Bandwidth (NASDAQ:BAND) Shares Down 2.7% – Here’s Why

Bandwidth Inc. (NASDAQ:BAND) shares traded down 2.7% on Thursday . The stock traded as low as $13.05 and last traded at $13.15. 261,527 shares changed hands during trading, an increase of 24% from the average session volume of 211,186 shares. The stock had previously closed at $13.52.

Analyst Ratings Changes

A number of equities analysts have issued reports on the stock. Robert W. Baird set a $16.00 target price on shares of Bandwidth in a report on Friday, October 31st. B. Riley began coverage on Bandwidth in a research report on Friday, January 23rd. They set a “buy” rating and a $20.00 price target on the stock. Wall Street Zen lowered Bandwidth from a “buy” rating to a “hold” rating in a research report on Sunday, December 14th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of Bandwidth in a research note on Wednesday, January 21st. Six research analysts have rated the stock with a Buy rating, one has given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $20.83.

Bandwidth Stock Down 2.7%

The company has a debt-to-equity ratio of 0.63, a quick ratio of 1.39 and a current ratio of 1.39. The firm has a 50 day simple moving average of $14.45 and a two-hundred day simple moving average of $15.00. The stock has a market cap of $401.34 million, a P/E ratio of -33.72 and a beta of 2.15.

Insider Activity

In other news, CEO David A. Morken sold 12,584 shares of the company’s stock in a transaction that occurred on Monday, December 1st. The shares were sold at an average price of $14.06, for a total value of $176,931.04. Following the completion of the sale, the chief executive officer directly owned 29,494 shares of the company’s stock, valued at approximately $414,685.64. This represents a 29.91% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, General Counsel Richard Brandon Asbill sold 4,460 shares of the firm’s stock in a transaction that occurred on Monday, December 1st. The shares were sold at an average price of $14.06, for a total transaction of $62,707.60. Following the transaction, the general counsel owned 62,465 shares in the company, valued at $878,257.90. This represents a 6.66% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 63,463 shares of company stock worth $895,210 in the last 90 days. 6.50% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Bandwidth

Several hedge funds have recently modified their holdings of the stock. Tower Research Capital LLC TRC boosted its stake in Bandwidth by 183.7% in the 2nd quarter. Tower Research Capital LLC TRC now owns 3,776 shares of the company’s stock worth $60,000 after purchasing an additional 2,445 shares during the period. State of Wyoming acquired a new stake in shares of Bandwidth in the third quarter worth $71,000. Raymond James Financial Inc. acquired a new stake in shares of Bandwidth in the second quarter worth $85,000. Harbor Capital Advisors Inc. grew its holdings in shares of Bandwidth by 30.3% during the third quarter. Harbor Capital Advisors Inc. now owns 7,509 shares of the company’s stock valued at $125,000 after buying an additional 1,748 shares in the last quarter. Finally, Quantbot Technologies LP acquired a new position in Bandwidth during the second quarter valued at $128,000. 68.53% of the stock is owned by hedge funds and other institutional investors.

About Bandwidth

Bandwidth Inc operates a cloud-based communications platform that provides voice, messaging and emergency services APIs for enterprises and developers. Through its proprietary network and software-as-a-service model, the company enables customers to integrate programmable voice calls, text messaging and 9-1-1 routing into their applications. Bandwidth’s solutions aim to reduce complexity and improve reliability in mission-critical communications, serving industries such as healthcare, financial services, on-demand mobility and customer engagement.

Founded in 1999 in Raleigh, North Carolina by co-founders David Morken and Henry Kaestner, Bandwidth initially focused on voice-over-IP infrastructure before evolving into a full communications API provider.