Spok (NASDAQ:SPOK) Releases Quarterly Earnings Results, Beats Expectations By $0.04 EPS

Key Points

• Spok Holdings, Inc. reported a quarterly EPS of $0.22, beating analyst estimates of $0.18 by $0.04.
• Insider transactions revealed that CEO Vincent D. Kelly and COO Michael W. Wallace both sold shares, decreasing their ownership percentages.
• Hedge fund activity showed a notable increase in holdings, with Goldman Sachs raising its stake by 33.4% in the first quarter.

Spok (NASDAQ:SPOK - Get Free Report) released its quarterly earnings results on Wednesday. The Wireless communications provider reported $0.22 earnings per share for the quarter, topping analysts' consensus estimates of $0.18 by $0.04, Zacks reports. Spok had a return on equity of 11.11% and a net margin of 12.12%. The company had revenue of $35.69 million during the quarter, compared to analysts' expectations of $35.00 million. Spok updated its FY 2025 guidance to EPS.

Spok Stock Up 0.9%

Shares of NASDAQ:SPOK traded up $0.17 during midday trading on Friday, reaching $18.51. The company's stock had a trading volume of 179,183 shares, compared to its average volume of 97,778. The firm has a market cap of $380.75 million, a price-to-earnings ratio of 22.30 and a beta of 0.57. Spok has a 1 year low of $13.55 and a 1 year high of $19.31. The business has a 50 day moving average price of $17.12 and a 200 day moving average price of $16.46.

Spok Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 9th. Stockholders of record on Tuesday, August 19th will be given a $0.3125 dividend. The ex-dividend date of this dividend is Tuesday, August 19th. This represents a $1.25 dividend on an annualized basis and a dividend yield of 6.8%. Spok's payout ratio is currently 160.26%.

Insiders Place Their Bets

In other news, CEO Vincent D. Kelly sold 30,000 shares of Spok stock in a transaction on Tuesday, May 6th. The stock was sold at an average price of $16.40, for a total value of $492,000.00. Following the completion of the sale, the chief executive officer owned 157,817 shares of the company's stock, valued at $2,588,198.80. The trade was a 15.97% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, COO Michael W. Wallace sold 6,000 shares of the company's stock in a transaction dated Wednesday, May 7th. The stock was sold at an average price of $16.53, for a total value of $99,180.00. Following the sale, the chief operating officer owned 61,175 shares of the company's stock, valued at $1,011,222.75. This represents a 8.93% decrease in their ownership of the stock. The disclosure for this sale can be found here. 7.37% of the stock is owned by insiders.

Hedge Funds Weigh In On Spok

A number of large investors have recently modified their holdings of SPOK. AQR Capital Management LLC purchased a new position in shares of Spok in the 1st quarter worth about $271,000. Goldman Sachs Group Inc. raised its holdings in shares of Spok by 33.4% in the 1st quarter. Goldman Sachs Group Inc. now owns 521,571 shares of the Wireless communications provider's stock worth $8,575,000 after purchasing an additional 130,478 shares during the period. Finally, Jane Street Group LLC purchased a new position in shares of Spok in the 1st quarter worth about $467,000. 50.81% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

A number of equities analysts have recently weighed in on the company. B. Riley raised Spok to a "strong-buy" rating in a report on Thursday, May 1st. Wall Street Zen raised Spok from a "buy" rating to a "strong-buy" rating in a research report on Saturday, May 10th.

About Spok

Spok Holdings, Inc, through its subsidiary, Spok, Inc, provides healthcare communication solutions in the United States, Europe, Canada, Australia, Asia, and the Middle East. The company's products and services enhance workflows for clinicians and support administrative compliance. It delivers clinical information to care teams when and where it matters to enhance patient outcomes; and provides GenA Pager, a one-way alphanumeric pager.