Upwork (NASDAQ:UPWK) Stock Price Expected to Rise, JMP Securities Analyst Says

Key Points

• JMP Securities has raised its price target for Upwork from $20.00 to $27.00, indicating a potential upside of 33.40% based on the current stock price.
• Upwork recently reported earnings per share of $0.35, exceeding the consensus estimate of $0.26, along with a revenue of $194.94 million for the quarter.
• The company's Board of Directors has authorized a $100 million share buyback program, signaling their belief that the stock is currently undervalued.

Upwork (NASDAQ:UPWK - Get Free Report) had its price objective boosted by equities researchers at JMP Securities from $20.00 to $27.00 in a report issued on Wednesday,Benzinga reports. The brokerage presently has a "market outperform" rating on the stock. JMP Securities' price objective would indicate a potential upside of 33.40% from the stock's current price.

A number of other equities analysts have also recently issued reports on the stock. UBS Group increased their price objective on shares of Upwork from $16.00 to $21.00 and gave the stock a "neutral" rating in a research report on Tuesday. Royal Bank Of Canada restated a "sector perform" rating and set a $18.00 price objective on shares of Upwork in a report on Monday, June 2nd. Finally, Wall Street Zen cut shares of Upwork from a "buy" rating to a "hold" rating in a report on Saturday. Eight equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $19.42.

Upwork Trading Up 3.0%

NASDAQ UPWK opened at $20.24 on Wednesday. Upwork has a 12 month low of $9.93 and a 12 month high of $20.41. The company has a current ratio of 3.36, a quick ratio of 3.36 and a debt-to-equity ratio of 0.59. The firm has a market capitalization of $2.68 billion, a PE ratio of 11.64 and a beta of 1.43. The business's 50-day moving average price is $14.78 and its two-hundred day moving average price is $14.28.

Upwork (NASDAQ:UPWK - Get Free Report) last announced its earnings results on Wednesday, August 6th. The company reported $0.35 EPS for the quarter, beating the consensus estimate of $0.26 by $0.09. The business had revenue of $194.94 million for the quarter, compared to analysts' expectations of $187.56 million. Upwork had a return on equity of 44.83% and a net margin of 31.75%.The firm's revenue was up .9% on a year-over-year basis. During the same period in the prior year, the business posted $0.26 earnings per share. On average, analysts expect that Upwork will post 0.84 EPS for the current year.

Upwork declared that its Board of Directors has authorized a share repurchase program on Wednesday, September 3rd that allows the company to buyback $100.00 million in shares. This buyback authorization allows the company to buy up to 4.9% of its stock through open market purchases. Stock buyback programs are typically a sign that the company's leadership believes its shares are undervalued.

Insider Activity at Upwork

In other Upwork news, CFO Erica Gessert sold 8,730 shares of the stock in a transaction that occurred on Thursday, September 18th. The shares were sold at an average price of $19.16, for a total value of $167,266.80. Following the sale, the chief financial officer directly owned 218,605 shares in the company, valued at $4,188,471.80. This represents a 3.84% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Dave Bottoms sold 10,014 shares of the business's stock in a transaction on Friday, September 19th. The shares were sold at an average price of $19.96, for a total transaction of $199,879.44. Following the transaction, the insider owned 345 shares of the company's stock, valued at $6,886.20. This trade represents a 96.67% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 222,576 shares of company stock worth $3,670,318. 7.60% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Upwork

A number of institutional investors have recently added to or reduced their stakes in the business. Elevation Point Wealth Partners LLC purchased a new position in shares of Upwork during the second quarter worth about $30,000. LRI Investments LLC grew its stake in Upwork by 415.9% in the 2nd quarter. LRI Investments LLC now owns 2,528 shares of the company's stock worth $34,000 after buying an additional 2,038 shares in the last quarter. EMC Capital Management purchased a new stake in shares of Upwork during the 2nd quarter valued at $45,000. EverSource Wealth Advisors LLC raised its position in shares of Upwork by 19,361.1% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 3,503 shares of the company's stock valued at $47,000 after buying an additional 3,485 shares in the last quarter. Finally, IFP Advisors Inc grew its position in Upwork by 3,492.8% in the first quarter. IFP Advisors Inc now owns 3,988 shares of the company's stock worth $52,000 after acquiring an additional 3,877 shares in the last quarter. 77.71% of the stock is currently owned by institutional investors.

About Upwork

Upwork Inc, together with its subsidiaries, operates a work marketplace that connects businesses with various independent professionals and agencies in the United States, India, the Philippines, and internationally. The company's work marketplace provides access to talent with various skills across a range of categories, including administrative support, sales and marketing, design and creative, and customer service, as well as web, mobile, and software development.

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