Sangoma Technologies (TSE:STC) Stock Price Down 13.4% on Analyst Downgrade

Key Points

• Sangoma Technologies (TSE:STC) shares dropped 13.4% following a downgrade by TD Securities, reducing their price target from C$11.00 to C$10.00.
• Other analysts have also lowered their price targets, with Canaccord Genuity setting a new target of C$8.50 while maintaining a "speculative buy" rating.
• The stock traded down to a low of C$6.48, but closed at C$7.35 with an unusually high trading volume of nearly 100,000 shares.

Sangoma Technologies Co. (TSE:STC - Get Free Report) shares fell 13.4% on Thursday after TD Securities lowered their price target on the stock from C$11.00 to C$10.00. TD Securities currently has a buy rating on the stock. Sangoma Technologies traded as low as C$6.48 and last traded at C$7.35. 99,763 shares were traded during mid-day trading, an increase of 257% from the average session volume of 27,937 shares. The stock had previously closed at C$8.49.

STC has been the subject of several other reports. Stifel Nicolaus set a C$12.00 price target on Sangoma Technologies and gave the company a "buy" rating in a report on Thursday, May 22nd. Acumen Capital lowered their target price on Sangoma Technologies from C$12.50 to C$12.00 and set a "buy" rating for the company in a research note on Thursday. Finally, Canaccord Genuity Group lowered their target price on Sangoma Technologies from C$10.00 to C$8.50 and set a "speculative buy" rating for the company in a research note on Thursday. Four investment analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the stock has an average rating of "Buy" and a consensus target price of C$10.63.

Sangoma Technologies Stock Down 0.8%

The company has a debt-to-equity ratio of 27.33, a current ratio of 0.86 and a quick ratio of 0.69. The stock's fifty day simple moving average is C$7.96 and its 200-day simple moving average is C$7.63. The stock has a market cap of C$235.88 million, a P/E ratio of -33.52 and a beta of 1.20.

Sangoma Technologies (TSE:STC - Get Free Report) last issued its earnings results on Wednesday, September 17th. The company reported C$0.01 earnings per share (EPS) for the quarter. Sangoma Technologies had a negative net margin of 2.81% and a negative return on equity of 2.61%. During the same period in the previous year, the company earned ($0.05) EPS. On average, research analysts anticipate that Sangoma Technologies Co. will post 0.01 earnings per share for the current year.

Sangoma Technologies Company Profile

Sangoma Technologies Corp is a provider of hardware and software components that enable Internet protocol communications systems for both telecom and datacom applications. It is engaged in the development, manufacturing, distribution, and support of voice and data connectivity components for software-based communication applications.