ServiceTitan (NASDAQ:TTAN) Stock Price Down 9% - Should You Sell?

Key Points

• Stock fell ~9% to about $58.77 on Thursday with only ~118,487 shares traded (roughly 91% below average volume), giving ServiceTitan a market cap near $5.64 billion.
• Analysts remain broadly positive—16 Buys, 3 Holds and 1 Sell—with a consensus rating of "Moderate Buy" and a target of $112.31, though recent price targets have been cut and range from about $84 to $135.
• ServiceTitan beat quarterly EPS and revenue (EPS $0.27 vs $0.18 expected; revenue +21.4% YoY) but is still unprofitable (net margin -16.64%, negative ROE), and insiders have sold shares recently while owning roughly 51.7% of stock.

ServiceTitan Inc. (NASDAQ:TTAN - Get Free Report)'s stock price was down 9% during mid-day trading on Thursday . The company traded as low as $58.64 and last traded at $58.7660. Approximately 118,487 shares changed hands during mid-day trading, a decline of 91% from the average daily volume of 1,368,119 shares. The stock had previously closed at $64.59.

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on TTAN shares. TD Cowen upped their price objective on shares of ServiceTitan from $130.00 to $135.00 and gave the stock a "buy" rating in a report on Friday, March 13th. Stifel Nicolaus decreased their price objective on shares of ServiceTitan from $145.00 to $125.00 and set a "buy" rating for the company in a report on Friday, March 13th. Canaccord Genuity Group decreased their price objective on shares of ServiceTitan from $140.00 to $105.00 and set a "buy" rating for the company in a report on Friday, March 13th. Morgan Stanley decreased their price objective on shares of ServiceTitan from $131.00 to $118.00 and set an "overweight" rating for the company in a report on Friday, March 13th. Finally, The Goldman Sachs Group decreased their price objective on shares of ServiceTitan from $117.00 to $84.00 and set a "neutral" rating for the company in a report on Monday, March 16th. Sixteen analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, ServiceTitan presently has an average rating of "Moderate Buy" and a consensus target price of $112.31.

ServiceTitan Price Performance

The stock's fifty day simple moving average is $66.68 and its 200-day simple moving average is $84.60. The company has a market capitalization of $5.64 billion, a P/E ratio of -34.99 and a beta of -0.14.

ServiceTitan (NASDAQ:TTAN - Get Free Report) last released its quarterly earnings results on Thursday, March 12th. The company reported $0.27 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.18 by $0.09. ServiceTitan had a negative net margin of 16.64% and a negative return on equity of 6.86%. The company had revenue of $253.99 million during the quarter, compared to analysts' expectations of $245.47 million. During the same period in the prior year, the company earned $0.12 earnings per share. The business's quarterly revenue was up 21.4% compared to the same quarter last year. On average, research analysts predict that ServiceTitan Inc. will post -0.62 earnings per share for the current year.

Insider Activity

In other ServiceTitan news, CAO Michele O'connor sold 5,000 shares of the company's stock in a transaction dated Thursday, April 9th. The shares were sold at an average price of $58.93, for a total transaction of $294,650.00. Following the completion of the sale, the chief accounting officer directly owned 79,416 shares in the company, valued at $4,679,984.88. This represents a 5.92% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO David Sherry sold 17,778 shares of the company's stock in a transaction dated Wednesday, March 18th. The shares were sold at an average price of $69.86, for a total transaction of $1,241,971.08. Following the sale, the chief financial officer owned 313,025 shares of the company's stock, valued at $21,867,926.50. This trade represents a 5.37% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 33,440 shares of company stock valued at $2,281,468 over the last three months. 51.72% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in TTAN. Vanguard Group Inc. raised its position in shares of ServiceTitan by 538.4% during the third quarter. Vanguard Group Inc. now owns 4,429,930 shares of the company's stock valued at $446,670,000 after buying an additional 3,735,968 shares during the last quarter. JPMorgan Chase & Co. raised its position in shares of ServiceTitan by 118.4% during the third quarter. JPMorgan Chase & Co. now owns 2,893,959 shares of the company's stock valued at $291,798,000 after buying an additional 1,569,136 shares during the last quarter. Norges Bank acquired a new position in shares of ServiceTitan during the fourth quarter valued at about $112,678,000. CIBC Bancorp USA Inc. acquired a new position in shares of ServiceTitan during the third quarter valued at about $84,983,000. Finally, Fuller & Thaler Asset Management Inc. acquired a new position in shares of ServiceTitan during the fourth quarter valued at about $89,702,000.

ServiceTitan Company Profile

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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