Gogo (NASDAQ:GOGO) Share Price Passes Below 200 Day Moving Average - Here's What Happened

Key Points

• Gogo shares fell below their 200-day moving average, trading as low as $2.30 versus the $3.73 average, a 6.9% decline with more than 1 million shares traded.
• Analyst sentiment is cautious: Gogo has an average rating of “Reduce”, with one Buy, two Holds, and two Sells, despite a consensus price target of $8.50.
• Gogo’s latest quarterly results missed expectations, with EPS of $0.03 versus $0.06 forecast and revenue of $222.81 million versus $229.35 million expected; institutional investors own 69.6% of the stock.

Gogo Inc. (NASDAQ:GOGO - Get Free Report)'s share price passed below its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $3.73 and traded as low as $2.30. Gogo shares last traded at $2.30, with a volume of 1,059,945 shares trading hands.

Wall Street Analyst Weigh In

A number of analysts recently weighed in on GOGO shares. Wall Street Zen raised shares of Gogo from a "sell" rating to a "hold" rating in a research note on Saturday, September 5th. Roth Capital reissued a "buy" rating on shares of Gogo in a research report on Friday, August 7th. Zacks Research lowered shares of Gogo from a "hold" rating to a "strong sell" rating in a report on Friday, August 7th. Finally, Weiss Ratings cut shares of Gogo from a "hold (c-)" rating to a "sell (d)" rating in a research report on Monday, August 17th. One equities research analyst has rated the stock with a Buy rating, two have given a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Reduce" and a consensus target price of $8.50.

Gogo Trading Down 6.9%

The company has a current ratio of 1.73, a quick ratio of 1.21 and a debt-to-equity ratio of 6.74. The stock has a market capitalization of $311.67 million, a P/E ratio of 230.00 and a beta of 1.03. The company has a 50-day moving average price of $3.09 and a 200 day moving average price of $3.73.

Gogo (NASDAQ:GOGO - Get Free Report) last issued its quarterly earnings data on Thursday, August 6th. The technology company reported $0.03 earnings per share for the quarter, missing analysts' consensus estimates of $0.06 by ($0.03). Gogo had a negative net margin of 0.09% and a positive return on equity of 22.55%. The company had revenue of $222.81 million for the quarter, compared to the consensus estimate of $229.35 million. During the same period in the previous year, the business earned $0.09 EPS. Gogo's revenue for the quarter was down 1.4% compared to the same quarter last year. On average, research analysts forecast that Gogo Inc. will post 0.03 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of GOGO. WINTON GROUP Ltd raised its stake in shares of Gogo by 43.0% during the 2nd quarter. WINTON GROUP Ltd now owns 44,900 shares of the technology company's stock worth $139,000 after acquiring an additional 13,500 shares in the last quarter. Engineers Gate Manager LP boosted its stake in Gogo by 10.8% in the second quarter. Engineers Gate Manager LP now owns 54,316 shares of the technology company's stock valued at $168,000 after acquiring an additional 5,282 shares in the last quarter. Baird Financial Group Inc. acquired a new stake in Gogo in the second quarter valued at approximately $174,000. Corient Private Wealth LP acquired a new stake in Gogo in the second quarter valued at approximately $172,000. Finally, Amundi grew its holdings in Gogo by 59.9% in the second quarter. Amundi now owns 66,931 shares of the technology company's stock worth $207,000 after purchasing an additional 25,086 shares during the last quarter. Hedge funds and other institutional investors own 69.60% of the company's stock.

Gogo Company Profile

Gogo Inc NASDAQ: GOGO provides broadband connectivity and wireless entertainment services for the aviation industry. The company primarily serves business aviation operators, including private jets and charter fleets, with in-flight internet access, streaming entertainment, voice and messaging capabilities, and related connectivity services.

Gogo offers air-to-ground connectivity through its existing network and is developing Gogo Galileo, a low-Earth-orbit satellite-based broadband service designed to expand coverage and deliver higher-speed connectivity to aircraft operating beyond the reach of traditional air-to-ground systems.

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