Bandwidth (NASDAQ:BAND) Trading Down 4.9% – What’s Next?

Bandwidth Inc. (NASDAQ:BAND) traded down 4.9% on Wednesday . The stock traded as low as $48.43 and last traded at $49.25. 138,041 shares were traded during trading, a decline of 81% from the average session volume of 730,735 shares. The stock had previously closed at $51.78.

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on the company. Citigroup reaffirmed an “outperform” rating on shares of Bandwidth in a report on Thursday, April 30th. Citizens Jmp increased their price target on Bandwidth from $45.00 to $70.00 and gave the stock a “market outperform” rating in a report on Friday, May 15th. Zacks Research raised Bandwidth from a “hold” rating to a “strong-buy” rating in a report on Thursday, May 7th. Needham & Company LLC increased their price target on Bandwidth from $45.00 to $60.00 and gave the stock a “buy” rating in a report on Thursday, May 14th. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Bandwidth in a report on Monday, April 20th. One analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and one has issued a Sell rating to the stock. According to data from MarketBeat, Bandwidth presently has an average rating of “Moderate Buy” and an average target price of $43.25.

Bandwidth Trading Down 2.9%

The company has a quick ratio of 0.94, a current ratio of 0.94 and a debt-to-equity ratio of 0.37. The business has a fifty day simple moving average of $44.52 and a 200 day simple moving average of $25.28. The company has a market cap of $1.61 billion, a price-to-earnings ratio of -133.22 and a beta of 2.93.

Bandwidth (NASDAQ:BAND) last released its earnings results on Thursday, April 30th. The company reported $0.38 EPS for the quarter, beating analysts’ consensus estimates of $0.32 by $0.06. Bandwidth had a positive return on equity of 1.47% and a negative net margin of 0.64%.The company had revenue of $208.78 million during the quarter, compared to the consensus estimate of $201.58 million. Bandwidth has set its FY 2026 guidance at 1.770-1.830 EPS and its Q2 2026 guidance at 0.350-0.370 EPS. On average, equities analysts anticipate that Bandwidth Inc. will post 0.55 EPS for the current fiscal year.

Insider Buying and Selling

In other news, General Counsel Richard Brandon Asbill sold 29,214 shares of Bandwidth stock in a transaction on Friday, June 5th. The stock was sold at an average price of $72.03, for a total transaction of $2,104,284.42. Following the completion of the transaction, the general counsel owned 3,000 shares of the company’s stock, valued at $216,090. The trade was a 90.69% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, insider Devin M. Krupka sold 1,198 shares of Bandwidth stock in a transaction on Friday, May 29th. The stock was sold at an average price of $58.85, for a total value of $70,502.30. Following the transaction, the insider directly owned 26,371 shares of the company’s stock, valued at $1,551,933.35. This trade represents a 4.35% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 127,269 shares of company stock valued at $7,192,523 in the last quarter. Corporate insiders own 5.26% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Deutsche Bank AG raised its stake in shares of Bandwidth by 6.0% during the 4th quarter. Deutsche Bank AG now owns 18,343 shares of the company’s stock worth $283,000 after buying an additional 1,043 shares during the last quarter. Principal Financial Group Inc. raised its stake in shares of Bandwidth by 6.1% during the 3rd quarter. Principal Financial Group Inc. now owns 19,383 shares of the company’s stock worth $323,000 after buying an additional 1,114 shares during the last quarter. Mercer Global Advisors Inc. ADV raised its stake in shares of Bandwidth by 2.1% during the 3rd quarter. Mercer Global Advisors Inc. ADV now owns 53,681 shares of the company’s stock worth $895,000 after buying an additional 1,129 shares during the last quarter. Franklin Resources Inc. raised its stake in shares of Bandwidth by 3.6% during the 4th quarter. Franklin Resources Inc. now owns 58,141 shares of the company’s stock worth $898,000 after buying an additional 2,043 shares during the last quarter. Finally, Price T Rowe Associates Inc. MD raised its stake in shares of Bandwidth by 8.1% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 29,896 shares of the company’s stock worth $462,000 after buying an additional 2,250 shares during the last quarter. Institutional investors and hedge funds own 68.53% of the company’s stock.

Bandwidth Company Profile

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.