Bandwidth Inc. (NASDAQ:BAND) could be among the worst stocks to invest in right now as the company shares are trading 2.46% or 1.96 points down from last closing price of $79.71, reaching $77.75 at last check. Any clue why there is so much of action in the BAND stock? The share price has dropped in 3 of the last 5 days and is up 12.64% over the past week. It will be exciting to see whether the stock manages to continue decreasing or take a minor break for the next few days. The move came on weak volume too with far less shares changing hands than in a normal session. Trading activity as of this writing weakened by -128,423 shares, and in total 80077 shares valued at $6.226 million were seen changing hands compared with 208500 shares valued at $16.62 million recorded at the previous session. You should take into consideration that a falling volume on lower prices shows the bearish trend but this is an early indication which means that the BAND stock is near its bottom.
Bandwidth Inc. (BAND) shares have notched a 3-month gain of about 12.64%, but has still advanced 97.74% year to date. By comparison, the stock added 81.12% over the past 12 months, while it jumped 4.81% over the 1 month. The company’s market cap is around $1.93B, with its short interest ratio standing at 3.97%.
In the current trading session for BAND, the stock witnessed two major price actions, it rose to a high of $80 and was down as much as $76.6 at one point. The high recorded is very low when compared to their 52-week high which is $27.75. The 52-week high is now at -9.12 distance from current price. Their recent low of $85.83 represents a 181.08% recovery. This data is quite important for investors who look to benefit from the recent rise of the company’s stock. The price target currently for BAND is $85.67, this is below the recent high that the stock attained. Taking a look at the overall sentimental views of financial analysts, the trading pattern of this stock recently is very clear.
The stock of Bandwidth Inc. earned $0.29 per share in the trailing 12 months and has a P/E ratio of 268.1. You can compare it with that of similar companies in its industry to get a sense of whether the stock you’re looking to purchase is overvalued or undervalued. Its current price to earnings ratio is higher than the ones recorded by the industry which is 22.08 and higher compared to the sector’s average of 21.11. When the P/E ratio is low let’s say below 1.0, then the stock price is considered a good value. BAND also has P/S multiple of 8.72. This is greater versus the 12 month P/S ratios of other companies in the same indutry. The peer average price to sales ratio is 3.26x.
The company recorded an interesting insider sale transaction by the CFO on Aug 01, 2019. A Securities and Exchanges Commission filings show that Jeffrey A Hoffman sold a total of 10,000 BAND shares that day for a sum of around $850,400. Bandwidth Inc. (BAND) insiders have acquired 220,000 shares in the stock within the past three months. In total, individual insiders traded 866,205 shares in the business, which makes up 24.536% of 3,530,373 shares that were traded over a year. In the past 12 months, insiders have purchased 844,509 shares while the seller parted with 2,685,864 shares.
BAND‘s last price was up 27.39% as compared to the average trading price of 50 days recorded at $61.03 while enlarging the period to 200 trading days, the average closing price was $76.27. At present, there are 23.89 million in the total number of common shares owned by the public and among those 16.84 million shares have been available to trade. The percentage of shares being held by the company management was 0.6% while institutions stake was 77.6%. The company has generated positive returns on equity over the last 12 months (3.6%). It managed to keep its gross profit margin at 45.9% over the past 12 months.
When assessing the full upside of the BAND stock, there is another set of technicals that should be looked into and considered. Its -0.33% decline from moving average of $78.01 has brought about a negative sentiment when calculated over the last 20 days. The market has allocated a beta of 0 to the stock. With the beta been less than one, this implies that the company shares are theoretically less volatile than the market, something that the traders definitely are keeping an eye on.
Most of the analysts surveyed by Thomson/First Call think quite highly of Bandwidth Inc. — 4 analysts rate the stock as a buy with another 0 rating it strong buy. There are 1 analysts who maintain a hold rating for the stock, with 0 giving it a sell rating. Analysts arrived at a 12-month price target of $78.8 on shares of Bandwidth Inc. (NASDAQ:BAND), which corresponds to 1.39% upside potential than its current market price of $77.75 and implies potential despite the recent drop in the price. However, their current target price has fallen from $78.8 a month ago and is up handily from the consensus target of $76 a quarter ago.