Quantum (NASDAQ:QMCO) Sees Large Volume Increase - Should You Buy?

Key Points

• Quantum shares rose 9.5% to $31.70 amid unusually high trading volume, with about 1 million shares changing hands.
• Analyst sentiment is generally positive: four analysts rate the stock Buy and one rates it Sell, producing a “Moderate Buy” consensus and an average target price of $26.50—below the current share price.
• Quantum exceeded quarterly expectations, reporting $0.18 EPS versus a projected $0.17 loss and revenue of $80.8 million versus a $75.05 million estimate; institutional investors own 63.66% of the company.

Shares of Quantum Corporation (NASDAQ:QMCO - Get Free Report) saw unusually-high trading volume on Friday. 1,001,671 shares changed hands during mid-day trading, a decline of 2% from the previous session's volume of 1,017,591 shares. The stock last traded at $31.70 and had previously closed at $29.49.

Analysts Set New Price Targets

QMCO has been the subject of several recent research reports. Northland Securities upgraded shares of Quantum from a "market perform" rating to an "outperform" rating and set a $24.00 target price for the company in a research report on Tuesday, August 11th. Lake Street Capital set a $29.00 price objective on Quantum and gave the company a "buy" rating in a report on Monday, September 14th. Needham & Company LLC assumed coverage on Quantum in a report on Wednesday, June 3rd. They set a "buy" rating on the stock. Litchfield Hills Research assumed coverage on Quantum in a research note on Monday, August 10th. They issued a "buy" rating for the company. Finally, Wall Street Zen upgraded shares of Quantum from a "hold" rating to a "buy" rating in a research report on Saturday, August 15th. Four investment analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $26.50.

Quantum Trading Up 9.5%

The company has a 50 day moving average of $19.53 and a 200 day moving average of $12.66. The firm has a market cap of $1.27 billion, a price-to-earnings ratio of -2.44 and a beta of 3.14.

Quantum (NASDAQ:QMCO - Get Free Report) last announced its quarterly earnings results on Monday, August 10th. The company reported $0.18 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.17) by $0.35. The business had revenue of $80.80 million during the quarter, compared to the consensus estimate of $75.05 million. Quantum has set its Q2 2027 guidance at 0.020-0.220 EPS. Equities analysts forecast that Quantum Corporation will post 0.31 EPS for the current fiscal year.

Institutional Trading of Quantum

Hedge funds and other institutional investors have recently modified their holdings of the company. State Street Corp increased its position in shares of Quantum by 4.3% during the 2nd quarter. State Street Corp now owns 75,914 shares of the company's stock worth $835,000 after purchasing an additional 3,100 shares during the last quarter. Squarepoint Ops LLC bought a new stake in Quantum during the second quarter worth $372,000. Susquehanna Fundamental Investments LLC bought a new stake in Quantum during the second quarter worth $381,000. Alyeska Investment Group L.P. acquired a new stake in Quantum in the second quarter valued at $29,193,000. Finally, Bank of America Corp DE grew its position in shares of Quantum by 730.5% in the 2nd quarter. Bank of America Corp DE now owns 170,130 shares of the company's stock valued at $1,871,000 after acquiring an additional 149,645 shares during the period. Institutional investors and hedge funds own 63.66% of the company's stock.

Quantum Company Profile

Quantum Corporation NASDAQ: QMCO is a data storage and management company that provides technology for organizations handling large volumes of digital content. Its solutions are designed to help customers store, protect, manage and access unstructured data, including video, images, scientific information and other content-intensive files.

The company's product portfolio has included Scalar tape libraries and tape storage systems, DXi deduplication appliances, and software for data backup, archiving and disaster recovery.

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