nCino (NASDAQ:NCNO) Stock Jumps 6.9% - Should You Buy?

Key Points

• nCino shares rose 6.9% to $21.03, outperforming their previous close, though trading volume was substantially below the daily average.
• Analyst sentiment is generally positive: the stock has a “Moderate Buy” consensus rating and an average price target of $24.38, with several firms recently raising targets to $25.
• Institutional investors own 94.76% of the shares, while company insiders sold about $2.66 million worth of stock over the past 90 days, including sales by the CEO and CFO.

nCino Inc. (NASDAQ:NCNO - Get Free Report) traded up 6.9% on Thursday. The company traded as high as $20.66 and last traded at $21.03. Approximately 161,777 shares traded hands during mid-day trading, a decline of 94% from the average daily volume of 2,809,471 shares. The stock had previously closed at $19.67.

Analyst Ratings Changes

A number of analysts recently commented on the company. Citizens Jmp increased their price target on nCino from $23.00 to $25.00 and gave the company a "market outperform" rating in a research report on Wednesday, August 26th. Keefe, Bruyette & Woods lifted their price target on nCino from $24.00 to $25.00 and gave the stock an "outperform" rating in a report on Wednesday, August 26th. Weiss Ratings reissued a "sell (d+)" rating on shares of nCino in a research report on Tuesday, August 25th. Truist Financial boosted their price objective on nCino from $19.00 to $20.00 and gave the stock a "hold" rating in a research report on Wednesday, August 26th. Finally, Piper Sandler started coverage on nCino in a research note on Monday, August 24th. They issued an "overweight" rating and a $25.00 price objective for the company. One investment analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $24.38.

nCino Price Performance

The company has a current ratio of 0.85, a quick ratio of 0.85 and a debt-to-equity ratio of 0.34. The stock has a market cap of $2.18 billion, a PE ratio of 68.80 and a beta of 0.81. The business has a 50-day moving average price of $20.56 and a 200 day moving average price of $18.06.

Insiders Place Their Bets

In other nCino news, CFO Gregory Orenstein sold 11,780 shares of the company's stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $19.22, for a total transaction of $226,411.60. Following the sale, the chief financial officer directly owned 690,513 shares of the company's stock, valued at $13,271,659.86. This represents a 1.68% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Sean Desmond sold 43,992 shares of the stock in a transaction dated Friday, October 9th. The stock was sold at an average price of $19.90, for a total transaction of $875,440.80. Following the transaction, the chief executive officer owned 1,231,080 shares of the company's stock, valued at $24,498,492. This represents a 3.45% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 134,130 shares of company stock worth $2,662,794 in the last ninety days. 1.90% of the stock is owned by corporate insiders.

Institutional Trading of nCino

A number of institutional investors have recently modified their holdings of NCNO. American Capital Management Inc. purchased a new stake in shares of nCino in the second quarter worth about $83,508,000. Hawk Ridge Capital Management LP boosted its position in shares of nCino by 625.4% in the first quarter. Hawk Ridge Capital Management LP now owns 4,481,810 shares of the company's stock valued at $67,138,000 after acquiring an additional 3,864,010 shares during the period. Bank of Nova Scotia purchased a new position in nCino during the second quarter valued at approximately $2,696,000. Spyglass Capital Management LLC grew its stake in nCino by 6.0% during the first quarter. Spyglass Capital Management LLC now owns 3,085,237 shares of the company's stock valued at $46,217,000 after acquiring an additional 175,357 shares in the last quarter. Finally, Algebris UK Ltd. purchased a new position in nCino during the second quarter valued at approximately $39,352,000. 94.76% of the stock is currently owned by hedge funds and other institutional investors.

nCino Company Profile

nCino, Inc is a financial technology company that provides cloud-based software to banks, credit unions and other financial institutions. Its platform is designed to help institutions modernize and manage core banking processes through a unified, configurable operating environment.

The company's products support commercial, small-business and consumer lending; account opening and deposit origination; customer onboarding; loan and relationship management; workflow automation; and portfolio and analytics capabilities.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.