OLO (NYSE:OLO) Sees Unusually-High Trading Volume - What's Next?

Key Points

• Olo Inc. (NYSE:OLO) experienced a significant trading volume increase, with about 3.35 million shares traded on Friday, a 50% rise from the previous session.
• Analysts have issued mixed ratings for OLO, with Truist Financial downgrading the stock from "strong-buy" to "hold" and others adjusting price targets, resulting in a current consensus rating of "Hold" with an average target price of $10.17.
• Olo's latest quarterly earnings reported a missed EPS estimate of $0.07, while revenue was up 21.6% year-over-year, highlighting the company's growth potential amidst recent insider selling.

Shares of Olo Inc. (NYSE:OLO - Get Free Report) saw strong trading volume on Friday . 3,350,250 shares traded hands during mid-day trading, an increase of 50% from the previous session's volume of 2,237,908 shares.The stock last traded at $10.21 and had previously closed at $10.34.

Analysts Set New Price Targets

Several analysts have weighed in on the company. Wall Street Zen downgraded OLO from a "buy" rating to a "hold" rating in a research report on Saturday, July 5th. Piper Sandler upped their target price on OLO from $8.00 to $10.25 and gave the company a "neutral" rating in a report on Monday, July 7th. Royal Bank Of Canada restated a "sector perform" rating and set a $10.25 target price on shares of OLO in a report on Monday, July 7th. Lake Street Capital downgraded OLO from a "strong-buy" rating to a "hold" rating in a report on Thursday, July 3rd. Finally, Truist Financial downgraded OLO from a "strong-buy" rating to a "hold" rating in a report on Tuesday, July 8th. Five investment analysts have rated the stock with a hold rating, According to MarketBeat.com, the company presently has a consensus rating of "Hold" and an average price target of $10.17.

OLO Stock Down 1.3%

The business has a fifty day simple moving average of $9.51 and a 200-day simple moving average of $7.90. The firm has a market cap of $1.70 billion, a P/E ratio of 145.71 and a beta of 1.58.

OLO (NYSE:OLO - Get Free Report) last posted its quarterly earnings data on Monday, August 4th. The company reported $0.07 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.08 by ($0.01). OLO had a positive return on equity of 2.13% and a negative net margin of 0.28%. The firm had revenue of $85.72 million during the quarter, compared to the consensus estimate of $82.23 million. During the same quarter last year, the company posted $0.05 EPS. OLO's revenue for the quarter was up 21.6% compared to the same quarter last year. On average, sell-side analysts anticipate that Olo Inc. will post -0.03 EPS for the current fiscal year.

Insider Activity

In other news, COO Joanna G. Lambert sold 38,614 shares of the firm's stock in a transaction on Thursday, June 5th. The stock was sold at an average price of $8.80, for a total transaction of $339,803.20. Following the completion of the transaction, the chief operating officer directly owned 925,146 shares in the company, valued at $8,141,284.80. This trade represents a 4.01% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Zuhairah Scott Washington sold 10,000 shares of the firm's stock in a transaction on Monday, June 16th. The shares were sold at an average price of $8.48, for a total value of $84,800.00. Following the transaction, the director owned 68,677 shares of the company's stock, valued at $582,380.96. The trade was a 12.71% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 98,630 shares of company stock valued at $864,454. 39.33% of the stock is currently owned by insiders.

Institutional Investors Weigh In On OLO

Several institutional investors have recently modified their holdings of OLO. Cullen Frost Bankers Inc. boosted its position in shares of OLO by 171.6% during the second quarter. Cullen Frost Bankers Inc. now owns 3,430 shares of the company's stock valued at $31,000 after buying an additional 2,167 shares during the last quarter. SMI Advisory Services LLC purchased a new stake in shares of OLO during the first quarter valued at $62,000. Calamos Advisors LLC purchased a new stake in shares of OLO during the first quarter valued at $63,000. Corton Capital Inc. purchased a new stake in shares of OLO during the first quarter valued at $66,000. Finally, Envestnet Asset Management Inc. purchased a new position in OLO in the fourth quarter worth about $80,000. 93.40% of the stock is owned by hedge funds and other institutional investors.

About OLO

Olo, Inc engages in the provision of a cloud-based, on-demand commerce platform for multi-location restaurant brands. It enables digital ordering and delivery. The company was founded by Noah H. Glass on June 1, 2005 and is headquartered in New York, NY.