Bandwidth Inc. [NASDAQ: BAND] stock went on a downward path that fall over -12.10% on Monday, amounting to a one-week price decrease of less than -8.98%. The company report on November 3, 2020 that Bandwidth Inc. Announces Pricing of Secondary Offering by Selling Voxbone Stockholders.
Bandwidth Inc. (the “Company”) (NASDAQ: BAND), a leading enterprise cloud communications company, today announced the pricing, on November 2, 2020, of the previously announced secondary offering of shares of its Class A common stock. VIP II Nominees Limited (for the benefit of Vitruvian Investment Partnership II, a fund managed by Vitruvian Partners LLP) (the “Selling Stockholder”), has agreed to sell an aggregate of 663,394 shares of the Company’s Class A common stock in an underwritten public offering at a price of $152.00 per share. The offering is expected to close on November 5, 2020, subject to customary closing conditions.
It is anticipated that, upon completion of these transactions, the Selling Stockholder will have disposed of all of its shares of Class A common stock of the Company.
Over the last 12 months, BAND stock rose by 197.08%. The one-year Bandwidth Inc. stock forecast points to a potential upside of 27.44. The average equity rating for BAND stock is currently 1.80, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $3.53 billion, with 24.18 million shares outstanding and 20.18 million shares in the current float. Compared to the average trading volume of 518.99K shares, BAND stock reached a trading volume of 1074173 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Bandwidth Inc. [BAND]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for BAND shares is $198.00 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on BAND stock is a recommendation set at 1.80. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Morgan Stanley have made an estimate for Bandwidth Inc. shares, keeping their opinion on the stock as Underweight, with their previous recommendation back on October 07, 2020. While these analysts kept the previous recommendation, Canaccord Genuity raised their target price to Buy. The new note on the price target was released on May 29, 2020, representing the official price target for Bandwidth Inc. stock. On May 01, 2020, analysts increased their price target for BAND shares from 85 to 96.
The Average True Range (ATR) for Bandwidth Inc. is set at 9.26, with the Price to Sales ratio for BAND stock in the period of the last 12 months amounting to 12.07. The Price to Book ratio for the last quarter was 11.09.
BAND Stock Performance Analysis:
Bandwidth Inc. [BAND] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -8.98. With this latest performance, BAND shares dropped by -19.34% in over the last four-week period, additionally plugging by 33.58% over the last 6 months – not to mention a rise of 197.08% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for BAND stock in for the last two-week period is set at 35.28, with the RSI for the last a single of trading hit 27.93, and the three-weeks RSI is set at 38.58 for Bandwidth Inc. [BAND]. The present Moving Average for the last 50 days of trading for this stock 165.66, while it was recorded at 158.10 for the last single week of trading, and 118.47 for the last 200 days.
Insight into Bandwidth Inc. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Bandwidth Inc. [BAND] shares currently have an operating margin of -7.49 and a Gross Margin at +45.35. Bandwidth Inc.’s Net Margin is presently recorded at +1.07.
Return on Total Capital for BAND is now -8.63, given the latest momentum, and Return on Invested Capital for the company is 1.25. Return on Equity for this stock inclined to 1.32, with Return on Assets sitting at 0.99. When it comes to the capital structure of this company, Bandwidth Inc. [BAND] has a Total Debt to Total Equity ratio set at 9.16. Additionally, BAND Total Debt to Total Capital is recorded at 8.39, with Total Debt to Total Assets ending up at 7.00. Long-Term Debt to Equity for the company is recorded at 7.36, with the Long-Term Debt to Total Capital now at 6.74.
Reflecting on the efficiency of the workforce at the company, Bandwidth Inc. [BAND] managed to generate an average of $3,231 per employee. Receivables Turnover for the company is 8.58 with a Total Asset Turnover recorded at a value of 0.92.Bandwidth Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 6.20 and a Current Ratio set at 10.20.
BAND Stock EPS
With the latest financial reports released by the company, Bandwidth Inc. posted -0.02/share EPS, while the average EPS was predicted by analysts to be reported at -0.14/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 85.70%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for BAND.
Bandwidth Inc. [BAND] Insider Position Details
There are presently around $3,177 million, or 97.20% of BAND stock, in the hands of institutional investors. The top three institutional holders of BAND stocks are: BLACKROCK INC. with ownership of 2,056,702, which is approximately 4.258% of the company’s market cap and around 1.10% of the total institutional ownership; VANGUARD GROUP INC, holding 1,691,133 shares of the stock with an approximate value of $242.97 million in BAND stocks shares; and WELLINGTON MANAGEMENT GROUP LLP, currently with $202.81 million in BAND stock with ownership of nearly -24.774% of the company’s market capitalization.
Positions in Bandwidth Inc. stocks held by institutional investors increased at the end of October and at the time of the October reporting period, where 149 institutional holders increased their position in Bandwidth Inc. [NASDAQ:BAND] by around 4,469,506 shares. Additionally, 87 investors decreased positions by around 3,497,811 shares, while 17 investors held positions by with 14,148,508 shares. The mentioned changes placed institutional holdings at 22,115,825 shares, according to the latest SEC report filing. BAND stock had 70 new institutional investments in for a total of 602,210 shares, while 25 institutional investors sold positions of 703,609 shares during the same period.