QuinStreet (NASDAQ:QNST) Stock Breaks Above 200-Day Moving Average - Time to Sell?

Key Points

• QuinStreet shares broke above their 200-day moving average, reaching $16.88 before closing at $16.52, compared with the $15.26 average.
• Analysts maintain a generally positive outlook, with four Buy ratings and two Holds producing a “Moderate Buy” consensus and an average price target of $23.50.
• The company exceeded quarterly expectations, reporting $0.50 in adjusted EPS versus $0.44 expected and revenue of $373.88 million versus $359.95 million; however, insiders sold about $17 million of stock over the past 90 days under pre-arranged plans.

QuinStreet, Inc. (NASDAQ:QNST - Get Free Report)'s share price crossed above its 200-day moving average during trading on Friday. The stock has a 200-day moving average of $15.26 and traded as high as $16.88. QuinStreet shares last traded at $16.52, with a volume of 560,527 shares.

Analysts Set New Price Targets

Several analysts have weighed in on QNST shares. B. Riley Financial reaffirmed a "buy" rating on shares of QuinStreet in a report on Friday, August 7th. Zacks Research downgraded QuinStreet from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, October 6th. Northland Securities set a $23.00 price objective on QuinStreet in a report on Thursday, September 17th. Weiss Ratings upgraded shares of QuinStreet from a "hold (c)" rating to a "hold (c+)" rating in a research report on Friday, October 16th. Finally, Lake Street Capital upgraded shares of QuinStreet from a "hold" rating to a "buy" rating and set a $21.00 price objective on the stock in a research report on Friday, August 7th. Four research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company's stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $23.50.

QuinStreet Stock Performance

The firm has a market cap of $945.32 million, a PE ratio of 11.72 and a beta of 0.74. The company has a 50 day simple moving average of $17.33 and a 200-day simple moving average of $15.26. The company has a debt-to-equity ratio of 0.22, a current ratio of 1.22 and a quick ratio of 1.22.

QuinStreet (NASDAQ:QNST - Get Free Report) last issued its quarterly earnings results on Thursday, August 6th. The technology company reported $0.50 EPS for the quarter, beating analysts' consensus estimates of $0.44 by $0.06. The business had revenue of $373.88 million for the quarter, compared to analysts' expectations of $359.95 million. QuinStreet had a net margin of 6.28% and a return on equity of 12.73%. As a group, equities research analysts anticipate that QuinStreet, Inc. will post 1.06 EPS for the current year.

Insider Activity at QuinStreet

In related news, CFO Gregory Wong sold 26,296 shares of the stock in a transaction on Friday, August 7th. The shares were sold at an average price of $20.09, for a total transaction of $528,286.64. Following the transaction, the chief financial officer owned 521,883 shares of the company's stock, valued at approximately $10,484,629.47. This trade represents a 4.80% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Douglas Valenti sold 751,631 shares of QuinStreet stock in a transaction on Friday, August 7th. The stock was sold at an average price of $20.50, for a total transaction of $15,408,435.50. Following the completion of the transaction, the chief executive officer owned 996,278 shares in the company, valued at approximately $20,423,699. The trade was a 43.00% 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders have sold 829,631 shares of company stock valued at $16,999,952. Insiders own 3.50% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Sterling Capital Management LLC lifted its stake in shares of QuinStreet by 842.8% in the 3rd quarter. Sterling Capital Management LLC now owns 1,829 shares of the technology company's stock valued at $27,000 after acquiring an additional 1,635 shares during the last quarter. PNC Financial Services Group Inc. boosted its holdings in QuinStreet by 54.4% during the 1st quarter. PNC Financial Services Group Inc. now owns 3,027 shares of the technology company's stock valued at $36,000 after acquiring an additional 1,066 shares during the period. GAMMA Investing LLC grew its position in QuinStreet by 17.0% during the 2nd quarter. GAMMA Investing LLC now owns 4,457 shares of the technology company's stock worth $65,000 after acquiring an additional 649 shares during the last quarter. Allworth Financial LP bought a new position in QuinStreet during the 2nd quarter worth approximately $66,000. Finally, Nisa Investment Advisors LLC grew its position in QuinStreet by 160.0% during the 3rd quarter. Nisa Investment Advisors LLC now owns 5,324 shares of the technology company's stock worth $80,000 after acquiring an additional 3,276 shares during the last quarter. 97.83% of the stock is owned by institutional investors.

About QuinStreet

QuinStreet, Inc is a performance marketing and online marketplace company that connects consumers with brands and service providers. The company uses digital media, data, and technology to help businesses acquire customers and generate leads through channels such as search, social media, display advertising, and other online marketing platforms.

QuinStreet operates vertical marketplaces in areas including insurance, financial services, home services, and business services. Its platforms help consumers research products and services, compare available options, and connect with providers, while giving advertisers tools to reach consumers who are actively seeking information or purchasing opportunities.

Founded in 1999, QuinStreet is headquartered in Foster City, California, and primarily serves the U.S.

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