Wall Street Zen Downgrades Synchronoss Technologies (NASDAQ:SNCR) to Hold

Key Points

• Synchronoss Technologies has been downgraded from a "buy" to a "hold" rating by Wall Street Zen, indicating a more cautious outlook for the company.
• Following its recent earnings report, Synchronoss reported an EPS of $0.10, significantly missing analysts' expectations and leading to concerns about its financial performance.
• Insider selling activity was noted, with key executives, including the director and CEO, decreasing their stock holdings by selling thousands of shares, which may impact investor confidence.

Synchronoss Technologies (NASDAQ:SNCR - Get Free Report) was downgraded by analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research note issued to investors on Saturday.

Synchronoss Technologies Stock Performance

SNCR traded down $0.03 during trading hours on Friday, hitting $6.09. 89,768 shares of the stock were exchanged, compared to its average volume of 92,536. The stock has a 50-day simple moving average of $7.14 and a 200-day simple moving average of $8.60. Synchronoss Technologies has a 12 month low of $6.00 and a 12 month high of $15.46. The stock has a market cap of $70.04 million, a price-to-earnings ratio of -2.91 and a beta of 1.77. The company has a debt-to-equity ratio of 3.67, a current ratio of 1.72 and a quick ratio of 1.72.

Synchronoss Technologies (NASDAQ:SNCR - Get Free Report) last issued its earnings results on Monday, August 11th. The software maker reported $0.10 earnings per share for the quarter, missing the consensus estimate of $0.25 by ($0.15). Synchronoss Technologies had a negative return on equity of 3.77% and a negative net margin of 12.36%.The company had revenue of $42.49 million during the quarter, compared to analyst estimates of $42.79 million. Synchronoss Technologies has set its FY 2025 guidance at EPS. Analysts anticipate that Synchronoss Technologies will post 0.1 earnings per share for the current year.

Insider Buying and Selling at Synchronoss Technologies

In other Synchronoss Technologies news, Director Laurie Harris sold 4,800 shares of the stock in a transaction on Monday, June 2nd. The stock was sold at an average price of $7.00, for a total value of $33,600.00. Following the sale, the director directly owned 47,632 shares of the company's stock, valued at $333,424. This trade represents a 9.15% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CEO Jeffrey George Miller sold 7,913 shares of the stock in a transaction on Friday, June 6th. The stock was sold at an average price of $7.06, for a total value of $55,865.78. Following the completion of the sale, the chief executive officer directly owned 429,647 shares in the company, valued at $3,033,307.82. This represents a 1.81% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 33,074 shares of company stock worth $226,417 over the last ninety days. 19.90% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Synchronoss Technologies

Several large investors have recently added to or reduced their stakes in SNCR. AWM Investment Company Inc. increased its holdings in shares of Synchronoss Technologies by 3.4% during the second quarter. AWM Investment Company Inc. now owns 465,785 shares of the software maker's stock valued at $3,191,000 after purchasing an additional 15,177 shares during the period. Geode Capital Management LLC increased its holdings in shares of Synchronoss Technologies by 119.7% during the second quarter. Geode Capital Management LLC now owns 235,606 shares of the software maker's stock valued at $1,614,000 after purchasing an additional 128,375 shares during the period. Marshall Wace LLP increased its holdings in shares of Synchronoss Technologies by 12.1% during the second quarter. Marshall Wace LLP now owns 212,355 shares of the software maker's stock valued at $1,455,000 after purchasing an additional 22,917 shares during the period. Archon Capital Management LLC increased its holdings in shares of Synchronoss Technologies by 259.5% during the second quarter. Archon Capital Management LLC now owns 163,631 shares of the software maker's stock valued at $1,121,000 after purchasing an additional 118,117 shares during the period. Finally, Ancora Advisors LLC increased its holdings in shares of Synchronoss Technologies by 762.4% during the first quarter. Ancora Advisors LLC now owns 146,871 shares of the software maker's stock valued at $1,599,000 after purchasing an additional 129,840 shares during the period. 51.71% of the stock is owned by institutional investors and hedge funds.

About Synchronoss Technologies

Synchronoss Technologies, Inc provides cloud, messaging, digital, and network management solutions in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company offers Synchronoss Personal Cloud platform that allows customers' subscribers to backup and protect, engage with, and manage their personal content.