Remitly Global (NASDAQ:RELY) Stock Breaks Below 50-Day Moving Average - What's Next?

Key Points

• Remitly Global shares fell below their 50-day moving average of $23.87, trading as low as $23.46 before last changing hands at $24.65. The stock’s 200-day moving average is $22.17.
• Analysts remain broadly positive, with a consensus “Moderate Buy” rating and an average price target of $27.78. Recent target increases include KeyCorp’s move to $33 and Cantor Fitzgerald’s move to $30, although Zacks downgraded the stock to “Hold.”
• The company reported strong quarterly results, including $0.93 in earnings per share versus the $0.12 consensus estimate and revenue of $495.16 million, up 20.2% year over year. Insiders have sold $11.87 million worth of shares over the past 90 days, while institutional investors own 74.25% of the stock.

Shares of Remitly Global, Inc. (NASDAQ:RELY - Get Free Report) passed below its 50 day moving average during trading on Thursday. The stock has a 50 day moving average of $23.87 and traded as low as $23.46. Remitly Global shares last traded at $24.65, with a volume of 3,147,141 shares traded.

Wall Street Analyst Weigh In

RELY has been the topic of several recent analyst reports. Cantor Fitzgerald upped their target price on Remitly Global from $28.00 to $30.00 and gave the company an "overweight" rating in a research report on Monday, August 10th. Weiss Ratings raised Remitly Global from a "hold (c)" rating to a "hold (c+)" rating in a report on Tuesday, August 11th. KeyCorp raised their price target on Remitly Global from $28.00 to $33.00 and gave the stock an "overweight" rating in a report on Thursday, August 6th. Zacks Research lowered Remitly Global from a "strong-buy" rating to a "hold" rating in a research note on Monday, October 5th. Finally, Monness Crespi & Hardt restated a "buy" rating on shares of Remitly Global in a report on Thursday, August 6th. One investment analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and two have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $27.78.

Remitly Global Trading Up 4.9%

The stock has a 50-day simple moving average of $23.87 and a 200 day simple moving average of $22.17. The company has a market cap of $5.22 billion, a price-to-earnings ratio of 17.73 and a beta of 0.39.

Remitly Global (NASDAQ:RELY - Get Free Report) last announced its quarterly earnings data on Wednesday, August 5th. The financial services provider reported $0.93 earnings per share for the quarter, beating analysts' consensus estimates of $0.12 by $0.81. Remitly Global had a return on equity of 33.33% and a net margin of 16.85%. The business had revenue of $495.16 million for the quarter, compared to analyst estimates of $486.25 million. During the same period in the prior year, the company earned $0.03 earnings per share. The company's revenue was up 20.2% on a year-over-year basis. As a group, research analysts forecast that Remitly Global, Inc. will post 0.85 EPS for the current fiscal year.

Insider Transactions at Remitly Global

In other Remitly Global news, CFO Vikas D. Mehta sold 25,000 shares of the firm's stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $26.15, for a total transaction of $653,750.00. Following the completion of the transaction, the chief financial officer directly owned 943,735 shares of the company's stock, valued at approximately $24,678,670.25. This trade represents a 2.58% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed 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, insider Pankaj Sharma sold 21,000 shares of Remitly Global stock in a transaction that occurred on Friday, August 28th. The shares were sold at an average price of $26.39, for a total transaction of $554,190.00. Following the sale, the insider owned 716,022 shares of the company's stock, valued at approximately $18,895,820.58. The trade was a 2.85% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 478,738 shares of company stock worth $11,874,000 in the last ninety days. Corporate insiders own 6.53% of the company's stock.

Institutional Trading of Remitly Global

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. State of Wyoming acquired a new position in shares of Remitly Global in the 2nd quarter valued at about $935,000. Squarepoint Ops LLC purchased a new stake in shares of Remitly Global in the second quarter worth about $6,282,000. California State Teachers Retirement System grew its holdings in Remitly Global by 24.7% during the first quarter. California State Teachers Retirement System now owns 208,409 shares of the financial services provider's stock worth $3,266,000 after acquiring an additional 41,221 shares during the period. Bank of America Corp DE acquired a new stake in Remitly Global during the second quarter worth about $27,757,000. Finally, Lead Edge Capital Management LLC acquired a new stake in Remitly Global during the second quarter worth about $60,232,971. Institutional investors and hedge funds own 74.25% of the company's stock.

Remitly Global Company Profile

Remitly Global, Inc is a digital financial services company that provides international money transfer services through its mobile application and website. The company enables customers to send funds across borders, with recipients able to receive money through bank deposits, mobile wallets, cash pickup locations and, in select markets, home delivery.

Remitly's platform is designed to offer a convenient alternative to traditional remittance services, with features such as transfer tracking, multiple delivery options and customer support.

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