Red Violet (NASDAQ:RDVT) Reaches New 1-Year High - Time to Buy?

Key Points

• Red Violet shares reached a new 52-week high of $80.90 and last traded at $79.01, giving the company a market capitalization of approximately $1.27 billion.
• Analyst sentiment remains positive, with an average rating of “Buy” and an average price target of $83.50; individual targets range up to $90, though one firm downgraded the stock to “Hold.”
• The company exceeded quarterly expectations, reporting $0.50 in earnings per share versus the $0.33 consensus estimate and $26.72 million in revenue, but its valuation remains elevated at a P/E ratio of 70.54.

Shares of Red Violet, Inc. (NASDAQ:RDVT - Get Free Report) reached a new 52-week high during trading on Thursday. The company traded as high as $80.90 and last traded at $79.01, with a volume of 256596 shares traded. The stock had previously closed at $79.32.

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on the stock. Wall Street Zen cut shares of Red Violet from a "buy" rating to a "hold" rating in a research note on Saturday, September 19th. Lake Street Capital upped their price target on shares of Red Violet from $62.00 to $73.00 and gave the company a "buy" rating in a research note on Tuesday, August 11th. Needham & Company LLC assumed coverage on shares of Red Violet in a report on Tuesday, September 1st. They issued a "buy" rating and a $90.00 price target on the stock. Zacks Research raised shares of Red Violet from a "hold" rating to a "strong-buy" rating in a report on Monday, September 21st. Finally, Weiss Ratings upgraded shares of Red Violet from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Monday. One equities research analyst has rated the stock with a Strong Buy rating and five have issued a Buy rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Buy" and an average price target of $83.50.

Red Violet Trading Down 0.4%

The stock has a market cap of $1.27 billion, a P/E ratio of 70.54 and a beta of 1.81. The firm has a 50-day simple moving average of $71.90 and a two-hundred day simple moving average of $57.34.

Red Violet (NASDAQ:RDVT - Get Free Report) last released its quarterly earnings results on Monday, August 10th. The company reported $0.50 EPS for the quarter, beating the consensus estimate of $0.33 by $0.17. Red Violet had a net margin of 16.54% and a return on equity of 16.12%. The business had revenue of $26.72 million for the quarter, compared to the consensus estimate of $25.62 million. Sell-side analysts predict that Red Violet, Inc. will post 1.18 earnings per share for the current year.

Insider Transactions at Red Violet

In related news, Director William Livek bought 2,000 shares of the business's stock in a transaction dated Thursday, August 27th. The stock was purchased at an average cost of $71.49 per share, for a total transaction of $142,980.00. Following the transaction, the director owned 22,733 shares in the company, valued at $1,625,182.17. The trade was a 9.65% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 8.90% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. EverSource Wealth Advisors LLC increased its stake in Red Violet by 414.3% in the fourth quarter. EverSource Wealth Advisors LLC now owns 468 shares of the company's stock valued at $27,000 after acquiring an additional 377 shares during the last quarter. Caitong International Asset Management Co. Ltd lifted its stake in Red Violet by 569.7% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 1,547 shares of the company's stock worth $88,000 after purchasing an additional 1,316 shares during the last quarter. Legal & General Group Plc bought a new stake in Red Violet during the second quarter worth $175,000. The Manufacturers Life Insurance Company acquired a new stake in shares of Red Violet in the 2nd quarter valued at $200,000. Finally, State of Wyoming boosted its holdings in shares of Red Violet by 5.4% in the 4th quarter. State of Wyoming now owns 5,430 shares of the company's stock valued at $309,000 after purchasing an additional 279 shares in the last quarter. Institutional investors and hedge funds own 63.56% of the company's stock.

Red Violet Company Profile

Red Violet, Inc NASDAQ: RDVT is a technology company that provides data analytics and identity intelligence solutions. Its cloud-based platforms help organizations search, analyze and connect information from public and proprietary data sources to support investigations, risk management, fraud prevention and other decision-making processes.

The company's products include idiCORE, an investigative and information platform designed for applications such as identity verification, collections, fraud detection and due diligence.

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