Piper Sandler Reaffirms "Overweight" Rating for Vimeo (NASDAQ:VMEO)

Key Points

• Vimeo's price target has been lowered from $8.00 to $7.00 by Piper Sandler, although the firm maintains an "overweight" rating on the stock, which suggests a potential upside of 83.25% from its current price.
• Jefferies Financial Group has also reduced its price objective for Vimeo to $5.40 and set a "hold" rating.
• Despite these downgrades, Vimeo reported a surprise earnings per share of $0.04 for its latest quarter, exceeding consensus estimates while revenue increased by 0.3% compared to the same quarter last year.

Vimeo (NASDAQ:VMEO - Get Free Report)'s stock had its "overweight" rating reissued by research analysts at Piper Sandler in a note issued to investors on Tuesday, Marketbeat Ratings reports. They presently have a $7.00 price objective on the stock, down from their prior price objective of $8.00. Piper Sandler's price objective points to a potential upside of 66.27% from the stock's current price.

Separately, Jefferies Financial Group dropped their target price on Vimeo from $7.00 to $5.40 and set a "hold" rating on the stock in a research note on Monday, April 7th.

Vimeo Stock Performance

NASDAQ VMEO opened at $4.21 on Tuesday. The business's 50 day moving average price is $4.11 and its 200-day moving average price is $4.99. The company has a market cap of $693.56 million, a P/E ratio of 52.63 and a beta of 2.00. Vimeo has a fifty-two week low of $3.64 and a fifty-two week high of $7.90.

Vimeo (NASDAQ:VMEO - Get Free Report) last issued its earnings results on Monday, August 4th. The company reported $0.04 EPS for the quarter, topping analysts' consensus estimates of ($0.01) by $0.05. Vimeo had a net margin of 3.17% and a return on equity of 3.31%. The business had revenue of $104.65 million for the quarter, compared to the consensus estimate of $107.36 million. During the same period in the prior year, the firm earned $0.06 EPS. The company's revenue for the quarter was up .3% compared to the same quarter last year. As a group, equities analysts predict that Vimeo will post 0.16 EPS for the current year.

Institutional Trading of Vimeo

Several hedge funds have recently made changes to their positions in VMEO. American Century Companies Inc. acquired a new position in Vimeo in the fourth quarter valued at about $755,000. KLP Kapitalforvaltning AS acquired a new stake in shares of Vimeo in the fourth quarter valued at $204,000. Vanguard Group Inc. raised its holdings in shares of Vimeo by 0.8% in the 4th quarter. Vanguard Group Inc. now owns 17,432,831 shares of the company's stock valued at $111,570,000 after buying an additional 134,171 shares during the period. JPMorgan Chase & Co. lifted its stake in Vimeo by 85.1% during the 4th quarter. JPMorgan Chase & Co. now owns 600,387 shares of the company's stock worth $3,842,000 after acquiring an additional 275,967 shares in the last quarter. Finally, Norges Bank acquired a new position in Vimeo in the 4th quarter valued at about $3,640,000. Hedge funds and other institutional investors own 84.97% of the company's stock.

About Vimeo

Vimeo, Inc, together with its subsidiaries, provides video software solutions worldwide. It provides the video tools through a software-as-a-service model, which enables its users to create, collaborate, and communicate with video on a single platform. The company also offers over-the-top OTT streaming and monetization services; AI-driven video creation and editing tools; and interactive and shoppable video tools.