Gogo (NASDAQ:GOGO) Coverage Initiated at Morgan Stanley

Key Points

• Morgan Stanley has reaffirmed its "equal weight" rating for Gogo (NASDAQ:GOGO) and set a target price of $15.00, indicating a potential upside of 18.86%.
• Gogo reported quarterly earnings with an EPS of $0.13, exceeding estimates, and a revenue of $226.04 million, a 121.4% year-over-year increase.
• Several institutional investors have recently increased their stakes in Gogo, with 69.60% of the stock currently held by institutional investors and hedge funds.

Morgan Stanley initiated coverage on shares of Gogo (NASDAQ:GOGO - Get Free Report) in a note issued to investors on Thursday, MarketBeat Ratings reports. The brokerage set an "equal weight" rating and a $15.00 price target on the technology company's stock. Morgan Stanley's target price suggests a potential upside of 23.66% from the stock's previous close.

GOGO has been the topic of a number of other research reports. Wall Street Zen downgraded Gogo from a "buy" rating to a "hold" rating in a report on Saturday, August 9th. Roth Capital set a $16.50 price objective on Gogo and gave the company a "buy" rating in a research note on Wednesday, June 18th.

Gogo Trading Up 0.3%

Shares of NASDAQ:GOGO opened at $12.13 on Thursday. The business's 50 day simple moving average is $14.49 and its 200 day simple moving average is $10.58. Gogo has a 1 year low of $6.17 and a 1 year high of $16.82. The company has a debt-to-equity ratio of 8.10, a current ratio of 1.71 and a quick ratio of 1.32. The company has a market capitalization of $1.62 billion, a P/E ratio of 303.25 and a beta of 1.11.

Gogo (NASDAQ:GOGO - Get Free Report) last issued its quarterly earnings results on Thursday, August 7th. The technology company reported $0.13 EPS for the quarter, topping analysts' consensus estimates of $0.12 by $0.01. Gogo had a return on equity of 88.04% and a net margin of 1.05%. The company had revenue of $226.04 million for the quarter, compared to analysts' expectations of $220.12 million. During the same quarter last year, the business earned $0.01 earnings per share. Gogo's revenue was up 121.4% on a year-over-year basis. On average, research analysts anticipate that Gogo will post 0.41 EPS for the current fiscal year.

Insider Transactions at Gogo

In other Gogo news, EVP Michael Begler sold 107,136 shares of the business's stock in a transaction that occurred on Wednesday, June 18th. The shares were sold at an average price of $15.00, for a total transaction of $1,607,040.00. Following the sale, the executive vice president directly owned 14,454 shares of the company's stock, valued at $216,810. The trade was a 88.11% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Christopher John Moore purchased 10,000 shares of the company's stock in a transaction dated Friday, August 8th. The shares were acquired at an average cost of $12.11 per share, with a total value of $121,100.00. Following the purchase, the chief executive officer directly owned 10,000 shares of the company's stock, valued at approximately $121,100. The trade was a ∞ increase in their position. The disclosure for this purchase can be found here. Company insiders own 25.78% of the company's stock.

Institutional Trading of Gogo

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Universal Beteiligungs und Servicegesellschaft mbH lifted its position in shares of Gogo by 8.1% in the 2nd quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 13,877 shares of the technology company's stock worth $204,000 after purchasing an additional 1,034 shares during the period. Commonwealth of Pennsylvania Public School Empls Retrmt SYS boosted its position in Gogo by 8.6% during the second quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 15,357 shares of the technology company's stock valued at $225,000 after acquiring an additional 1,210 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in Gogo by 3.6% during the 4th quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 36,863 shares of the technology company's stock worth $298,000 after acquiring an additional 1,273 shares during the period. Police & Firemen s Retirement System of New Jersey grew its holdings in Gogo by 9.8% during the 2nd quarter. Police & Firemen s Retirement System of New Jersey now owns 15,063 shares of the technology company's stock worth $221,000 after acquiring an additional 1,340 shares during the period. Finally, Nuveen Asset Management LLC raised its position in shares of Gogo by 0.6% in the 4th quarter. Nuveen Asset Management LLC now owns 223,317 shares of the technology company's stock worth $1,807,000 after acquiring an additional 1,373 shares in the last quarter. 69.60% of the stock is currently owned by institutional investors and hedge funds.

Gogo Company Profile

Gogo Inc, together with its subsidiaries, provides broadband connectivity services to the aviation industry in the United States and internationally. The company's product platform includes networks, antennas, and airborne equipment and software. It offers in-flight systems; in-flight services; aviation partner support; and engineering, design, and development services, as well as production operations functions.