Consensus Cloud Solutions (NASDAQ:CCSI) Shares Gap Up - Still a Buy?

Key Points

• Consensus Cloud Solutions shares opened higher, rising from a prior close of $35.14 to $37.22, though the stock was later trading around $36.82.
• Analyst sentiment remains positive: three analysts rate CCSI a Buy and one a Hold, producing a “Moderate Buy” consensus rating and an average price target of $41.67.
• The company slightly exceeded quarterly expectations with $1.49 EPS and $91.36 million in revenue, while institutional investors own a substantial 93.93% of the stock.

Shares of Consensus Cloud Solutions, Inc. (NASDAQ:CCSI - Get Free Report) gapped up before the market opened on Friday. The stock had previously closed at $35.14, but opened at $37.22. Consensus Cloud Solutions shares last traded at $36.8150, with a volume of 6,875 shares traded.

Analyst Ratings Changes

CCSI has been the subject of a number of analyst reports. Oppenheimer lifted their price target on Consensus Cloud Solutions from $35.00 to $40.00 and gave the company an "outperform" rating in a research note on Monday, August 10th. BTIG Research reissued a "buy" rating and issued a $50.00 price target on shares of Consensus Cloud Solutions in a research note on Friday, September 25th. Finally, Weiss Ratings reiterated a "hold (c+)" rating on shares of Consensus Cloud Solutions in a report on Tuesday, August 4th. Three equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $41.67.

Consensus Cloud Solutions Stock Down 1.7%

The stock has a market capitalization of $667.62 million, a PE ratio of 7.41 and a beta of 1.58. The business's fifty day moving average price is $36.64 and its two-hundred day moving average price is $33.57. The company has a debt-to-equity ratio of 13.19, a current ratio of 1.90 and a quick ratio of 1.90.

Consensus Cloud Solutions (NASDAQ:CCSI - Get Free Report) last released its quarterly earnings results on Thursday, August 6th. The company reported $1.49 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.48 by $0.01. The firm had revenue of $91.36 million for the quarter, compared to analysts' expectations of $89.63 million. Consensus Cloud Solutions had a net margin of 26.69% and a return on equity of 502.63%. Consensus Cloud Solutions has set its Q3 2026 guidance at 1.340-1.440 EPS and its FY 2026 guidance at 5.550-5.950 EPS. On average, equities research analysts forecast that Consensus Cloud Solutions, Inc. will post 5.03 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, CTO Jeffrey Sullivan sold 5,400 shares of Consensus Cloud Solutions stock in a transaction that occurred on Wednesday, August 12th. The shares were sold at an average price of $37.70, for a total transaction of $203,580.00. Following the completion of the sale, the chief technology officer directly owned 114,968 shares in the company, valued at approximately $4,334,293.60. This trade represents a 4.49% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 3.65% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Consensus Cloud Solutions

Several institutional investors and hedge funds have recently bought and sold shares of CCSI. Jupiter Topco LLC purchased a new position in Consensus Cloud Solutions in the second quarter valued at about $94,988,000. Heron Bay Capital Management bought a new position in shares of Consensus Cloud Solutions during the 2nd quarter worth about $70,076,000. Janus Henderson Group PLC grew its position in Consensus Cloud Solutions by 4.0% in the first quarter. Janus Henderson Group PLC now owns 2,468,048 shares of the company's stock valued at $58,591,000 after acquiring an additional 95,973 shares during the period. BlackRock Inc. acquired a new stake in shares of Consensus Cloud Solutions in the second quarter valued at approximately $52,676,000. Finally, Arrowstreet Capital Limited Partnership boosted its holdings in Consensus Cloud Solutions by 10.7% during the first quarter. Arrowstreet Capital Limited Partnership now owns 376,489 shares of the company's stock worth $8,938,000 after buying an additional 36,493 shares during the last quarter. Institutional investors and hedge funds own 93.93% of the company's stock.

About Consensus Cloud Solutions

Consensus Cloud Solutions, Inc provides secure cloud-based information exchange and interoperability solutions, with a primary focus on the healthcare industry. Its software is designed to help organizations transmit, receive, manage and integrate sensitive information while supporting privacy, security and regulatory requirements.

The company's offerings include cloud fax and electronic document delivery, health information exchange, secure messaging, workflow automation and interoperability tools.

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