ServiceTitan (NASDAQ:TTAN) Stock Price Down 4.7% - Time to Sell?

Key Points

• ServiceTitan shares fell 4.7% to $88.76 in mid-day trading, on volume 91% below the average session level. The stock remains above its 50-day and 200-day moving averages.
• Analysts remain broadly optimistic, with a consensus “Moderate Buy” rating and an average price target of $108.93, despite the company’s negative net margin and expected full-year loss.
• ServiceTitan exceeded quarterly earnings and revenue expectations, with EPS of $0.37 versus $0.28 expected and revenue up 24.6% year over year. However, insiders sold approximately $39.9 million of stock over the past 90 days, including significant sales by the CEO and president.

ServiceTitan Inc. (NASDAQ:TTAN - Get Free Report) shares traded down 4.7% during mid-day trading on Friday . The company traded as low as $87.93 and last traded at $88.76. 133,550 shares changed hands during trading, a decline of 91% from the average session volume of 1,409,253 shares. The stock had previously closed at $93.10.

Wall Street Analysts Forecast Growth

TTAN has been the subject of several research reports. Morgan Stanley upped their target price on ServiceTitan from $118.00 to $124.00 and gave the stock an "overweight" rating in a report on Friday, June 5th. Weiss Ratings raised shares of ServiceTitan from a "sell (e+)" rating to a "sell (d-)" rating in a research note on Wednesday, August 26th. Robert W. Baird lifted their price objective on shares of ServiceTitan from $94.00 to $101.00 and gave the company an "outperform" rating in a report on Wednesday, August 12th. Needham & Company LLC restated a "buy" rating and issued a $100.00 price target on shares of ServiceTitan in a report on Wednesday, June 17th. Finally, Truist Financial reiterated a "buy" rating and issued a $110.00 price target (up from $100.00) on shares of ServiceTitan in a research note on Friday, June 5th. Fourteen equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $108.93.

ServiceTitan Trading Down 4.4%

The stock has a market cap of $8.49 billion, a PE ratio of -61.40 and a beta of 0.11. The business has a 50-day moving average price of $83.72 and a 200-day moving average price of $72.20.

ServiceTitan (NASDAQ:TTAN - Get Free Report) last posted its quarterly earnings data on Thursday, June 4th. The company reported $0.37 EPS for the quarter, topping the consensus estimate of $0.28 by $0.09. The company had revenue of $268.82 million during the quarter, compared to analyst estimates of $257.40 million. ServiceTitan had a negative return on equity of 5.59% and a negative net margin of 13.44%.ServiceTitan's quarterly revenue was up 24.6% on a year-over-year basis. During the same period in the previous year, the business earned $0.18 EPS. Equities analysts expect that ServiceTitan Inc. will post -0.54 earnings per share for the current year.

Insider Transactions at ServiceTitan

In related news, CEO Ara Mahdessian sold 51,947 shares of the business's stock in a transaction on Tuesday, July 7th. The stock was sold at an average price of $80.98, for a total value of $4,206,668.06. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, President Vahe Kuzoyan sold 114,732 shares of the business's stock in a transaction on Tuesday, August 11th. The stock was sold at an average price of $88.84, for a total transaction of $10,192,790.88. 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 sold a total of 524,837 shares of company stock valued at $39,894,622 in the last ninety days. 39.89% of the stock is currently owned by corporate insiders.

Institutional Trading of ServiceTitan

A number of institutional investors have recently bought and sold shares of the business. Farther Finance Advisors LLC boosted its position in shares of ServiceTitan by 189.1% in the 4th quarter. Farther Finance Advisors LLC now owns 266 shares of the company's stock valued at $28,000 after purchasing an additional 174 shares during the period. Northwestern Mutual Wealth Management Co. increased its holdings in ServiceTitan by 1,005.1% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 431 shares of the company's stock valued at $46,000 after acquiring an additional 392 shares in the last quarter. State of Wyoming acquired a new position in shares of ServiceTitan during the 1st quarter worth approximately $48,000. Sunbelt Securities Inc. lifted its position in shares of ServiceTitan by 391.0% in the fourth quarter. Sunbelt Securities Inc. now owns 491 shares of the company's stock valued at $52,000 after acquiring an additional 391 shares in the last quarter. Finally, Parallel Advisors LLC boosted its stake in shares of ServiceTitan by 161.7% during the 3rd quarter. Parallel Advisors LLC now owns 526 shares of the company's stock worth $53,000 after purchasing an additional 325 shares during the last quarter.

About ServiceTitan

ServiceTitan, Inc NASDAQ: TTAN is a cloud-based software provider specializing in end-to-end business management solutions for residential and commercial trade contractors. The company's platform integrates customer relationship management, scheduling and dispatch, mobile workforce management, invoicing, payments and reporting tools into a single suite. By automating key back-office processes, ServiceTitan helps field service businesses improve operational efficiency, enhance customer experience and drive revenue growth.

At the core of ServiceTitan's offering is a mobile application that allows technicians to access job details, update work orders, capture signatures and process payments from the field.

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