Riskified (NYSE:RSKD) Hits New 1-Year High - Here's Why

Key Points

• Riskified shares hit a new 52-week high, reaching $7.05 and rising 10.4% from the prior close, while trading above both their 50-day and 200-day moving averages.
• The company reported quarterly revenue of $98.69 million, well above the $89.18 million consensus estimate, and earnings per share of $0.02 in line with expectations. Despite the results, analysts’ average rating remains “Hold,” with a $6.50 consensus price target.
• Insiders sold 5.5 million shares worth approximately $31 million during the latest quarter, while institutional investors own nearly 59% of the company. Riskified remains unprofitable, with a negative net margin and analysts expecting a full-year loss.

Riskified Ltd. (NYSE:RSKD - Get Free Report) shares reached a new 52-week high on Wednesday . The company traded as high as $7.05 and last traded at $7.0110, with a volume of 5274450 shares changing hands. The stock had previously closed at $6.35.

Wall Street Analyst Weigh In

A number of equities analysts have commented on the stock. Keefe, Bruyette & Woods lifted their price objective on shares of Riskified from $5.50 to $6.25 and gave the stock a "market perform" rating in a research report on Thursday, August 13th. Weiss Ratings reissued a "sell (d-)" rating on shares of Riskified in a research report on Friday, August 14th. The Goldman Sachs Group raised their target price on shares of Riskified from $4.75 to $5.50 and gave the stock a "sell" rating in a research note on Wednesday, August 12th. UBS Group lifted their target price on shares of Riskified from $5.00 to $6.75 and gave the stock a "neutral" rating in a report on Thursday, August 13th. Finally, Wall Street Zen upgraded shares of Riskified from a "buy" rating to a "strong-buy" rating in a research note on Saturday, May 30th. Two analysts have rated the stock with a Buy rating, three have given a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $6.50.

Riskified Trading Up 10.4%

The firm's 50 day simple moving average is $5.84 and its two-hundred day simple moving average is $5.05. The firm has a market cap of $1.04 billion, a price-to-earnings ratio of -63.74 and a beta of 1.38.

Riskified (NYSE:RSKD - Get Free Report) last posted its quarterly earnings data on Thursday, August 13th. The company reported $0.02 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $0.02. Riskified had a negative net margin of 4.23% and a negative return on equity of 3.93%. The firm had revenue of $98.69 million during the quarter, compared to the consensus estimate of $89.18 million. As a group, equities research analysts anticipate that Riskified Ltd. will post -0.03 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, insider Ravi Kumaraswami sold 65,000 shares of the stock in a transaction that occurred on Tuesday, September 15th. The stock was sold at an average price of $6.18, for a total transaction of $401,700.00. Following the sale, the insider owned 1,551,246 shares of the company's stock, valued at $9,586,700.28. This represents a 4.02% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Assaf Feldman sold 43,904 shares of the firm's stock in a transaction on Wednesday, September 2nd. The stock was sold at an average price of $6.51, for a total value of $285,815.04. Following the transaction, the insider owned 1,167,371 shares in the company, valued at approximately $7,599,585.21. This trade represents a 3.62% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 5,503,485 shares of company stock valued at $31,026,001 in the last quarter. Company insiders own 17.40% of the company's stock.

Institutional Investors Weigh In On Riskified

Institutional investors and hedge funds have recently bought and sold shares of the company. Renaissance Technologies LLC increased its holdings in Riskified by 1.7% in the 1st quarter. Renaissance Technologies LLC now owns 1,358,900 shares of the company's stock valued at $5,327,000 after buying an additional 22,100 shares during the period. Sei Investments Co. lifted its holdings in shares of Riskified by 87.4% during the 1st quarter. Sei Investments Co. now owns 356,173 shares of the company's stock worth $1,396,000 after acquiring an additional 166,099 shares during the period. Public Employees Retirement System of Ohio acquired a new stake in shares of Riskified during the 2nd quarter worth approximately $1,505,000. Tidal Investments LLC boosted its position in shares of Riskified by 142.3% during the 2nd quarter. Tidal Investments LLC now owns 214,731 shares of the company's stock worth $1,082,000 after acquiring an additional 126,121 shares in the last quarter. Finally, Globeflex Capital L P bought a new position in Riskified in the fourth quarter valued at approximately $736,000. Institutional investors own 58.98% of the company's stock.

Riskified Company Profile

Riskified Ltd. is a technology company that provides fraud and risk-management solutions for e-commerce businesses. Its platform uses data analytics, machine learning and network insights to help merchants distinguish legitimate customers from fraudulent transactions, reduce payment-related losses and improve the online shopping experience.

The company's product offerings include solutions designed to protect merchants from chargebacks, identify and prevent policy abuse, secure customer accounts and support payment approval decisions.

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