Radcom (NASDAQ:RDCM) Stock Crosses Below 200-Day Moving Average - Here's Why

Key Points

• Radcom shares fell below their 200-day moving average, trading as low as $10.10 versus the average of $12.76, and last changing hands at $10.19.
• Analyst sentiment has weakened, with downgrades from Wall Street Zen and Zacks Research, while Needham cut its price target to $14 but maintained a Buy rating. The consensus rating remains Hold with a $14 price target.
• Radcom missed quarterly expectations, reporting a loss of $0.09 per share versus estimates for $0.24 in earnings and revenue of $11.76 million versus the $15.57 million consensus.

Radcom Ltd. (NASDAQ:RDCM - Get Free Report)'s stock price crossed below its two hundred day moving average during trading on Monday . The stock has a two hundred day moving average of $12.76 and traded as low as $10.10. Radcom shares last traded at $10.19, with a volume of 93,018 shares changing hands.

Analyst Ratings Changes

Several research analysts have recently weighed in on RDCM shares. Wall Street Zen cut shares of Radcom from a "hold" rating to a "sell" rating in a report on Saturday, August 15th. Needham & Company LLC dropped their price objective on Radcom from $18.00 to $14.00 and set a "buy" rating for the company in a research note on Wednesday, August 12th. Weiss Ratings upgraded Radcom from a "hold (c)" rating to a "hold (c+)" rating in a research report on Wednesday, August 12th. Finally, Zacks Research lowered Radcom from a "hold" rating to a "strong sell" rating in a research note on Wednesday, August 12th. One equities research analyst has rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, Radcom currently has a consensus rating of "Hold" and a consensus price target of $14.00.

Radcom Stock Performance

The stock's 50 day simple moving average is $12.33 and its 200 day simple moving average is $12.76. The firm has a market cap of $170.58 million, a PE ratio of 24.26 and a beta of 0.75.

Radcom (NASDAQ:RDCM - Get Free Report) last posted its quarterly earnings data on Wednesday, August 12th. The technology company reported ($0.09) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.24 by ($0.33). Radcom had a return on equity of 6.51% and a net margin of 10.47%.The company had revenue of $11.76 million for the quarter, compared to the consensus estimate of $15.57 million. As a group, analysts anticipate that Radcom Ltd. will post 0.59 earnings per share for the current year.

Hedge Funds Weigh In On Radcom

Large investors have recently modified their holdings of the company. Lynrock Lake LP boosted its stake in Radcom by 7.7% in the fourth quarter. Lynrock Lake LP now owns 2,441,775 shares of the technology company's stock worth $31,938,000 after buying an additional 175,094 shares in the last quarter. Private Advisor Group LLC lifted its holdings in shares of Radcom by 2.1% in the 1st quarter. Private Advisor Group LLC now owns 351,019 shares of the technology company's stock worth $4,268,000 after acquiring an additional 7,372 shares during the last quarter. Janney Montgomery Scott LLC lifted its holdings in shares of Radcom by 1.7% in the 1st quarter. Janney Montgomery Scott LLC now owns 327,479 shares of the technology company's stock worth $3,982,000 after acquiring an additional 5,380 shares during the last quarter. Renaissance Technologies LLC boosted its stake in shares of Radcom by 12.7% in the 4th quarter. Renaissance Technologies LLC now owns 208,733 shares of the technology company's stock valued at $2,730,000 after purchasing an additional 23,511 shares in the last quarter. Finally, Marshall Wace LLP boosted its stake in shares of Radcom by 58.1% in the 4th quarter. Marshall Wace LLP now owns 195,554 shares of the technology company's stock valued at $2,558,000 after purchasing an additional 71,873 shares in the last quarter. 48.32% of the stock is owned by hedge funds and other institutional investors.

Radcom Company Profile

Radcom Ltd. NASDAQ: RDCM is a provider of cloud-based service assurance and analytics solutions designed to help communications service providers monitor and optimize the performance of their networks. Its flagship product, RADCOM ACE, delivers real-time visibility into service quality, subscriber experience and network resource utilization across traditional and virtualized architectures. By combining packet-level data collection with advanced analytics and machine-learning algorithms, Radcom enables carriers to detect, troubleshoot and resolve network and service issues before they impact end users.

Founded in 1991 and headquartered in Tel Aviv, Israel, Radcom has evolved from an early vendor of network testing equipment into a specialist in end-to-end assurance for voice, data, video and next-generation services.

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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source