Mitek Systems (NASDAQ:MITK) Rating Lowered to Buy at Wall Street Zen

Key Points

• Mitek Systems has been downgraded by Wall Street Zen from a "strong-buy" rating to a "buy" rating, reflecting a shift in analyst sentiment.
• Shares of Mitek Systems rose by 8.9% and opened at $9.94, with a market capitalization of approximately $449.69 million.
• Recent insider trading saw Michael E. Diamond sell 70,352 shares, reducing their stake by 23.17% while also indicating significant institutional interest in the company's stock.

Wall Street Zen downgraded shares of Mitek Systems (NASDAQ:MITK - Free Report) from a strong-buy rating to a buy rating in a research report released on Saturday.

Mitek Systems Stock Down 2.1%

NASDAQ MITK traded down $0.21 during trading hours on Friday, hitting $9.73. The company's stock had a trading volume of 539,997 shares, compared to its average volume of 470,402. The stock has a fifty day moving average of $9.65 and a 200 day moving average of $9.26. Mitek Systems has a twelve month low of $6.93 and a twelve month high of $11.78. The firm has a market capitalization of $440.22 million, a P/E ratio of 29.48 and a beta of 1.13.

Mitek Systems (NASDAQ:MITK - Get Free Report) last posted its earnings results on Thursday, May 8th. The software maker reported $0.36 earnings per share for the quarter, topping the consensus estimate of $0.26 by $0.10. The company had revenue of $51.93 million for the quarter, compared to analyst estimates of $47.21 million. Mitek Systems had a net margin of 8.71% and a return on equity of 17.26%. Mitek Systems's revenue for the quarter was up 10.4% on a year-over-year basis. On average, analysts predict that Mitek Systems will post 0.59 earnings per share for the current year.

Insiders Place Their Bets

In other Mitek Systems news, insider Michael E. Diamond sold 70,352 shares of the stock in a transaction on Friday, June 13th. The shares were sold at an average price of $9.77, for a total value of $687,339.04. Following the sale, the insider directly owned 233,340 shares in the company, valued at approximately $2,279,731.80. This trade represents a 23.17% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Company insiders own 2.10% of the company's stock.

Institutional Investors Weigh In On Mitek Systems

Hedge funds have recently bought and sold shares of the company. GAMMA Investing LLC raised its holdings in shares of Mitek Systems by 1,882.5% during the first quarter. GAMMA Investing LLC now owns 3,053 shares of the software maker's stock worth $25,000 after acquiring an additional 2,899 shares during the period. Quarry LP acquired a new stake in shares of Mitek Systems during the fourth quarter worth $31,000. Canada Pension Plan Investment Board acquired a new stake in shares of Mitek Systems during the fourth quarter worth $39,000. Pandora Wealth Inc. acquired a new stake in shares of Mitek Systems during the first quarter worth $41,000. Finally, Ancora Advisors LLC acquired a new stake in shares of Mitek Systems during the fourth quarter worth $67,000. 83.64% of the stock is currently owned by institutional investors and hedge funds.

About Mitek Systems

Mitek Systems, Inc provides mobile image capture and digital identity verification solutions worldwide. Its product portfolio includes Mobile Deposit that enables individuals and businesses to remotely deposit checks using their camera-equipped smartphone or tablet; Mobile Verify, an identity verification solution that is integrated into mobile apps, mobile websites, and desktop applications; and Mobile Fill, which includes automatic image capture, minimizes the numbers of clicks, and expedites form fill completion.