.01, a current ratio of 4.28 and a quick ratio of 4.18. The company has a market cap of $1.31 billion, a price-to-earnings ratio of -9.23, a PEG ratio of 1.88 and a beta of 1.88. The firm has a 50 day simple moving average of $9.83 and a 200-day simple moving average of $9.67.

Lightspeed Commerce (NYSE:LSPD - Get Free Report) last released its quarterly earnings results on Thursday, May 21st. The company reported $0.08 earnings per share for the quarter, missing analysts' consensus estimates of $0.10 by ($0.02). The business had revenue of $290.80 million for the quarter, compared to analysts' expectations of $282.87 million. Lightspeed Commerce had a positive return on equity of 0.32% and a negative net margin of 11.77%.The company's revenue was up 14.8% on a year-over-year basis. As a group, analysts predict that Lightspeed Commerce Inc. will post 0.26 EPS for the current fiscal year.

Institutional Investors Weigh In On Lightspeed Commerce

Institutional investors and hedge funds have recently made changes to their positions in the stock. Amundi acquired a new position in shares of Lightspeed Commerce in the 1st quarter worth approximately $121,000. Royal Bank of Canada raised its position in Lightspeed Commerce by 64.4% in the first quarter. Royal Bank of Canada now owns 2,226,453 shares of the company's stock valued at $19,950,000 after purchasing an additional 872,131 shares during the period. Renaissance Technologies LLC lifted its stake in Lightspeed Commerce by 1,221.5% during the first quarter. Renaissance Technologies LLC now owns 406,783 shares of the company's stock worth $3,645,000 after purchasing an additional 376,000 shares in the last quarter. Pale Fire Capital SE acquired a new position in Lightspeed Commerce during the first quarter worth $49,500,000. Finally, Louisbourg Investments Inc. boosted its position in shares of Lightspeed Commerce by 4.1% during the first quarter. Louisbourg Investments Inc. now owns 672,764 shares of the company's stock worth $6,004,000 after buying an additional 26,531 shares during the period. 68.68% of the stock is owned by hedge funds and other institutional investors.

About Lightspeed Commerce

Lightspeed Commerce Inc is a Canadian technology company that develops cloud-based point-of-sale (POS) and e-commerce software for small and medium-sized businesses across the retail and hospitality sectors. Its integrated platform enables merchants to manage sales, inventory, customer relationships and analytics through a single interface. By combining in-store and online channels, Lightspeed helps businesses streamline operations and improve customer engagement in an increasingly omnichannel marketplace.

The company's product suite includes POS terminals, payment processing services, inventory management tools, customer loyalty programs and data reporting dashboards.

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