Shutterstock (NYSE:SSTK) Shares Cross Below 200-Day Moving Average - Here's Why

Key Points

• Shares of Shutterstock crossed below its 200-day moving average, trading as low as $16.51 and last at $16.78 versus the 200‑day MA of $20.15, signaling technical weakness in the stock.
• Shutterstock missed quarterly expectations—EPS $0.67 vs. $1.05 expected and revenue $220.2M vs. $252.3M expected, with revenue down 12% year‑over‑year—indicating operational softness.
• The company raised its quarterly dividend to $0.36 (annualized yield ~8.6%), but the payout ratio is about 111.6%, which raises concerns about the dividend's sustainability.

Shares of Shutterstock, Inc. (NYSE:SSTK - Get Free Report) crossed below its two hundred day moving average during trading on Monday . The stock has a two hundred day moving average of $20.15 and traded as low as $16.51. Shutterstock shares last traded at $16.78, with a volume of 460,460 shares.

Analyst Ratings Changes

Several equities research analysts have recently issued reports on SSTK shares. Zacks Research upgraded shares of Shutterstock from a "strong sell" rating to a "hold" rating in a research report on Monday, January 26th. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Shutterstock in a research note on Wednesday, January 21st. One equities research analyst has rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, the stock currently has an average rating of "Hold" and an average price target of $25.00.

Shutterstock Stock Down 4.2%

The company has a debt-to-equity ratio of 0.20, a quick ratio of 0.54 and a current ratio of 0.54. The firm has a market capitalization of $596.53 million, a PE ratio of 13.01 and a beta of 1.23. The company has a fifty day moving average price of $18.08 and a 200-day moving average price of $20.15.

Shutterstock (NYSE:SSTK - Get Free Report) last posted its earnings results on Tuesday, February 17th. The business services provider reported $0.67 earnings per share for the quarter, missing analysts' consensus estimates of $1.05 by ($0.38). Shutterstock had a net margin of 4.60% and a return on equity of 16.13%. The business had revenue of $220.22 million during the quarter, compared to analysts' expectations of $252.28 million. During the same period last year, the business posted $0.67 earnings per share. The company's revenue for the quarter was down 12.0% compared to the same quarter last year. As a group, analysts expect that Shutterstock, Inc. will post 3.12 earnings per share for the current year.

Shutterstock Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, March 19th. Stockholders of record on Thursday, March 5th will be issued a $0.36 dividend. This is a boost from Shutterstock's previous quarterly dividend of $0.33. The ex-dividend date is Thursday, March 5th. This represents a $1.44 dividend on an annualized basis and a dividend yield of 8.6%. Shutterstock's payout ratio is presently 111.63%.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in SSTK. Balyasny Asset Management L.P. increased its position in shares of Shutterstock by 229.7% during the 4th quarter. Balyasny Asset Management L.P. now owns 804,655 shares of the business services provider's stock valued at $15,369,000 after purchasing an additional 560,617 shares during the last quarter. Callodine Capital Management LP bought a new stake in Shutterstock in the second quarter worth $7,835,000. Millennium Management LLC boosted its stake in Shutterstock by 109.3% during the first quarter. Millennium Management LLC now owns 626,615 shares of the business services provider's stock worth $11,674,000 after buying an additional 327,203 shares during the period. UBS Group AG boosted its stake in Shutterstock by 72.7% during the third quarter. UBS Group AG now owns 547,241 shares of the business services provider's stock worth $11,410,000 after buying an additional 230,413 shares during the period. Finally, Adage Capital Partners GP L.L.C. purchased a new stake in shares of Shutterstock in the fourth quarter valued at $3,763,000. Institutional investors own 82.79% of the company's stock.

About Shutterstock

Shutterstock, Inc NYSE: SSTK operates a leading global creative platform that provides royalty-free stock content to businesses, marketing agencies and media outlets. Its primary offerings include high-resolution photographs, vector graphics, illustrations, video footage and music tracks, all available through subscription plans or on-demand licensing. The platform also features customizable design tools and collaborative workspaces that enable customers to create and manage visual content more efficiently.

Founded in 2003 by Jon Oringer, Shutterstock began as an online marketplace offering a modest selection of images and quickly scaled its library to hundreds of millions of assets.

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