ON24, Inc. (NYSE:ONTF) Receives Average Recommendation of "Hold" from Brokerages

Key Points

• ON24, Inc. has received an average recommendation of "Hold" from analysts, with a 12-month price target set at $5.33.
• The company has begun a $50 million share buyback program, indicating the board's belief that the stock is undervalued.
• Insider activity revealed that major shareholder Lake Lp Lynrock acquired approximately 47,692 shares, increasing their ownership in the company.

ON24, Inc. (NYSE:ONTF - Get Free Report) has earned an average recommendation of "Hold" from the five analysts that are covering the firm, MarketBeat reports. Five research analysts have rated the stock with a hold recommendation. The average 12 month price target among brokerages that have updated their coverage on the stock in the last year is $5.3333.

Several equities research analysts have recently weighed in on ONTF shares. Canaccord Genuity Group decreased their target price on ON24 from $9.00 to $5.00 and set a "hold" rating for the company in a research report on Thursday, May 8th. Wall Street Zen raised ON24 from a "hold" rating to a "buy" rating in a report on Saturday, August 9th. Finally, Robert W. Baird dropped their price target on ON24 from $7.00 to $5.00 and set a "neutral" rating on the stock in a research report on Thursday, May 8th.

ON24 Price Performance

Shares of NYSE:ONTF opened at $5.58 on Wednesday. ON24 has a 12 month low of $4.35 and a 12 month high of $7.03. The business has a 50-day moving average of $5.27 and a two-hundred day moving average of $5.30. The firm has a market capitalization of $235.88 million, a PE ratio of -6.48 and a beta of 0.66.

ON24 declared that its Board of Directors has initiated a share buyback program on Monday, May 12th that allows the company to buyback $50.00 million in shares. This buyback authorization allows the company to buy up to 22.6% of its stock through open market purchases. Stock buyback programs are often a sign that the company's board believes its stock is undervalued.

Insider Activity

In other ON24 news, major shareholder Lake Lp Lynrock purchased 47,692 shares of the stock in a transaction dated Monday, June 9th. The shares were bought at an average cost of $5.57 per share, with a total value of $265,644.44. Following the completion of the acquisition, the insider owned 8,212,732 shares of the company's stock, valued at approximately $45,744,917.24. This trade represents a 0.58% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Sharat Sharan sold 61,467 shares of the firm's stock in a transaction on Monday, June 30th. The shares were sold at an average price of $5.47, for a total value of $336,224.49. Following the transaction, the insider directly owned 3,550,917 shares in the company, valued at $19,423,515.99. This trade represents a 1.70% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have acquired 121,525 shares of company stock valued at $674,536 and have sold 180,000 shares valued at $968,250. Corporate insiders own 33.00% of the company's stock.

Hedge Funds Weigh In On ON24

A number of hedge funds have recently modified their holdings of the stock. Lynrock Lake LP grew its holdings in shares of ON24 by 4.5% in the 1st quarter. Lynrock Lake LP now owns 7,659,474 shares of the company's stock worth $39,829,000 after acquiring an additional 329,715 shares during the last quarter. Federated Hermes Inc. boosted its position in ON24 by 0.4% during the second quarter. Federated Hermes Inc. now owns 1,172,241 shares of the company's stock valued at $6,365,000 after purchasing an additional 4,578 shares during the last quarter. Geode Capital Management LLC lifted its position in shares of ON24 by 13.7% in the second quarter. Geode Capital Management LLC now owns 852,320 shares of the company's stock worth $4,629,000 after buying an additional 102,396 shares during the last quarter. Acadian Asset Management LLC lifted its position in shares of ON24 by 1.8% in the second quarter. Acadian Asset Management LLC now owns 845,702 shares of the company's stock worth $4,590,000 after buying an additional 14,851 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership increased its stake in shares of ON24 by 14.2% in the second quarter. Arrowstreet Capital Limited Partnership now owns 593,954 shares of the company's stock worth $3,225,000 after purchasing an additional 74,010 shares during the period. 83.93% of the stock is currently owned by institutional investors and hedge funds.

ON24 Company Profile

ON24, Inc provides a cloud-based intelligent engagement platform that enables businesses to convert customer engagement into revenue through interactive webinar, virtual event, and multimedia content experiences worldwide. The company provides ON24 Elite, for live and interactive webinar experience; ON24 Breakouts, for live breakout room experience that facilitates networking, collaboration, and interactivity between users; ON24 Forums, for live and interactive experience, which facilitates video-to-video interaction between presenters and audiences; ON24 Go Live, for live and interactive video event experience that enables presenters and attendees to engage face-to-face in real-time; and ON24 Virtual Confrence, for live and large scale managed virtual event experience.

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