Mitek Systems (NASDAQ:MITK) Reaches New 12-Month High - Should You Buy?

Key Points

• Mitek Systems hit a new 52-week high, trading as high as $16.26, after closing at $15.61 the prior day.
• Recent earnings were strong: the company reported $0.38 EPS versus expectations of $0.26 and revenue of $54.84 million, topping estimates.
• Analyst sentiment is mixed, with a consensus Hold rating and a $16.00 price target, even as some firms recently raised targets or upgraded the stock.

Mitek Systems, Inc. (NASDAQ:MITK - Get Free Report)'s share price reached a new 52-week high during trading on Monday . The stock traded as high as $16.26 and last traded at $16.1130, with a volume of 246838 shares. The stock had previously closed at $15.61.

Wall Street Analysts Forecast Growth

Several equities analysts have recently commented on MITK shares. Zacks Research lowered shares of Mitek Systems from a "strong-buy" rating to a "hold" rating in a research report on Thursday, April 16th. Jefferies Financial Group upgraded shares of Mitek Systems from a "hold" rating to a "buy" rating and upped their price target for the stock from $11.00 to $15.00 in a research report on Friday, February 13th. Northland Securities set a $17.00 price target on shares of Mitek Systems in a research report on Wednesday, April 15th. Weiss Ratings restated a "hold (c)" rating on shares of Mitek Systems in a research report on Friday, March 27th. Finally, Wall Street Zen lowered shares of Mitek Systems from a "strong-buy" rating to a "buy" rating in a research report on Saturday. One investment analyst has rated the stock with a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat.com, Mitek Systems has a consensus rating of "Hold" and a consensus price target of $16.00.

Mitek Systems Stock Performance

The company has a current ratio of 2.61, a quick ratio of 2.61 and a debt-to-equity ratio of 0.20. The company has a market cap of $710.77 million, a P/E ratio of 45.16 and a beta of 0.95. The company's 50-day moving average price is $14.33 and its two-hundred day moving average price is $11.61.

Mitek Systems (NASDAQ:MITK - Get Free Report) last posted its quarterly earnings data on Thursday, May 7th. The software maker reported $0.38 EPS for the quarter, beating analysts' consensus estimates of $0.26 by $0.12. Mitek Systems had a net margin of 8.74% and a return on equity of 16.74%. The company had revenue of $54.84 million during the quarter, compared to analyst estimates of $52.59 million. As a group, equities analysts forecast that Mitek Systems, Inc. will post 0.88 earnings per share for the current year.

Insider Buying and Selling

In other Mitek Systems news, COO Garrett Gafke sold 152,529 shares of the company's stock in a transaction dated Tuesday, April 28th. The shares were sold at an average price of $13.92, for a total transaction of $2,123,203.68. Following the completion of the sale, the chief operating officer directly owned 265,387 shares of the company's stock, valued at approximately $3,694,187.04. This represents a 36.50% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Corporate insiders own 2.20% of the company's stock.

Institutional Trading of Mitek Systems

A number of hedge funds have recently bought and sold shares of MITK. Mak Capital One LLC purchased a new stake in Mitek Systems during the fourth quarter valued at about $6,690,000. Topline Capital Management LLC purchased a new stake in shares of Mitek Systems in the second quarter worth approximately $5,235,000. Congruence Capital LLC purchased a new stake in shares of Mitek Systems in the fourth quarter worth approximately $4,106,000. Impax Asset Management Group plc lifted its position in shares of Mitek Systems by 40.6% in the third quarter. Impax Asset Management Group plc now owns 1,195,000 shares of the software maker's stock worth $11,675,000 after purchasing an additional 345,000 shares in the last quarter. Finally, Tudor Investment Corp ET AL lifted its position in shares of Mitek Systems by 1,026.3% in the third quarter. Tudor Investment Corp ET AL now owns 230,848 shares of the software maker's stock worth $2,255,000 after purchasing an additional 210,352 shares in the last quarter. 83.64% of the stock is owned by hedge funds and other institutional investors.

About Mitek Systems

Mitek Systems, Inc NASDAQ: MITK is a software company specializing in mobile capture and digital identity verification solutions. Headquartered in San Diego, California, Mitek develops and licenses patented technology that enables organizations to securely capture, authenticate and process identity documents, checks and other physical media using smartphones and other digital devices. Its platforms leverage advanced image processing, machine learning and biometrics to streamline customer onboarding and prevent fraud in real time.

The company's core offerings include mobile check deposit and deposit automation tools for financial institutions, as well as identity verification and authentication services for banks, fintechs, insurers and government agencies.

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