What is Zacks Research's Forecast for Bandwidth Q3 Earnings?

Bandwidth Inc. (NASDAQ:BAND - Free Report) - Stock analysts at Zacks Research lowered their Q3 2025 earnings per share estimates for Bandwidth in a research note issued to investors on Wednesday, May 28th. Zacks Research analyst R. Department now forecasts that the company will post earnings of $0.02 per share for the quarter, down from their previous forecast of $0.07. The consensus estimate for Bandwidth's current full-year earnings is $0.22 per share. Zacks Research also issued estimates for Bandwidth's Q4 2025 earnings at ($0.04) EPS, FY2025 earnings at ($0.03) EPS, FY2026 earnings at $0.38 EPS, Q1 2027 earnings at $0.10 EPS and FY2027 earnings at $0.50 EPS.

Bandwidth (NASDAQ:BAND - Get Free Report) last issued its quarterly earnings results on Wednesday, May 7th. The company reported $0.36 earnings per share for the quarter, topping the consensus estimate of $0.29 by $0.07. Bandwidth had a positive return on equity of 0.53% and a negative net margin of 0.87%. The company had revenue of $174.24 million for the quarter, compared to analysts' expectations of $168.96 million. During the same period in the prior year, the firm earned $0.27 earnings per share. The firm's revenue for the quarter was up 1.8% on a year-over-year basis.

A number of other research firms have also recently commented on BAND. Robert W. Baird cut their target price on Bandwidth from $20.00 to $15.00 and set a "neutral" rating on the stock in a research note on Thursday, May 8th. Barclays cut their target price on Bandwidth from $25.00 to $22.00 and set an "overweight" rating on the stock in a research note on Friday, February 21st. Morgan Stanley cut their target price on Bandwidth from $18.00 to $11.00 and set an "underweight" rating on the stock in a research note on Wednesday, April 16th. JMP Securities reissued a "market outperform" rating and issued a $36.00 target price on shares of Bandwidth in a research note on Thursday, May 15th. Finally, William Blair reissued an "outperform" rating on shares of Bandwidth in a research note on Friday, February 21st. One research analyst has rated the stock with a sell rating, one has given a hold rating and four have issued a buy rating to the company's stock. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $20.80.

Bandwidth Stock Down 2.4%

Shares of NASDAQ BAND traded down $0.35 during trading on Friday, reaching $14.06. The company had a trading volume of 303,724 shares, compared to its average volume of 288,168. Bandwidth has a 12-month low of $11.33 and a 12-month high of $23.90. The stock has a market cap of $418.47 million, a PE ratio of -24.67 and a beta of 1.88. The business's 50-day moving average is $13.14 and its 200 day moving average is $16.01. The company has a quick ratio of 1.34, a current ratio of 1.34 and a debt-to-equity ratio of 0.90.

Hedge Funds Weigh In On Bandwidth

Large investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. raised its position in shares of Bandwidth by 0.9% during the first quarter. Vanguard Group Inc. now owns 1,785,698 shares of the company's stock valued at $23,393,000 after buying an additional 16,671 shares during the last quarter. Dimensional Fund Advisors LP increased its position in Bandwidth by 9.9% in the fourth quarter. Dimensional Fund Advisors LP now owns 1,249,120 shares of the company's stock worth $21,260,000 after purchasing an additional 112,269 shares during the last quarter. Renaissance Technologies LLC increased its position in Bandwidth by 15.3% during the fourth quarter. Renaissance Technologies LLC now owns 651,300 shares of the company's stock valued at $11,085,000 after acquiring an additional 86,200 shares during the last quarter. Connor Clark & Lunn Investment Management Ltd. increased its position in Bandwidth by 16.6% during the first quarter. Connor Clark & Lunn Investment Management Ltd. now owns 611,880 shares of the company's stock valued at $8,016,000 after acquiring an additional 87,294 shares during the last quarter. Finally, Nuveen LLC bought a new position in Bandwidth during the first quarter valued at $7,916,000. Hedge funds and other institutional investors own 68.53% of the company's stock.

Insider Activity at Bandwidth

In related news, CFO Daryl Raiford sold 24,253 shares of the stock in a transaction on Monday, March 3rd. The stock was sold at an average price of $15.58, for a total transaction of $377,861.74. Following the sale, the chief financial officer now directly owns 113,795 shares of the company's stock, valued at $1,772,926.10. This trade represents a 17.57% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Devin M. Krupka sold 3,770 shares of the stock in a transaction on Monday, March 3rd. The shares were sold at an average price of $15.70, for a total value of $59,189.00. Following the sale, the insider now directly owns 19,188 shares in the company, valued at $301,251.60. This trade represents a 16.42% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 79,924 shares of company stock valued at $1,227,423 over the last ninety days. Insiders own 6.50% of the company's stock.

About Bandwidth

Bandwidth is a leading enterprise cloud communications company. Companies like Cisco, Google, Microsoft, RingCentral, Uber, and Zoom use Bandwidth's APIs to easily embed voice, messaging, and emergency services into software and applications. Bandwidth is the first and only CPaaS provider offering a robust selection of communications APIs built around their own IP voice network.