SuperCom, Ltd. (NASDAQ:SPCB) Sees Significant Growth in Short Interest

Key Points

• Short interest surged 75.7% to 144,335 shares as of September 30, representing 3.2% of SuperCom’s outstanding stock and 2.5 days to cover.
• Institutional investors hold 47.81% of the company, while Apis Capital Advisors increased its stake by 5.3% to 99,000 shares. Analyst sentiment remains negative overall, with a consensus “Sell” rating despite one upgrade to “Buy.”
• SuperCom shares rose 1.6% to $9.10, while the company’s latest quarterly results exceeded expectations: adjusted earnings were $0.52 per share versus a $0.28 estimate, and revenue reached $8.09 million.

SuperCom, Ltd. (NASDAQ:SPCB - Get Free Report) saw a large increase in short interest in September. As of September 30th, there was short interest totaling 144,335 shares, an increase of 75.7% from the September 15th total of 82,127 shares. Based on an average daily trading volume, of 57,056 shares, the days-to-cover ratio is presently 2.5 days. Currently, 3.2% of the company's stock are short sold.

Hedge Funds Weigh In On SuperCom

An institutional investor recently raised its position in SuperCom stock. Apis Capital Advisors LLC lifted its stake in shares of SuperCom, Ltd. (NASDAQ:SPCB - Free Report) by 5.3% in the 4th quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 99,000 shares of the industrial products company's stock after acquiring an additional 5,000 shares during the quarter. Apis Capital Advisors LLC owned about 3.38% of SuperCom worth $896,000 as of its most recent filing with the SEC. Institutional investors and hedge funds own 47.81% of the company's stock.

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on SPCB shares. Wall Street Zen raised shares of SuperCom from a "hold" rating to a "buy" rating in a research note on Saturday, October 3rd. Weiss Ratings downgraded shares of SuperCom from a "sell (d+)" rating to a "sell (d)" rating in a research note on Friday, October 2nd. One equities research analyst has rated the stock with a Sell rating. According to data from MarketBeat.com, the stock currently has a consensus rating of "Sell".

SuperCom Stock Up 1.6%

SPCB stock traded up $0.14 during trading hours on Thursday, hitting $9.10. The company's stock had a trading volume of 60,936 shares, compared to its average volume of 78,469. The company has a quick ratio of 5.18, a current ratio of 5.75 and a debt-to-equity ratio of 0.40. The company has a market capitalization of $50.48 million, a PE ratio of 5.53 and a beta of 1.13. SuperCom has a 12 month low of $7.07 and a 12 month high of $12.87. The stock has a 50 day moving average price of $10.03 and a two-hundred day moving average price of $10.22.

SuperCom (NASDAQ:SPCB - Get Free Report) last announced its quarterly earnings results on Thursday, August 13th. The industrial products company reported $0.52 EPS for the quarter, topping the consensus estimate of $0.28 by $0.24. SuperCom had a net margin of 2.92% and a return on equity of 20.20%. The company had revenue of $8.09 million for the quarter, compared to analyst estimates of $7.15 million.

SuperCom Company Profile

SuperCom Ltd. NASDAQ: SPCB is an Israeli technology company that develops secure solutions for the government, public safety and electronic monitoring markets. Its products are designed to support agencies responsible for offender supervision, domestic violence prevention, corrections, public safety and related social-service programs.

The company's offerings include electronic monitoring systems, location and tracking technologies, biometric identification tools, case-management software and mobile applications.

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