Bandwidth Inc. (NASDAQ:BAND) Sees Significant Growth in Short Interest

Bandwidth Inc. (NASDAQ:BAND) saw a significant growth in short interest in December. As of December 31st, there was short interest totalling 847,600 shares, a growth of 13.0% from the December 15th total of 749,900 shares. Based on an average daily volume of 261,700 shares, the short-interest ratio is currently 3.2 days.

Insider Activity at Bandwidth

In related news, CEO David A. Morken sold 2,777 shares of the stock in a transaction that occurred on Monday, January 6th. The stock was sold at an average price of $17.39, for a total transaction of $48,292.03. Following the completion of the sale, the chief executive officer now directly owns 109,783 shares of the company’s stock, valued at approximately $1,909,126.37. This trade represents a 2.47 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Daryl Raiford sold 10,389 shares of the business’s stock in a transaction on Friday, November 29th. The stock was sold at an average price of $21.26, for a total value of $220,870.14. Following the completion of the transaction, the chief financial officer now directly owns 87,220 shares in the company, valued at approximately $1,854,297.20. This represents a 10.64 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 51,023 shares of company stock valued at $1,057,162 over the last ninety days. Corporate insiders own 6.20% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of BAND. SG Americas Securities LLC boosted its stake in Bandwidth by 14.5% during the fourth quarter. SG Americas Securities LLC now owns 11,102 shares of the company’s stock valued at $189,000 after buying an additional 1,407 shares during the period. Franklin Resources Inc. lifted its holdings in shares of Bandwidth by 40.9% during the 3rd quarter. Franklin Resources Inc. now owns 77,481 shares of the company’s stock worth $1,325,000 after acquiring an additional 22,505 shares during the last quarter. Geode Capital Management LLC lifted its stake in Bandwidth by 3.6% during the third quarter. Geode Capital Management LLC now owns 568,667 shares of the company’s stock worth $9,960,000 after purchasing an additional 19,832 shares during the last quarter. Barclays PLC boosted its holdings in shares of Bandwidth by 9.1% in the 3rd quarter. Barclays PLC now owns 224,497 shares of the company’s stock worth $3,931,000 after purchasing an additional 18,778 shares in the last quarter. Finally, Y Intercept Hong Kong Ltd purchased a new position in shares of Bandwidth during the 3rd quarter valued at about $453,000. 68.53% of the stock is owned by institutional investors.

Bandwidth Stock Performance

Shares of NASDAQ BAND traded down $0.01 during mid-day trading on Friday, hitting $15.68. The company had a trading volume of 121,094 shares, compared to its average volume of 207,653. The stock’s 50-day moving average price is $18.50 and its 200-day moving average price is $18.08. The company has a market capitalization of $431.36 million, a price-to-earnings ratio of -16.86 and a beta of 1.52. The company has a current ratio of 1.29, a quick ratio of 1.29 and a debt-to-equity ratio of 0.83. Bandwidth has a 1 year low of $11.90 and a 1 year high of $25.02.

Bandwidth (NASDAQ:BAND) last announced its quarterly earnings results on Thursday, October 31st. The company reported $0.43 earnings per share for the quarter, beating the consensus estimate of $0.32 by $0.11. Bandwidth had a negative return on equity of 0.89% and a negative net margin of 2.23%. The firm had revenue of $193.90 million for the quarter, compared to analysts’ expectations of $182.05 million. During the same period in the prior year, the business posted $0.03 earnings per share. The company’s revenue was up 27.6% on a year-over-year basis. On average, sell-side analysts forecast that Bandwidth will post 0.08 earnings per share for the current year.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on BAND shares. Needham & Company LLC restated a “hold” rating on shares of Bandwidth in a research note on Friday, November 1st. Robert W. Baird raised their target price on Bandwidth from $19.00 to $22.00 and gave the stock a “neutral” rating in a research report on Friday, November 1st. Finally, Morgan Stanley upped their price target on Bandwidth from $17.00 to $18.00 and gave the company an “underweight” rating in a research report on Wednesday, December 18th. One analyst has rated the stock with a sell rating, two have assigned a hold rating and four have assigned a buy rating to the stock. Based on data from MarketBeat, Bandwidth has a consensus rating of “Hold” and a consensus target price of $28.83.

Bandwidth Company Profile

Bandwidth is a leading enterprise cloud communications company. Companies like Cisco, Google, Microsoft, RingCentral, Uber, and Zoom use Bandwidth’s APIs to easily embed voice, messaging, and emergency services into software and applications. Bandwidth is the first and only CPaaS provider offering a robust selection of communications APIs built around their own IP voice network.