Short Interest in MeridianLink, Inc. (NYSE:MLNK) Drops By 22.4%

Key Points

• MeridianLink, Inc. experienced a significant decline in short interest, with a 22.4% decrease in short shares from July to August, totaling 1,180,000 shares by mid-August.
• The company's recent quarterly earnings report showed a loss of $0.04 EPS, missing analyst expectations of $0.09, despite a revenue increase of 7.5% year-over-year.
• Analysts have revised their ratings on MeridianLink, with several cutting their target price, resulting in a consensus rating of "Reduce" and a price target of $20.07.

MeridianLink, Inc. (NYSE:MLNK - Get Free Report) was the recipient of a large decrease in short interest during the month of August. As of August 15th, there was short interest totaling 1,180,000 shares, a decrease of 22.4% from the July 31st total of 1,520,000 shares. Approximately 4.0% of the shares of the stock are sold short. Based on an average daily volume of 685,400 shares, the days-to-cover ratio is currently 1.7 days. Based on an average daily volume of 685,400 shares, the days-to-cover ratio is currently 1.7 days. Approximately 4.0% of the shares of the stock are sold short.

Analysts Set New Price Targets

Several brokerages have recently commented on MLNK. Raymond James Financial lowered MeridianLink from a "moderate buy" rating to a "hold" rating in a research report on Tuesday, August 12th. BTIG Research lowered MeridianLink from a "strong-buy" rating to a "neutral" rating in a research report on Monday, August 11th. Barclays increased their price objective on MeridianLink from $16.00 to $20.00 and gave the company an "underweight" rating in a research report on Tuesday, August 12th. Finally, William Blair lowered MeridianLink from an "outperform" rating to a "market perform" rating in a research report on Monday, August 11th. Six equities research analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, MeridianLink currently has an average rating of "Reduce" and an average price target of $20.07.

MeridianLink Trading Down 0.1%

MLNK stock traded down $0.02 during trading on Friday, hitting $19.92. 198,284 shares of the company traded hands, compared to its average volume of 402,207. The firm has a market capitalization of $1.48 billion, a PE ratio of -68.67 and a beta of 0.93. MeridianLink has a 1 year low of $15.49 and a 1 year high of $25.33. The company has a 50-day moving average of $18.12 and a 200-day moving average of $17.59. The company has a debt-to-equity ratio of 1.18, a quick ratio of 2.01 and a current ratio of 2.01.

MeridianLink (NYSE:MLNK - Get Free Report) last issued its earnings results on Monday, August 11th. The company reported ($0.04) earnings per share for the quarter, missing the consensus estimate of $0.09 by ($0.13). The company had revenue of $84.60 million for the quarter, compared to analysts' expectations of $81.58 million. MeridianLink had a negative net margin of 6.90% and a negative return on equity of 4.50%. The company's revenue was up 7.5% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.04 earnings per share. Analysts predict that MeridianLink will post -0.35 earnings per share for the current fiscal year.

Institutional Investors Weigh In On MeridianLink

Institutional investors have recently bought and sold shares of the stock. Raymond James Financial Inc. purchased a new stake in MeridianLink during the 2nd quarter valued at about $76,000. Mirae Asset Global Investments Co. Ltd. lifted its holdings in MeridianLink by 1,606.0% in the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 4,521 shares of the company's stock worth $84,000 after buying an additional 4,256 shares during the period. Tower Research Capital LLC TRC lifted its holdings in MeridianLink by 271.6% in the 2nd quarter. Tower Research Capital LLC TRC now owns 9,275 shares of the company's stock worth $151,000 after buying an additional 6,779 shares during the period. New York State Common Retirement Fund lifted its holdings in MeridianLink by 39.1% in the 1st quarter. New York State Common Retirement Fund now owns 9,257 shares of the company's stock worth $172,000 after buying an additional 2,600 shares during the period. Finally, AQR Capital Management LLC purchased a new stake in MeridianLink in the 1st quarter worth approximately $194,000. 82.65% of the stock is currently owned by hedge funds and other institutional investors.

About MeridianLink

MeridianLink, Inc, a software and services company, provides software solutions for banks, credit unions, mortgage lenders, specialty lending providers, and consumer reporting agencies in the United States. The company offers MeridianLink One, a multi-product platform that can be tailored to meet the needs of customers as they digitally transform their organizations and adapt to changing business and consumer demands; MeridianLink Portal, a Point of Sale system that allows financial institutions to expand existing lending and deposit account; MeridianLink Opening, a cloud-based online account opening and deposit software solution; MeridianLink Consumer, a full loan solution suite to banks and credit unions; and MeridianLink DecisionLender, a loan origination software (LOS) for finance companies.