OLO (NYSE:OLO) Sees Strong Trading Volume - Here's Why

Key Points

• Olo Inc. (NYSE:OLO) experienced a significant increase in trading volume, with 4.6 million shares exchanged, marking an 80% rise from the previous session.
• Wall Street analysts have downgraded OLO's ratings, with the stock now holding a consensus rating of "Hold" and an average price target of $10.17.
• In recent insider transactions, key executives sold significant shares at an average price of $10.25, reducing their holdings in the company.

Olo Inc. (NYSE:OLO - Get Free Report) saw unusually-high trading volume on Thursday . Approximately 4,620,447 shares were traded during trading, an increase of 80% from the previous session's volume of 2,571,080 shares.The stock last traded at $10.28 and had previously closed at $10.26.

Wall Street Analyst Weigh In

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

OLO Price Performance

The business's 50-day moving average price is $10.24 and its 200 day moving average price is $8.46. The firm has a market capitalization of $1.74 billion, a price-to-earnings ratio of 146.57 and a beta of 1.58.

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

Insider Transactions at OLO

In related news, CEO Noah H. Glass sold 11,735 shares of the stock in a transaction dated Friday, September 5th. The shares were sold at an average price of $10.25, for a total value of $120,283.75. Following the completion of the transaction, the chief executive officer owned 266,467 shares in the company, valued at $2,731,286.75. This represents a 4.22% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CFO Peter J. Benevides sold 29,269 shares of the company's stock in a transaction dated Friday, September 5th. The shares were sold at an average price of $10.25, for a total transaction of $300,007.25. Following the completion of the sale, the chief financial officer directly owned 672,792 shares of the company's stock, valued at $6,896,118. The trade was a 4.17% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 101,623 shares of company stock worth $1,041,336 over the last ninety days. Insiders own 38.41% of the company's stock.

Institutional Trading of OLO

Hedge funds have recently bought and sold shares of the company. Cullen Frost Bankers Inc. lifted its position in shares of OLO by 171.6% in the second quarter. Cullen Frost Bankers Inc. now owns 3,430 shares of the company's stock worth $31,000 after purchasing an additional 2,167 shares in the last quarter. SMI Advisory Services LLC acquired a new position in OLO during the first quarter valued at approximately $62,000. Calamos Advisors LLC acquired a new position in OLO during the first quarter valued at approximately $63,000. Corton Capital Inc. acquired a new stake in shares of OLO in the first quarter worth $66,000. Finally, Entropy Technologies LP acquired a new stake in shares of OLO in the second quarter worth $92,000. 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.